Market Projection: Generative AI in Personalized Education
A recent HolonIQ and McKinsey analysis suggests that generative AI-driven learning technologies (like AI tutors, content creators, and personalized learning platforms) will dominate the edtech market. HolonIQ predicts that AI-driven EdTech (particularly generative AI tools) will account for over 30% of the $404B global EdTech market by 2025, with personalized learning platforms and AI tutors leading adoption. A collaborative forecast by HonIQ and McKinsey suggests that by 2027, generative AI will:
Power >50% of digital learning tools in K-12 and higher ed.
Drive $50B+ in annual EdTech revenue, with AI tutors as the fastest-growing segment.Global market size expected to grow from ~5B(2024)to∗∗5B(2024)to∗∗30B+ by 2030**.
AI-powered “learning companions” (e.g., ChatGPT Edu, Khanmigo) projected to be in 30% of K-12 and higher-ed institutions by 2027.
AI-powered tutors could automate up to 20-30% of teacher tasks (e.g., grading, lesson planning). Personalized learning platforms (like Khan Academy’s Khanmigo) are scaling rapidly, with a 40%+ annual growth rate in adoption.
Global education is due to go omni channel. Are we ready?
Reference:
HolonIQ (2025) Global Education Outlook https://www.holoniq.com/notes/2025-global-education-outlook
HolonIQ (2025.4) Systematic AI strategic skills https://www.holoniq.com/notes/systemic-ai-strategic-skills-q1-2025-education-trends-outlook