Edtech and recruitment continue to converge. London-based online degree platform, FutureLearn, is taking PS5 0 million (~$ 64.6 M) from Australian-based online job matching group, Seek, in exchange for a 50 per cent stake in the business — just days after the same group led a massive Series E in U.S. online learning giant Coursera.
U.K. distance learning veteran, the Open University — which had wholly owned the FutureLearn platform up til now — retains a 50 per cent stake in the business next following the Seek Group investment.
In a press release announcing the news, FutureLearn said the investment values it at PS100M ($ 129 M) — some six years after the initiative was first announced, with the OU bringing together a consortium of U.K. universities to assault the MOOCs/ online learning space which was then being rapidly expanded by U.S. edtech startups.
” Our partnership with Seek and the investment in FutureLearn will take our unique mission to attain education open for all into new places around the world. Education improves lives, communities and economies and is a genuinely global product, with no tariffs on ideas ,” said OU vice chancellor Mary Kellett in a statement on the investment.
The joint venture will have ” contractual agreement ” to protect its academic freedom, teaching methods and curriculum, the OU added — in an attempt to assuage very concerned about an( overly) commercially minded takeover of its fledgling digital education platform.
The first FutureLearn courses launched in fall 2013. Since then a cumulative total of nine million+ people have signed up to learn via its platform — which now offers around 2,000 courses in all.
This includes short courses; postgraduate diplomas and credentials; all the way up to fully online degrees.( FutureLearn partners with six U.K. universities on the full degree courses at this stage .)
FutureLearn also has partnerships with management consultancy firm Accenture; the British Council; the Chartered Institute of Personnel and Development; learn-to-code foundation Raspberry Pi; and Health Education England( part of the UK’s National Health Service ); and is involved in U.K. government-backed initiatives to address abilities gaps — including The Institute of Coding and the National Centre for Computing Education.
Last fall the Financial Times received information that the OU was looking for a PS40M capital injection for FutureLearn to fund more courses and better compete with the scale of U.S. edtech giants — like Coursera and Lynda.com.
It’s not clear how many more courses FutureLearn plans to add with its new partner on board; a spokesperson told us it is not able to provide a figure at this stage.
For a little comparative context, some 40 M people have taken online classes via Coursera to date — with that platform currently offering some 3,200 courses, and partnering with the likes of Columbia University, Johns Hopkins and the University of Michigan. While Coursera’s $103 M in Series E reportedly valued its business at well over a$ 1BN, with Seek coming on board as a strategic investor.
The shared investor is an interesting but perhaps not surprising growth given the different marketplaces involved, and the challenge of monetizing free-to-access courses without having massive scale — suggesting the Seek group, which is already well established across Australia, New Zealand, China, South East Asia, Brazil and Mexico — assures more possibilities from strengthening regional online learning platform plays, in Europe and the U.S ., to grow the overall online learning tube and expand adjacent cross-marketing options in employment/ task matching.
Last week, when its strategic investment in Coursera was announced, the Seek group talked effusively about how edtech platforms enabling up-skilling and re-skilling are “aligned” with its employment-focused business mission.( Or” our purpose of helping people live fulfilling working lives”, as it put it .)
The FutureLearn partnership offer Seek with access to another pool of potential job seekers — including actively engaged learners in the UK/ Europe — to further grow the geographical reach of its recruitment platform.
Commenting on the investment in a statement, Seek co-founder and CEO Andrew Bassat said: “Technology is increasing the accessibility of quality education and can help millions of people up-skill and re-skill to adapt to rapidly changing labor market. We see FutureLearn as a key enabler for education at scale .”
“FutureLearn’s reputation is strong and it has attracted resulting education providers onto its platform. We are excited to come on as a partner with The Open University ,” he added.
FutureLearn’s CEO Simon Nelson said the joint venture will allow the learning platform to extend its global reach and impact.
“This investment allows us to focus on developing more great courses and qualifications that both learners and employers will value ,” he said in a statement.” This includes building a portfolio of micro-credentials and widening our range of flexible, fully online degrees and being able to enhance support for our growing number of international partners to empower them to build believable digital strategies, and in doing so, transform access to education .”
Read more: techcrunch.com