Why India is gaining a global edge with AI- proofed talent. By Mayank Kumar, Co-Founder and Managing Director of upGrad
"The Indian edtech market is flexible, evolving and expected to touch $10 billion by 2025."
The constant market evolution and hyperbolic fears concerning job security have left the global workforce rethinking learning needs. Upskilling has now become a necessity to ensure fresh graduates and even seasoned professionals remain relevant to businesses. The demand for flexible higher education backed by practical skills and critical thinking is also gaining popularity. Along with China’s crackdown on the edtech sector, global traction has been redirected to India for its talent-rich ecosystem, resulting in higher capital inflow.
What does it mean for India?
The recent macroeconomic circumstances have also favoured India’s growth potential and are making India's higher ed system an attractive proposition for the global audience, especially recruiters who are scouting for market-ready talent. Time and market requirements have equally evolved and conventional education, which was once the driver of economic growth, is no longer sufficient to keep pace with the rapidly changing global demands. The Indian edtech market is flexible, evolving and expected to touch $10 billion by 2025.
Rise of experiential learning
India is home to thousands of edtech companies spanning from pre-school, K12, tuition providers and test prep to adult learning and upskilling workers. In recent years, these companies have used their innovative tech capabilities to maintain an uninterrupted flow of education for millions. They acquired new learning methodologies that developed pre-existing basic content, and with time, these capabilities led to a whole new segment of experiential learning, especially amid lifelong learning segments, where real career ROIs are reflected. Instead of merely absorbing information from lectures and textbooks, students are encouraged to actively participate in real-world tasks, projects and simulations that foster critical thinking.
Highs and lows
During economic downturns or slow market conditions, higher education or upskilling programmes usually see an uptick. This was evident during India's Dotcom bubble burst during 2000-02, as well as the financial crisis in 2008-09, when MBA and higher education enrolments increased. Today, the trend continues with an increasing number of tech professionals and non-techies across Indian states seeking to reskill or upskill themselves and stand out in a competitive job market that is disrupted by modern-day workplace innovations. It's no longer about having a master's degree, but having add-on skill capabilities that make them the employer's choice.
Changes to the job market by 2027
According to the World Economic Forum
Expect job churn from AI
New jobs created
Old jobs lost
Using technology for curriculum development
Technology plays a critical role in enhancing the curriculum so that it facilitates concrete learning returns for students or professionals. Generative AI, prompt engineering and ChatGPT have become new trends that are disrupting the global talent requirement. Edtech tools such as virtual reality, artificial intelligence and adaptive learning systems, allow educators to create immersive and engaging learning environments and accelerate better learning and retention.
Bridging the academia-industry gap
One of the most significant challenges faced by traditional education systems is the disconnect between the skills taught in the classroom and the skills required by industries. To address this gap, edtechs collaborate with industry experts to design course content that is relevant. Several successful case studies demonstrate the impact of industry-aligned education. For instance, coding bootcamps have emerged as a popular alternative to traditional computer science degrees, offering intensive, hands-on training in high-demand programming languages and technologies. Another example is the growing partnership between offline universities and online companies that are also accelerating the acceptance of blended learning for maximised career benefits. It seems like a win-win for both that lets universities expand their reach without having to expand physically, while allowing scalability and visiblity for edtech companies who innovate.
The mismatch of hard and soft skills amongst the graduated talent is also widening the demand-supply gap. Nonetheless, the universities have been extremely prompt in analysing the root causes and have been actively working with edtechs to build an all-inclusive learning ecosystem that empowers talent with the right set of theories, hands-on training and 'power' skills like critical thinking and sharp communication for accelerating desired results.
In the latest Future of Jobs report, the World Economic Forum said that the global market churn is estimated to be at 23 percent as 69 million new jobs are expected to be created, whereas 83 million are expected to be eliminated by 2027. This can be attributed to the top emerging roles coming from AI, machine learning and data segments.
Shape-shifting in learning
Edtech's capabilities doesn't just end at solving academic queries, but also benefits non-academic concerns around market conditions, job profiles, prospects, and industry acceptance have become common. Career coaches/mentors understand their concerns, skill competencies and career aspirations to map them in a way that helps students make sound career choices and get the desired career ROI. Peer-to-peer engagements, live discussion forums, or 1:1 mentor sessions, are a few examples where learners can freely discuss their apprehensions and eliminate anonymity from online/blended learning. Post-programme completion features like alumni engagement and offline networking with peers and industry leaders are also critical in ensuring there's continued credibility towards the learning format.
It's no doubt that the upskilling ecosystem is evolving at a break-neck pace and India sits at the very crux of becoming the talent powerhouse. The only missing piece initially was the means to achieve the requisite modern-day skills that connected talent to demand. However, as we proceed from this point, the growing camaraderie between universities, offline institutes and edtechs will fine-tune the gap, and support India’s aspirations in becoming the next talent hub for the global economy.