Week in Edtech 7/31/2024: Microsoft Outages, OpenAI’s GPT-5, 2U's Bankruptcy, Instructure's Big Buy, Enrollment Trends, NWEA’s Latest Findings and More! Feat. 2024 Tools Competition Winner: Tyto Online by Lindsey Tropf of Immersed Games
Aug 8, 2024
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Lindsey Tropf, the founder and CEO of Immersed Games and the 2024 Tools Competition winner, dives into the transformative power of gamification in education. She discusses how video game technology can revolutionize STEM learning, engaging students through authentic problem-solving. The conversation doesn't shy away from the realities of the EdTech landscape, touching on 2U's bankruptcy and the implications for online education. Additionally, the potential of OpenAI's GPT-5 sets the stage for future innovations in the classroom.
The bankruptcy of 2U illustrates the financial pressures affecting the EdTech industry, highlighting challenges with debt management and sustainable growth.
Instructure's acquisition by KKR offers potential for innovative advancements in educational technology, emphasizing the importance of effective data utilization and AI integration.
Deep dives
The Current Landscape of EdTech
The podcast outlines the current challenges and developments in the education technology industry, particularly as it pertains to AI, K-12 education, and higher education. The hosts highlight key interviews and events, showcasing prominent figures in EdTech, such as the CEO of PBS Kids and the head of HMH Labs. They also emphasize the importance of staying informed on market trends and innovations, particularly in response to the evolving educational landscape. The discussions underscore the idea that while difficulties persist, there remains a strong commitment to transforming education through technology.
2U's Bankruptcy and Its Implications
The bankruptcy declaration of 2U, a notable player in the EdTech space, reveals the financial complexities and pressures affecting the industry. The hosts discuss how the company's heavy debt and large acquisitions stifled its growth, noting that 2U's approach had its roots in the pandemic-era boom, which ultimately could not be sustained. This situation sheds light on the broader impact of financial management in EdTech, particularly in relation to OPM models and institutional partnerships. The conversation suggests that while 2U's bankruptcy marks a significant event, it may open avenues for a more sustainable reorganization.
Instructure's Acquisition and Future Outlook
Instructure's acquisition by KKR is discussed as a pivotal moment for the EdTech sector, emphasizing the company's dominant role in learning management systems for both K-12 and higher education. The hosts express optimism regarding Instructure's ability to leverage its extensive data and infrastructure to enhance educational experiences, particularly with the evolving focus on AI integration. They address concerns about the potential pressures of private equity ownership versus the opportunities for innovation that could arise from financial support. The discussion indicates that, if managed well, this acquisition could positively impact the landscape of educational technology.
Innovations in STEM Education
The podcast features an interview with the CEO of Immersed Games, focusing on innovative approaches to STEM learning through engaging video game environments. Their educational product, Taito, emphasizes authentic problem-based learning, allowing students to connect mathematical concepts with real-world applications, which can boost engagement. Additionally, there is a focus on equity within STEM fields, highlighting methodologies aimed at increasing interest among underrepresented groups. This segment concludes with a discussion on the potential of using AI in content creation to enhance educational offerings, while ensuring that human oversight maintains quality.
Join Alex Sarlin and Ben Kornell, as they explore the most critical developments in the world of education technology this week:
🌐 Microsoft’s investigation into service outages following CrowdStrike chaos 🤖 What to expect from OpenAI's upcoming GPT-5 release 💼 Instructure's $4.8 billion acquisition by KKR 💸 2U's strategic moves amidst bankruptcy and what it means for the industry 📊 NWEA's latest research on COVID academic recovery and its implications 📉 The future of school enrollment trends and their impact on education 📝 Changes to the ACT exam and what it means for students
Plus special guest, 2024 Tools Competition Winner: Tyto Online by Lindsey Tropf, Founder & CEO of Immersed Games
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This season of Edtech Insiders is once again brought to you by Tuck Advisors, the M&A firm for EdTech companies. Run by serial entrepreneurs with over 25 years of experience founding, investing in, and selling companies, Tuck believes you deserve M&A advisors who work as hard as you do.
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