- Company to set new standard for hybrid learning, following December 2022 acquisition of offline player, Studienkreis
- AI integration to be prioritised, with EdTech unicorn having estimated the Global market size of AI in education to reach $10-20 BN by 2027
4th August 23 - London, UK- GoStudent, one of the world’s leading tutoring providers and education platforms, has today announced a strategic $95M raise, with funds being used to realise the company’s hybrid vision and double-down on AI integration. The raise is a mix of equity and debt capital, with participation from Deutsche Bank, and investors including Left Lane Capital, DN Capital, Tencent, Prosus, DST, Coatue and Softbank Vision Fund 2. It signals strong support for the EdTech unicorn’s vision to harness the power of innovative technology whilst maintaining the human touch, creating truly personalised learning solutions.
Understanding that there is no ‘one size fits all’ when it comes to education, the raise will be used to bring enhanced hybrid learning solutions to the DACH region. Having seen that 61% of parents are seeking a combination of online and offline educational support, GoStudent and Studienkreis will offer families in Austria and Germany access to packages tailored to the child’s learning style and needs, spanning 1:1 online tutoring, group offline lessons, and sessions via GoVR - GoStudent’s newly-launched virtual reality language learning platform.
Tech solutions also feed into the company’s hybrid strategy. GoStudent shared its strategic vision for AI in May 2023, having calculated that the global market size of AI in education could reach $10-20 billion by 2027. With this round, GoStudent will prioritise the creation of AI-driven tools.
With a view to empowering the +23,000 tutors on its platform, GoStudent will develop an AI lesson plan generator, trained on the local curriculum, saving each tutor an average of 15 minutes per lesson: an enormous time save considering the volume of lessons taking place on the GoStudent platform each month. The company will also introduce AI-driven content-based learning to its platform, meaning students can study in between lessons, engaging with content tailored to their specific needs.
“We see daily the impact that tailored learning can have on a child’s confidence,” comments GoStudent CEO and co-founder, Felix Ohswald. “By offering AI-driven study support or virtual reality lessons in group environments, alongside traditional tutoring, a truly bespoke learning path can be created for each individual child - readying them for their future.”
He continues: “More immediately, though, families will have total flexibility via our hybrid model. If the preference is for offline tutoring, but the family is travelling for summer, 1:1 online lessons can be booked to ensure momentum is not lost. Or, if a child loves to learn English together with other children, but needs 1:1 support in mathematics, we can make this happen. For us, hybrid is about ensuring long-term learning success that suits the needs of the individual. This raise ensures we seize this opportunity, and signals confidence that we are driving the future of education.”
“As one of GoStudent’s earliest investors, we backed the company’s vision and are thrilled to see the team execute against it,” comments Harley Miller, CEO and Managing Partner at Left Lane Capital. “The team has honed its core online tutoring offering, built a sustainable model, and grown across Europe. As GoStudent doubles down on its existing VR capabilities, introduces smart AI tools, and drives synergies with Studienkreis, we see even further potential to complete its vision of hybrid offline and online tutoring, as well as introducing other technology-enabled learning modalities.”
Across its portfolio, GoStudent supports more than 11 million families. The company operates in 15 countries and more than 1 million 1:1 online tutoring lessons are booked globally each month.
Note to editor: Global AI in Education Market size estimate created through the analysis of three reports: Global Market Insights, Grand View Research, and Global Market Estimates and insights taken from Holon IQ.
*Internal research by GoStudent exploring Online Learning and Tutoring Attitude of 400 parents in the DACH region.
About GoStudent
GoStudent is one of the world’s leading tutoring providers and education platforms. Founded in Vienna, Austria, in 2016 by Felix Ohswald (CEO) and Gregor Müller (COO), the venture-backed unicorn has raised more than €675m from investors including Prosus, Left Lane Capital and SoftBank Vision Fund 2. Believing the future of education is hybrid, GoStudent has expanded its offering over the past two years with the acquisition of three EdTech companies - Seneca Learning, Tus Media and Fox Education - and offline tutoring business, Studienkreis. Together, these companies aim to unite the best of the online and offline world to unlock every child’s potential. Across its portfolio, GoStudent employs more than 1,500 staff and supports more than 11 million families each month. Learn more here: www.gostudent.org
About Left Lane Capital
Founded in 2019, Left Lane Capital is a New York-based global venture capital and growth equity firm investing in internet and technology companies with a consumer orientation. Left Lane’s mission is to partner with extraordinary entrepreneurs who create category-defining companies across growth sectors of the economy, including software, healthcare, e-commerce, consumer, fintech, edtech, and other industries. Today, Left Lane Capital has invested in more than 60 companies worldwide. Select investments include GoStudent, M1 Finance, Wayflyer, Bilt, Masterworks, Blank Street, Talkiatry, Tovala, and more. For more information, please visit: https://www.leftlanecap.com
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