U.S. E-Learning Market - Focused Insights 2023-2028

U.S. E-LEARNING MARKET SIZE

The U.S. e-learning market was valued at USD 87.09 billion in 2022 and is projected to reach USD 151.73 billion by 2028, growing at a CAGR of 9.70% during the forecast period. The US is the world's largest self-paced learning market, with the potential to significantly alter the global E-learning industry's prospects. The rising trend of adopting online courses and learning materials as a realistic alternative to normal classroom instruction has driven the demand for E-learning in the U.S. region and the industry has witnessed significant development. This has fueled the rise in e-learning’s acceptability across all industries.

The region's high average disposable income, growing use of smartphones, and technological advances in developing interactive and gamified learning platforms are likely to drive market expansion in terms of user base and subscriptions. The expansion of the e-learning market in the area is being driven by factors, such as millennials' increased buying power, increasing smartphone use, predisposition toward new technologies, and growing urbanization.

U.S. E-LEARNING MARKET NEWS

• In 2023, edX, the online learning platform from 2U, in partnership with Jobs for the Future (JFF), introduced the edX MicroBachelors Program Pathway Initiative to support adults aiming to pursue a Bachelor's Degree by offering MicroBachelors programs on edX for free. This gave learners a chance to secure interviews with companies. Such initiatives could encourage stakeholders to team up with industry players to broaden access to cost-effective degree options and improve job opportunities.
• In 2022, Coursera, a leading provider, launched Clips to speed up skill development via short videos and lessons created by global companies and universities. With Clips, organizations can provide essential, in-demand skill-building content to employees, enabling them to start learning in under 10 minutes. This could help vendors deliver focused and efficient upskilling solutions.

U.S. E-LEARNING MARKET TRENDS & DRIVERS

Adoption in Hybrid Model

The hybrid model is expected to gain traction during the forecasted period. Online education is expected to be popular among students, learners, and other professionals as it is easy to access content and drives self-paced learning opportunities. The COVID-19 outbreak has driven the education system toward E-learning, and once the lockdown is lifted and schools reopen, educational institutions will be inclined to adopt a hybrid model. Investment in digital technologies will be a key growth strategy for some brick-and-mortar education players. The behavior shift among teachers and students toward digital dependency has fostered the growth of the digital revolution in the education market. The never-ending COVID restrictions have alarmed students' safety, enabling many educational institutions globally to adopt hybrid models.

Growing Need for Strong Workforce Skills

Digitization influences the way institutions and corporations work by offering just-in-time training solutions. Education has become more goal-oriented and measurable. Learning is no longer confined to a particular place or time. Digitization in learning has become a key success factor for corporations. The advanced application of technologies develops new standards for corporate learning and training. It helps transform the traditional way of doing things, as quick changes, such as work by innovative technologies, pose challenges for organizations. Businesses have become more intercontinental and globalized, thereby increasing the adoption of remote working and telecommuting. By 2030, the skills required in the workforce will be drastically distinct from those valued today.

Introduction of 5G Technology

The emergence of 5G technology is expected to witness heights during the forecast period. The application of 5G will be similar to 4G but more reliable and faster. The bandwidth of connecting to more devices and executing tasks at greater speed without delay will have a huge influence on the education sector. The ability to connect over a million devices per square km will bring out hassle-free advances in smart classes, cloud technology, and gamification, thereby improving the adoption of a tech-based learning ecosystem. The upcoming 5G generation will support virtual classes and augmented reality applications, thereby featuring a new classroom model, thereby defining the role of teachers and students in the classroom.

U.S. E-LEARNING MARKET SEGMENT INSIGHTS

• By Delivery Mode: The packaged content segment accounted for the largest U.S. e-learning market share of over 58%. Packaged content in the E-learning industry refers to the study material for courses on digital learning platforms prepared by regulations and standards. Content packaging specifications and standards allow courses to be transported among different systems. Packaged learning content can be created by one tool, modified by another, stored in a repository maintained by one vendor, and used in a delivery environment produced by a different vendor. Packaged content is accessible either through subscriptions or payment of fees. The content is used for offering process-related and functional training. This mode of delivery has witnessed increased traction as it is comfortable without any constraints on space and time. It is time-saving as it reduces traveling time among students in remote locations and is cost-effective. The demand for E-learning as packaged content is increasing, especially due to the desire to acquire skills among corporates. For instance, there is an increasing demand for skills in industries, such as virtual reality, artificial intelligence, and big data.
• By Learning Mode: The self-paced segment shows the highest growth of 11.35% during the forecast period. Self-paced learning is a specific learning method that allows the learner to learn at their schedule and time. It enables the learner to control the amount of material they use and the time they need to learn the new information. Various E-learning solutions provide self-paced learning tracks due to their autonomous nature and capability to record and capture a person’s activities within the system. For these reasons, self-paced E-learning solutions continue leading modern employee training. Self-paced learning is suitable for different learning. It enables people to adapt to different learning styles. One can easily share the link of their material, publish it on their website, and invite participants by e-mail. It enables workers to learn outside of their work hours. Self-paced learning can be categorized into fully asynchronous and semi-asynchronous. Fully asynchronous training enables learners to start at any time and complete the course material according to their convenience. In semi-asynchronous learning, there is a dedicated start date.
• By Function: The training method segment held the largest U.S. e-learning market share in 2022.  Training involves delivering educational content online from any location to individuals eager to learn specific subjects. These courses can be offered either for free or at a cost. Training modules typically consist of PDFs, video tutorials, Word documents, and assessments designed to make learning more efficient and accessible. Certificates and certifications awarded upon completion are well-regarded by many organizations. Several companies provide training to their employees before confirming them in permanent roles. Online training can be accessed anytime, from anywhere, offering flexibility in both time and effort. The process generally starts with a standard registration. Although the modules are optimized for desktops, they can be configured for access across laptops, smartphones, and tablets via web browsers.
• By End-User: The corporate segment dominates and holds the largest share of the U.S. e-learning market. Corporations use e-learning to train employees, facilitate communication, and boost overall workforce value. They continuously seek ways to improve employee efficiency and productivity. Upskilling existing staff remains a consistent need. E-learning equips employees with crucial skills, increasing their worth to the organization. In corporate settings, e-learning is tailored to meet specific business needs—whether it's training different departments, launching new products, or enhancing current employee capabilities. E-learning software for corporates is developed with both company and employee requirements in mind. Many solutions include features such as communication tools, designation modules, content banks, syllabus planners, and reporting systems. Designation modules help manage roles, responsibilities, user profiles, clients, and groups. The content bank allows users to organize content into categories and define the types of content utilized within the platform.

U.S. E-LEARNING MARKET VENDOR LANDSCAPE

The competitive scenario in the U.S. e-learning market is currently intensifying with global and domestic players offering a diverse range of products. In terms of market share, a few of the major players are currently dominating the market. Some companies that are currently dominating the market are Adobe, Anthology, Cisco, Coursera, etc. The major players are focusing on strategic agreements, acquisitions, and collaboration with emerging players to enter the US e-learning market and gain access to commercially launched products.