KSA Smart Learning Market Outlook to 2028

KSA Smart Learning Market Overview

• In recent years, the KSA Smart Learning market has experienced substantial growth, this is reflected by the global smart learning market reaching a valuation of USD 67 billion in 2023 driven by the increasing adoption of digital learning tools and technologies in educational institutions and corporate training programs.
• The key players in the KSA smart learning market include Edutech Arabia, Noon Academy, Al Khaleej Training and Education, and Pearson Middle East. These companies have established themselves by offering comprehensive digital learning solutions, including e-learning platforms, virtual classrooms, and educational software, catering to both K-12 and higher education segments.
• In 2024, Saudi educational technology platform HAD has successfully raised USD 5 million in a pre-seed funding round, spearheaded by Dar Al Majed Investment. This investment represents a key milestone in the platform's development and growth journey.
• Riyadh and Jeddah dominate the KSA smart learning market due to their large population and concentration of educational institutions and corporate offices. Riyadh, being the capital, hosts numerous universities and training centers that are early adopters of smart learning technologies.

KSA Smart Learning Market Segmentation

The KSA Smart Learning market is segmented by various factors like product, end-user, and region.

• By Product: The KSA smart learning market is segmented by product type into e-learning platforms, virtual classrooms, and educational software. In 2023, e-learning platforms dominated the market in this segment, driven by their flexibility and accessibility. The increasing use of mobile devices and internet penetration has made e-learning platforms a preferred choice for both students and professionals seeking continuous learning opportunities.

• By End User: The market is segmented by end-user into K-12, higher education, and corporate training. In 2023, the K-12 segment dominated the market due to the government's focus on enhancing primary and secondary education through digital means. Initiatives like digital textbooks and interactive learning modules have substantially contributed to the adoption of smart learning solutions in schools.

• By Region: The market is segmented by region into North, South, East, and West. In 2023, the Northern region dominated the market due to its concentration of educational institutions and corporate headquarters. Riyadh's status as the capital city makes it a focal point for educational reforms and investments in smart learning technologies.

KSA Smart Learning Market Competitive Landscape

• Tatweer Educational Technology: In 2023, Tatweer Educational Technology has entered into a Memorandum of Understanding with Lenovo to advance digital transformation in education. The agreement was signed in a ceremony attended by Eng. Abdullah Gahnem Altamimi, CEO of TETCO, Marwan Bsat, General Manager of Lenovo Saudi Arabia, and other senior representatives from both organizations.
• Noon Academy: In 2023, Saudi Arabia-based edtech Noon has secured USD 41 million in Series B funding, co-led by Wa’ed Ventures and Raed Ventures. The round also saw contributions from STV, SVC, Riyadh Valley Company (a King Saud University subsidiary), Endeavor, Sanabil 500, Qyem Development Holding, and Nahlat Alarab Holding, along with other investors.

KSA Smart Learning Market Analysis

KSA Smart Learning Market Growth Drivers

• Increasing Student Enrollment in Online Courses: In 2024, the enrollment in online courses in Saudi Arabia reached 1.5 million students, reflecting a growing preference for flexible and accessible learning solutions. The rise in internet penetration and the availability of affordable digital devices have made online education more accessible to a broader population, driving the demand for smart learning platforms. This trend is particularly strong among working professionals and university students seeking to enhance their skills without disrupting their regular schedules.
• Corporate Demand for Employee Training: The corporate sector in KSA invested substantial amount in 2024 on employee training programs utilizing smart learning technologies. Companies are increasingly adopting e-learning and virtual training solutions to upskill their workforce and maintain competitive advantage. The shift towards digital training methods is driven by the need for continuous professional development in an evolving job market, making corporate training a remarkable growth driver for the smart learning market.
• The increasing adoption of advanced educational technologies: The increasing adoption of advanced educational technologies by schools and universities is characterized by the integration of interactive digital platforms, AI-driven tutoring systems, and virtual classrooms into the learning environment. Schools are utilizing these technologies to create engaging, personalized educational experiences, improve student outcomes, and facilitate flexible learning opportunities. As of 2023, 30.99% of universities in Saudi Arabia have adopted some form of cloud-based services for educational services.

KSA Smart Learning Market Challenges

• High Initial Cost of Implementation: Implementing smart learning technologies involves initial investments, including the cost of digital infrastructure, software, and training for educators. In 2024, it was reported that the average cost of setting up a comprehensive e-learning system in a K-12 institution in KSA was USD 250,000. This high upfront cost can be a barrier for smaller educational institutions with limited budgets, potentially slowing the widespread adoption of smart learning solutions.
• Digital Divide and Accessibility Issues: Despite the government's efforts to enhance digital infrastructure, there remains a digital divide, particularly in rural areas. In 2024, a portion of students in remote regions of KSA lacked access to reliable internet and digital devices, hindering their ability to benefit from smart learning technologies. Addressing this digital divide is crucial for ensuring equitable access to education across the Kingdom.

KSA Smart Learning Market Government Initiatives

• Future Gate Initiative: Launched in 2023, the Future Gate initiative aims to integrate digital technologies into the Saudi educational system. This comprehensive program focuses on developing e-learning platforms, digital content, and virtual classrooms, aiming to create a modern educational infrastructure that supports smart learning across the Kingdom. The initiative represents a important step towards achieving the goals outlined in Vision 2030.
• Tatweer Education Technologies Company (TETCO) Projects: In 2024, TETCO, a government-owned company, rolled out several projects to enhance digital learning capabilities in schools and universities. These projects include the development of interactive e-books, virtual laboratories, and AI-driven learning analytics tools, aimed at improving student engagement and learning outcomes.

KSA Smart Learning Future Market Outlook

The KSA smart learning market is poised for remarkable growth, driven by increased integration of augmented reality (AR) and virtual reality (VR), expansion of lifelong learning programs, and development of smart campuses.

Future Market Trends

• • Increased Integration of Augmented Reality (AR) and Virtual Reality (VR): By 2028, the integration of AR and VR in smart learning platforms is expected to become more prevalent in KSA, providing immersive learning experiences. These technologies will enable students to engage with 3D models and virtual simulations, enhancing their understanding of complex concepts. The adoption of AR and VR in education will be driven by the continuous advancements in digital technology and the government's commitment to modernizing the education sector.
  • Expansion of Lifelong Learning Programs: Over the next five years, there will be a remarkable expansion of lifelong learning programs in KSA, targeting professionals seeking continuous skill enhancement. Educational institutions and corporate training providers will increasingly offer flexible, on-demand courses to accommodate the evolving needs of the workforce. This trend will be supported by the growing demand for upskilling and reskilling in a rapidly changing job market.