GoStudent, one of the world’s tutoring providers and education platforms, announced a strategic €86.7 million 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.
This raise comes after the Austrian company secured in January 2022 €300 million, and after two years of acquiring unicorn status in June 2021.
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.
“More immediately, though, families will have total flexibility via our hybrid model. If the preference is for offline tutoring, but the family is traveling 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.”, commented GoStudent CEO and co-founder, Felix Ohswald.
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,” added 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.”
Founded in 2016, 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.
“As one of GoStudent’s earliest investors, we backed the company’s vision and are thrilled to see the team execute against it,” said 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.”
Read the orginal article: https://www.eu-startups.com/2023/08/vienna-based-gostudent-raises-e86-7-million-to-integrate-a-new-ai-virtual-reality-learning-experience/
