US Education Market 2025–2034

As per the current market research conducted by the CMI Team, the US Education Market is expected to record a CAGR of 4.45% from 2025 to 2034. In 2025, the market size is projected to reach a valuation of USD 1.34 Trillion. By 2034, the valuation is anticipated to reach USD 1.92 Trillion.

US Education Market: Overview

Education can take many different forms and is the process of imparting knowledge, skills, and character qualities. Formal Education follows a curriculum and takes place in an institutionally organized setting, like public schools. While informal education involves unstructured learning through everyday events, non-formal education also takes a systematic approach and takes place outside of the official school system.

Early childhood, Elementary, Secondary, and postsecondary Education are among the levels into which formal and informal Education are divided. Other categories concentrate on disciplines like science, Language, and Physical Education, as well as teaching strategies like teacher-centered and student-centered Education.

The US Education market is driven by several variables, including technological advancements, demand for lifelong learning and upskilling, increasing government initiatives and funding, increasing importance of higher Education, and others. However, the increasing cost of education might impact the industry expansion during the forecast period.

• According to secondary analysis, schools in the United States spend an average of $19,973 per pupil, which is the 2nd-highest amount per pupil (after adjusting to local currency values) among the 40 other developed nations in the Organization for Economic Co-operation and Development (OECD).

US Education Market: Growth Factors

Advancements in technology

Advancements in technology and shifting preferences for online Education have propelled the growth of the Education sector. In addition, the penetration of SMART devices has encouraged the use of digital technologies to take over. For example, online learners are now enabled an SSO for their selected courses and can store their contents and learning materials in a dedicated cloud space.

This helps the learner with dedicated access and encourages digital literacy to a vast extent. The U.S. vendors on the technological front are focusing majorly on providing unlimited bandwidth to the learners and enabling access to supporting technologies, further accelerating the demand for cloud technology in the U.S. Education market.

Increasing demand for e-learning

The growing usage of digital technologies for administrative and educational purposes drives E-learning. As e-learning becomes more ingrained in the Educational system, suppliers are also expanding and developing their products to cover a wider range of subjects and learning approaches, such as AI-driven personalized learning experiences.

In addition, it significantly broadens the market for e-learning services by meeting the demands of conventional educational establishments and creating new chances for lifetime learning, professional growth, and informal education. Therefore, according to projections for the US e-learning industry, the market continues to grow and innovate due to changing consumer demands.

US Education Market: Recent Development

The US education market has adopted several strategies, including product launches, acquisitions, collaboration, and expansion. Some of the company strategies include:

• In January 2024, AAU formed the Task Force on Expanding United States-India University Partnerships. The objective of the Task Force has been to specifically explore how the United States can work with institutions and institutional leaders in India to expand bilateral research and higher education partnerships as part of a pathway toward a strategic strengthening of the U.S.-India relationship.

These product launches and collaboration strategies have expanded the company’s market presence in the US Education market and gained its competitive edge.

US Education Market: Challenge

Rising Education cost

The increasing Education cost is one of the major restraining factors for the US Education market. The higher Education cost is rising significantly in the country. Students and their families are financially burdened by tuition fees, textbooks, and other costs. The people in the country find this to be a major obstacle to entry. Thus, the high financial burden impacts the market growth.

US Education Market: Category-Wise Insights

By Technology:

The on-premise segment dominates the market. The segment expansion is attributed to the growing investment in infrastructure. Federal and state governments continue to fund Educational facility improvements and maintenance, such as classroom renovations, new school construction, and laboratory equipment. Furthermore, increased enrollment in K-12 Education favors industry growth.

Besides, the cloud segment is growing at a rapid rate. Cloud-based platforms have become increasingly important for delivering online and hybrid Education methods especially after COVID-19. Platforms such as Google Classroom, Blackboard, and Canvas use cloud infrastructure to enable access to digital course materials, assignments, and evaluations.

Furthermore, cloud-based solutions enable institutions to scale resources up or down based on enrollment or consumption, thereby optimizing expenses. The transition towards cloud reduces the need for on-premise gadgets and IT professionals, resulting in lower capital and operational costs.

By Content:

The video-based content segment captures a prominent market share in the US Education market. The use of video-based material in the US education industry has increased due to technological improvements, the development of teaching methods, and a growing demand for interesting and interactive learning experiences.

Besides, the text content segment shows a rapid expansion. The segment growth is attributable to the growing transition towards digital content. E-books and digital libraries enable students and instructors to access content across different platforms, reducing dependency on traditional textbooks. Chegg, Perlego, and Scribd are examples of platforms platforms.

Report Scope

US Education Market: Country Analysis

California dominates the US Education market. The state expansion of the market is attributable to the increasingly large and diverse student population. California has the most K-12 pupils in the United States, with over 6 million enrolled in public schools, leading to a high demand for Educational resources, infrastructure, and services.

The state is home to premier universities such as the University of California (UC) system, the California State University (CSU) system, and Stanford University, which fuels the demand for advanced Education solutions.

List of the prominent players in the US Education Market:

• Smart Technologies
• Wall Family Enterprise
• Adobe Systems
• Pearson Plc
• Tata Interactive Systems
• Saba Software
• Promethean Inc.
• AWE Acquisitions
• Cisco
• Others

The US Education Market is segmented as follows:

By Technology

• Cloud
• On-premise

By Content

• Audio-based Content
• Text Content
• Video-based Content

By Smart Learning Mode

• Simulation Based Learning
• Social Learning
• Blended Learning
• Webinars
• Others

By Component

• Service
• Hardware
• Software