India's EdTech Sector Set to Boom with AI-Driven Adaptive Learning Solutions
Mumbai, India - The education technology (EdTech) sector in India is witnessing a significant boom, driven by the adoption of AI-powered adaptive learning solutions that address the growing skill gap and employability crisis in the country.
As reported by the International Market Research Agency Group (IMARC Group), the global EdTech industry will continue to expand at an annual growth rate of 11.86 per cent from $250.2 billion in 2024 to $721.2 billion by 2033, fueled by the increasing demand for high-quality, accessible education.
The industry is seeing a surge in investment, particularly in adaptive learning solutions that offer individualized learning experiences, adaptive assessments, and real-time feedback. These solutions are being seen as a game-changer in addressing the shortage of skilled professionals in emerging sectors such as AI, data analytics, and renewable energy.
According to research by Aspiring Minds, 94 per cent of engineering graduates in India are not job-ready, while Mercer-Mettl's Graduate Skill Index 2025 reveals that only 42.6 per cent of Indian graduates meet basic employability criteria. The mismatch is being attributed to a lack of soft skills, such as communication, collaboration, and critical thinking.
To bridge this gap, EdTech platforms are offering flexible, self-paced, and remote learning options that cater to the needs of students from tier 2 and 3 cities and women who face structural barriers in accessing education. The platforms offer upskilling programs, online mentorships, and industry-validated certifications that enable learners to acquire in-demand skills.
The industry is also seeing a shift towards lifelong learning, with EdTech solutions being integrated into universities as part of their revamped curricula. The focus on micro-credentials, industry certifications, and proof of real-world skills is becoming increasingly important, making it essential for individuals to continuously upskill without pausing their careers.
In a bid to address the looming talent shortage in emerging sectors, EdTech companies are partnering with governments, corporations, and educational institutions to provide scalable solutions that focus on adaptive learning, AI-powered assessments, and industry-aligned curricula. This shift towards relevance and accountability in higher education is being driven by the urgent need to bridge employability gaps, regional disparities, and the rapid evolution of job requirements.
For investors, the EdTech market offering is seen as a bet worth placing, given its promise to deliver scalable solutions to a widespread global challenge. The growth engine for future-ready skills is set to drive the expansion of the AI-driven EdTech sector, making it an exciting space to invest in the coming years.