India’s education sector has witnessed a remarkable transformation in recent years. Technologies such as artificial intelligence (AI), machine learning (ML), internet of things (IoT), augmented reality (AR), virtual reality (VR) and gamification of learning have become key enablers of this shift. Moreover, the widespread availabil­ity of smartphones and improved internet connectivity have played an essential role in making digital learning more accessible. This digital surge has led to the rapid rise of edtech companies in India, each bringing fresh and innovative approaches to academic delivery. These platforms are redefining how lessons are taught as well as strengthening the teacher-student dynamic and driving better learning outcomes.

A look at how these key technologies are transforming learning, what obstacles lie ahead and what the future of Indian edtech may hold…

AI and personalisation

One of the most immediate and practical applications of AI in education has been in streamlining administrative tasks. Tools powered by AI are helping teachers automate routine processes such as grading assignments, tracking attendance and managing student records, freeing up their time to focus on engaging with students and enhancing lesson delivery. Beyond administrative support, AI is also transforming how lessons are planned and taught. Educators are increasingly using AI to design lesson plans that align with specific curriculum standards or adapt to individual students’ needs. Moreover, as per an industry survey, many educators (64.87 per cent) advocated that using AI enhances learning experiences and personalises education.

This shift towards intelligent lesson planning is laying the foundation for more personalised and responsive classroom experiences. For instance, the upskilling platform, upGrad, integrates AI algorithms to build more effective curricula and improve content quality, ensuring that learners grasp fundamental concepts with greater clarity. Similarly, Physics Wallah, a major player in test preparation, has introduced “Alakh AI”, an AI-based tutor that offers personalised learning support to students. Moreover, institutions such as the Indian Institute of Technology [IIT] Delhi have issued formal guidelines, encouraging students and faculty to thoughtfully incorporate AI tools into academic work.

Immersive learning

AR and VR are rapidly ushering in a new era of immersive classrooms. These technologies are enabling interactive and engaging learning environments, where abstract concepts come to life. For example, AR-powered virtual field trips allow students to explore historical monuments as if they were physically present, transforming the way history is taught. In subjects such as chemistry, AR videos and animations make it easier for educators to illustrate molecular structures and complex compounds.

As immersive learning continues to gain traction, EdTech start-ups are increasingly investing in AR and VR content delivery. Start-ups such as SparkVR are partnering with schools across India to introduce VR-enabled learning. Their modules allow students to explore intricate biological systems such as stepping inside a 3D model of the human heart to observe the blood flow and valve mechanisms in action. Moreover, as per industry estimates, 75 per cent of students in India’s public school system expressed a preference for VR-based learning over traditional teaching methods, indicating strong demand for immersive education experiences. Several leading edtech firms are responding to this demand. BrightChamps, a kindergarten to class 12 (K-12) coding and STEM platform, has raised a decent amount of funds to expand its offerings, including virtual robotics and AI classes. The company plans to integrate immersive learning tools into its curriculum, promising students and parents a 360-degree view of their learning journey. Meanwhile, LEAD School, a prominent network of tech-enabled educational institutions, has introduced an AR-based “TechBook” for students in Grade 1 through 8. Using a smartphone, the TechBook brings maths and science lessons to life in 3D and enhances comprehension through interactive visualisations. In addition to start-ups, universities such as IIT Madras are actively spearheading initiatives aimed at rural development through education and technology. The institute has launched rural interaction centres to support online learning and is developing AR/VR-based educational modules to improve engagement and comprehension in underserved regions.

IoT and smart classrooms

Connected devices and smart hardware are transforming Indian classrooms into intelligent, tech-enabled learning environments. These smart classrooms are equipped with a host of tools such as interactive digital boards, IoT-powered sensors, connected projectors and smart audio systems, all designed to make teaching more dynamic, responsive and efficient. Further, recognising the potential of Industry 4.0 technologies in reshaping education, the government has placed a strong emphasis on the adoption of IoT in schools. In real-world applications, this translates into classrooms where smart projectors and remote learning tools enable live classes to be broadcast across different locations. Attendance tracking systems, biometric scanners and attention-monitoring sensors are now helping educators measure student engagement in real time. Meanwhile, networked tablets sync directly with teachers’ dashboards, enabling seamless sharing of content and progress tracking.

Several Indian start-ups are contributing to this technological shift. HashStudioz, for instance, is integrating IoT into the edu­cation sector by developing solutions that turn ordinary classrooms and campuses into smart, efficient learning spaces. Institutions are also beginning to set benchmarks in smart infrastructure. The NorthCap University has established a classroom equipped with cutting-edge tools to deliver a top-tier learning experience. Some standout features include 85-inch 4k interactive displays, overhead projectors, ceiling-mounted smart speakers and high definition audience-tracking cameras with personalised zoom-in capabilities.

