Sunday Posts

EdTech was one of the fancy terms that took hold in the last decade. It succeeded 'e-Learning', which started the journey around the time of 'e-Commerce', but failed to get a second life in the Web 2.0 world. The reason for e-Learning's failure and e-Commerce's resilience is perhaps instructive: Despite the bold claims, there were no Amazon or eBay of e-Learning. EdTech gave a new lease of life to the idea of technology-delivered learning. EdTech stuck, and terms like mLearning did not go anywhere, partly because of its scope - it embraced everything - and partly because of fashion, and its more successful cousin, FinTech. However, the question now is whether EdTech would be able to succeed like FinTech, whose impact is genuinely visible (as is e-Commerce's), or would it have the same fate as e-Learning, an unmourned passing away? Technology Industry and its investors are adept at making up terms and cooking up market sizes. The reason they make up...

TechCrunch reports a slowing of EdTech investments in the first five months of this year ( see here ). The period in question is perhaps too short to pick up a trend, but this may allow us to think through some of the issues on the table. For example, what kind of EdTech is really going to change things? The EdTech business is a slow one - someone told me that you will need 36 visits to an university to sell them a piece of technology, and make it 72 if it is a new idea - and indeed, most investors and entrepreneurs, believing the trade press perhaps a bit too much, are already feeling disappointed that the things do not change as fast. In fact, not just this piece of news about slowing deal flow, but also the big successes - like Lynda.com - tell us a story of continuity, rather than change.  The big investments in EdTech going to video perhaps tells us that while technology is being adapted in the classroom, and people are learning themselves, the ways of doing so are c...

Yesterdays rather innocuous news that the University of Law has been bought over by the Global University Systems means more for British Higher Education than it appears. It may be the start of a wholesale transformation of British Higher Education, for good or for worse. For the uninitiated, the University of Law is one of the few private universities in the UK, and the only For-Profit one. It evolved from the College of Law, which was a Not-for-Profit entity, and which was bought over by Montagu Provate Equity, a PE fund with more than 4 Billion Euro worth of assets under management. Montagu buy-out eventually led to the transfer of University charter to a For-Profit entity after some hiccups, justifying the £200 million price tag. However, while this was one of the biggest PE deals in Education, it was also illustrative how little PE investors understand education. The valuation seemed to have solely based on the University license, which was not immediately available, but it ...

In my quest to get a technology-led global education network off the ground, I have now made several iterations of the business plan, made several presentations and attended scores of meetings, some with some success. Indeed, the ideas that I started with changed somewhat: However, that hurts no one as they have only become better, more road worthy, if anything. After several months of doing this, I feel more wedded to the process than I ever was. But I still I have one reservation which I have to deal with before we end signing up with anyone. It is that to build an institution of any value, one needs what the silicon valley types will call 'patient capital'. My interactions with venture capital industry have told me a very different story than what I initially signed up to. It is fair to say that the structure of the venture capital industry may have changed since the heady days of dotcom, indeed because of that; it has become more interested in traction and tried and te...