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Higher Education Market Forecast 2025-2034: Comprehensive Analysis And Growth Opportunities
Higher Education
What Is the Projected Growth of the Higher Education Market?
The size of the higher education market has seen considerable expansion in the past few years. The market is expected to increase from $688.13 billion in 2024 to $754.13 billion in 2025, thereby witnessing a compound annual growth rate (CAGR) of 9.6%. Factors such as the surge in higher education registrations, increased knowledge accessibility, innovation, research, social mobility, and community development have contributed to the growth experienced during the historical period.
The market size for higher education is expected to witness a swift expansion in the coming years. The predicted growth up to $1107.81 billion by 2029, with a compound annual growth rate (CAGR) of 10.1%, can be explained by the increased mobility of international students, economic movements, globalisation, and an emphasis on critical thinking. The main trends contributing to this growth include technological progress, enhanced student enrolment, a blend of online and traditional learning styles, education globalisation, and an inclination towards continuous learning.
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What Are the Different Higher Education Market Segments?
The higher education market covered in this report is segmented -
1) By Component: Platform, Services
2) By Student Served: Junior High School, Post Graduate, Corporate, Under Graduate, High School
3) By Revenue Source: Tuition Fees, Grants, Contracts, And Gifts, Investment Returns
4) By Course Type: Arts, Economics, Engineering, Law, Science
5) By End User: State Universities, Community Colleges, Private Colleges
Subsegments:
1) By Platform: Learning Management Systems (LMS), Student Information Systems (SIS), Online Course Platforms, Assessment And Testing Platforms, Collaboration And Communication Tools
2) By Services: Consulting Services, Implementation And Integration Services, Training And Support Services, Content Development Services, Analytics And Reporting Services
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What Are the Primary Drivers Shaping the Higher Education Market?
The surge in international student mobility is projected to boost the advancement of the higher education market in the future. This mobility concept entails the travel of individuals across different nations for the sake of education. Higher education is instrumental in this planetary student mobility, luring specific programs or schools that provide unique majors or carry a notable status. For example, during the academic year of 2022/23, as reported by the Institute of International Education Inc., a student exchange firm based in the US, American colleges and universities welcomed over 1,057,188 overseas scholars from upwards of 210 countries. This was a marked increase of 12% from the preceding year. Hence, the escalating global student mobility is spurring the progression of the higher education market.
Which Companies Are Leading in the Higher Education Market?
Major companies operating in the higher education market report are Verizon Communications Inc., Dell Technologies Inc., Panasonic Corporation, The International Business Machines Corporation, Cisco Systems Inc., Oracle Corporation, Adobe Inc., VMware Inc., ServiceNow Inc., Xerox Holdings Corporation, Pearson plc, Educomp Solutions Limited, New Oriental Education & Technology Group Inc., Bright Horizons, Blackbaud Inc., Ellucian Company L.P., Coursera Inc., Instructure Inc., Desire2Learn Inc., Smart Technologies Inc., Anthology Inc., Leverage Edu, SAP SE, Unit4 Education Solutions
What Trends Are Expected to Dominate the Higher Education Market in the Next 5 Years?
Leading firms in the higher education sector are pioneering cutting-edge technologies, such as AI tools, in an effort to improve different facets of education and learning. An AI tool can be defined as any software or app that utilizes artificial intelligence (AI) to execute tasks that are generally associated with human intelligence, like reasoning, learning, problem-solving, and making decisions. For example, OpenAI, an American artificial intelligence research firm, in August 2023, introduced the most advanced variant of ChatGPT, a tool capable of transforming and enriching the learning experience in higher education institutions. The application of ChatGPT in universities is examined for its capability to provide tailored and interactive learning experiences, aid in research, automate grading, and enhance student services. The incorporation of ChatGPT in the higher education system is envisaged to reform and elevate the educational environment, providing a preview of a future where higher education is more flexible, interactive, and focused on the student. The implementation of ChatGPT in this sector is an ongoing topic of assessment and debate, emphasizing its ethical and successful integration in educational institutions.
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What Are the Top Revenue-Generating Geographies in the Higher Education Market?
North America was the largest region in the higher education market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the higher education market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
Frequently Asked Questions:
1. What Is the Market Size and Growth Rate of the Higher Education Market?
2. What is the CAGR expected in the Higher Education Market?
3. What Are the Key Innovations Transforming the Higher Education Industry?
4. Which Region Is Leading the Higher Education Market?
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