Game-based learning

Making learning more enjoyable and interactive has become a defining trend in India’s evolving EdTech landscape. Gamification, where learning is infused with game-like ele­ments such as points, levels, badges, leader boards and rewards, is increasingly being used to enhance student engagement and motivation. This approach taps the potential for natural human affinity towards challenges and recognition, transforming routine lessons into immersive, goal-driven experiences.

According to an industry estimate, gami­fication could help propel India’s online education market to $2.28 billion by 2026, as platforms increasingly rely on game mec­hanics to capture and sustain user interest. Companies such as Codecademy have long championed the gamification model. This platform rewards users with badges for completing tasks and progressing through increasingly complex exercises, fostering a sense of achievement and continuous learning. Similarly, Khan Academy uses a combination of progress bars, milestone badges and points to help learners visualise their journey and stay motivated. Similarly, institutions such as Dr Subhash University, Gujarat, are embracing gamification as a core part of their academics.

Challenges and future outlook

As of 2024, only around 54 per cent of Indian schools have internet access, highlighting a stark digital divide in the country’s education landscape. While urban centres and Tier 1 cities are moving towards advanced edtech tools, rural districts continue to struggle. In many of these areas, education remains dependent on low-tech solutions such as television or radio-based lessons. Infrastructure limitations, such as the lack of fibre networks, mobile towers and affordable digital devices, continue to hinder meaningful digital adoption outside urban pockets. Meanwhile, government initiatives such as DIKSHA and Samagra Shiksha have made efforts to distribute digital content across the school system. However, implementation on the ground remains inconsistent, particularly in public schools, where many educators still lack the necessary digital literacy and training. As a result, the edtech boom is largely driven by private schools and urban families. Furthermore, language accessibility remains a barrier, as most platforms are still dominated by English content, while regional language offerings are limited, compounding existing educational inequalities.

The edtech sector has been navigating a prolonged funding winter over the past few years. In 2024, edtech start-ups in India raised approximately $278 million, a 3 per cent increase from $270 million in 2023. This slight rebound suggested cautious optimism. However, the numbers remain a far cry from the sector’s peak in 2021, when funding reached $4.1 billion. To put this in perspective, the 2023 figure marked an 87 per cent drop from the $2.4 billion raised in 2022. This shift reflected a change in investor sentiment.

Further, during the pandemic, edtech was seen as a high-growth opportunity, prompting investors to pour in capital rapidly. However, with schools reopening and user acquisition slowing down, funding has become more selective. Despite these challenges, the future of Indian edtech looks promising. Industry estimates suggest the market will grow from $7.5 billion in 2024 to $29 billion by 2030. By 2029, edtech is projected to contribute roughly 0.4 per cent to India’s GDP, rising from 0.1 per cent in 2020.

In the private sector, hybrid learning models, which combine online content with physical tutoring centres, are expected to remain popular, especially as parents and students have grown accustomed to this format during the pandemic. edtech companies are also increasingly investing in vernacular content to reach untapped user bases. Adding languages such as Hindi, Tamil and Bengali has already been showing significant gains in user engagement and more regional editions are in the pipeline.

Another fast growing vertical is workforce upskilling. Companies are collaborating with platforms such as TeamLease to offer bootcamps, micro credentials and job-ready certification programmes. Partnerships among edtech companies are also on the rise, leading to innovations such as virtual internships and AI-driven tutor bots for workplace skills.

On the policy front, the National Education Policy (NEP) 2020 has set a strong digi­tal vision, prioritising foundational literacy, inclusive content delivery and integration of technology across all levels of education. NEP 2020 also places a strong emphasis on language inclusion. One of the most impactful recommendations of the policy is the use of the mother tongue or regional language as the medium of instruction at least up to Class 5, and preferably up to Class 8, wherever possible. The goal is to enhance comprehension and cognitive development in early education. To support this shift, the policy encourages the development of high quality bilingual teaching materials and textbooks, helping bridge the gap between regional familiarity and academic rigour. Moreover, to support the NEP’s goals, the government has launched platforms such as DIKSHA (for digital teacher-student engage­ment) and PM e-VIDYA (to unify digital and broadcast learning).

As the sector matures, India’s edtech journey is poised to become more inclusive, integrated and personalised. The success of this transformation will hinge on a sustained collaboration between government-led infrastructure efforts and agile, innovation-driven private players.

Harshita Kalra