{"id":105856,"date":"2024-11-09T10:17:00","date_gmt":"2024-11-09T09:17:00","guid":{"rendered":"https:\/\/cms.munich-startup.net\/?p=105856"},"modified":"2024-11-08T09:13:47","modified_gmt":"2024-11-08T08:13:47","slug":"first-edtech-startup-monitor","status":"publish","type":"post","link":"https:\/\/cms.munich-startup.net\/en\/105856\/first-edtech-startup-monitor\/","title":{"rendered":"First Edtech Startup Monitor: Slow digitalization and lack of financing"},"content":{"rendered":"<div class=\"entry-content\">\n<p>A total of 493 Edtech startups have <a href=\"\/en\/day\/startup-association\/\">Startup Association<\/a> and the Founders Foundation identified them as such for the first German EdTech Startup Monitor. Ninety-eight of them participated in the survey. Almost all respondents, 91 percent, agreed: The pace of digitalization in the German education sector is too slow. Fifty percent identified the lengthy decision-making processes in educational institutions as one of the reasons for this.<\/p>\n\n\n\n<p>Edtech startups could help address this issue. According to the survey, 80 percent of them focus on digital business models such as apps and online learning platforms. This puts them even more emphasis on this than startups in general (64 percent).<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Munich is the second most important location<\/h2>\n\n\n\n<p>With 29 percent of companies \u2013 or 142 startups \u2013 Berlin is home to the most edtech startups. Munich follows with 37, Hamburg with 34, Cologne with 28, and D\u00fcsseldorf with 14. The focus on metropolises is thus even more evident here than in other sectors. Furthermore, only four federal states play a decisive role.<\/p>\n\n\n\n<p>The companies&#039; business models, however, span the entire educational landscape. The vocational and continuing education market sector for corporate and private customers accounts for the largest share (41 percent). 38 percent develop solutions for daycare centers, schools, and universities. Another 21 percent are dedicated to lifelong learning.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Biggest challenges: capital and bureaucracy<\/h2>\n\n\n\n<p>Although the demand for new digital solutions is clearly high, EdTech startups struggle with financial hurdles. Only four percent of startups have received venture capital so far. Across all industries, the figure is 19 percent. EdTechs also receive support from business angels significantly less frequently, at 24 percent, compared to the 32 percent across all industries.<\/p>\n\n\n\n<p><strong>Benedict Kurz<\/strong>, board member of the Startup Association and founder and CEO of the startup Knowunity, says:<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>&quot;Startups that offer educational technology, in particular, face particular financing hurdles. Yet investments in education are particularly important for the economy. We in Germany must mobilize more private capital, especially from institutional investors, and strengthen exit channels. Only in this way can we provide innovative companies with the resources they need for growth and scaling.&quot;<\/p>\n<\/blockquote>\n\n\n\n<p>The startups surveyed identified bureaucracy as another major obstacle. Sixty-five percent of founders experience sales difficulties, citing structural hurdles from institutional clients as the main reason (89 percent). Added to this is the federal education system, which complicates the market structure through differing legal requirements.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">High proportion of female founders<\/h2>\n\n\n\n<p>With a female founder share of 36 percent, the proportion of women in <a href=\"\/en\/102016\/what-do-edtech-startups-do\/\">Edtech startups<\/a> Twice the national startup average. The numbers are also above average among founders with professional experience and a degree in the humanities or social sciences. For 57 percent, their own vision, i.e., a strong enthusiasm for and identification with the topic, is paramount. When viewed across industries, this applies to only 47 percent of all founders.<\/p>\n\n\n\n<p><strong>Dominik Gross<\/strong>, Executive Director of the Founders Foundation, commented:<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>&quot;Edtech founders are committed to a new form of education: They are deeply committed to a new form of education and remain persistent \u2013 even when the hurdles of bureaucracy sometimes seem greater than the desire for change in the education sector. The fact that more than 90 percent would start a business again shows that the drive to revolutionize our education is incredibly strong. And we need it to continue to have well-trained, contemporary people in Germany who can drive our society and economy in the future.&quot;<\/p>\n<\/blockquote>\n\n\n\n<p><a href=\"https:\/\/startupverband.de\/fileadmin\/startupverband\/mediaarchiv\/research\/sonstige_studien\/EdTech_Startup_Monitor_2024.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">The entire Edtech Startup Monitor is available on the Startup Association\u2019s website.<\/a><\/p>\n<\/div>","protected":false},"excerpt":{"rendered":"<p>Together with the Founders Foundation, the startup association has published the first edition of the Edtech Startup Monitor. The report highlights the nationwide status, hurdles, and potential for founders in the education sector \u2013 and their views on the pace of digitalization in their industry.<\/p>","protected":false},"author":42,"featured_media":90835,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[5638,1],"tags":[1474,5229,5228,3780],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.1.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Erster Edtech Startup Monitor: Langsame Digitalisierung und mangelnde Finanzierung - Munich Startup<\/title>\n<meta name=\"description\" content=\"Der Edtech Startup Monitor von Founders Foundation und Startup-Verband zeigt Status, H\u00fcrden und Potenziale f\u00fcr Gr\u00fcnderInnen im Bildungssektor.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" 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