Steven Loeb and Bambi Francisco Roizen recently sat down with Ian Chiu, Managing Director at Owl Ventures, the world’s largest venture capital firm focused on education technology, with over $2.5 billion in assets under management. With a global portfolio spanning the US, Europe, Asia, Africa, and Latin America, Owl Ventures’ companies serve over 591 million learners across 241 countries, including 41,000 higher education institutions and 930,000 employers, and have created more than 46,000 jobs.
Ian Chiu’s Background and Path to EdTech
Chiu grew up in Houston as the son of immigrants, attending public school where he recognized the vital importance of education early on. He co-authored a book on scholarships, endorsed by Stanford University, which further fueled his passion for education. Chiu later attended Stanford, launched a startup, worked in consulting at Bain, and explored news media, banking, and even the NBA before diving into investing. He started his career in tech investing and, about 15 years ago, shifted his focus to education services and edtech, drawn by the potential to positively impact both learners and the broader education market.
Owl Ventures: A Purpose-Built Team for EdTech Investment
Owl Ventures is uniquely structured to invest in and support edtech companies. The team includes professionals with backgrounds in education, policy, and business, including Jessie Woolley-Wilson, former CEO of DreamBox Learning, a major math technology provider for public schools. Chiu emphasized the importance of understanding not just education, but how technology interacts with schools, students, teachers, and even governments. Owl’s expertise spans the entire education ecosystem, making them more than just investors—they are partners in shaping the future of learning.
The Evolution of EdTech: From Textbooks to Digital Classrooms
In the early 2000s, education technology wasn’t considered a serious investment category. Education services were dominated by publishers and training organizations, and infrastructure limitations, like the lack of broadband access in schools, hindered the growth of digital tools. The turning point came in the 2010s with the government’s E-rate program, which brought broadband to more schools and allowed entrepreneurs to build edtech companies that could deliver their products directly into classrooms.
Parental Engagement and Technology’s Role
Chiu stressed the critical role of parental involvement in education. While schools are essential, students spend more time learning outside of them, and having parents engaged is key to student success. Today, technology allows for more frequent and personalized communication between teachers and parents, enabling both to work together to address students’ needs. In contrast to the days of occasional report cards and parent-teacher conferences, modern tools offer detailed, real-time assessments that keep parents in the loop.
COVID-19’s Lasting Impact on Education
The pandemic disrupted education worldwide, leading to significant declines in student performance. For instance, fourth graders saw the largest reading score drop since 1990, and eighth graders posted their worst-ever decline in math. Chiu noted that addressing these setbacks requires a multifaceted approach involving schools, teachers, parents, and curriculum adjustments. While technology can assist, there’s no single solution to fix these learning gaps.
Helping Teachers Adapt to New Technologies
Chiu emphasized that introducing new technology into classrooms isn’t a quick fix. Schools must invest in training teachers on how to use these tools effectively. One of Owl Ventures’ portfolio companies, BetterLesson, provides professional development for educators, including training on artificial intelligence. Chiu stressed the need to teach AI, computer science, and technology as part of the foundational curriculum, ensuring that learners are prepared for the world they will enter.
The Future of EdTech and Owl Ventures’ Role
As education technology continues to grow, Owl Ventures remains at the forefront, investing in companies that address key challenges in education. With a comprehensive understanding of the global education landscape, Owl’s team is committed to driving innovation and creating opportunities for learners worldwide. By focusing on edtech’s vast potential, Owl Ventures is shaping the future of learning across all stages of life, from K-12 to higher education and beyond.
