Modernising the educational system to meet industry standards and foster the expansion of the EdTech sector is a demand made by the EdTech industry as the Union Budget 2025 draws near. Lowering taxes for EdTech platforms might greatly accelerate the sector's growth, as the industry prioritises education over business goals. The sector also anticipates that funding for partnerships between educational institutions and EdTech platforms will be included in the budget. To guarantee that all students, especially those in underprivileged and rural regions, have access to technology, the 2025 Union Budget should place a high priority on integrating AI into education, especially in the learning of languages.

Will Budget 2025 Offer Tax Breaks for EdTech Startups to Boost Growth?
"The 2025 Union Budget should prioritize modernizing the education system to align with industry requirements and support the growth of the EdTech sector. Given the sector's primary focus on education over commercial objectives, introducing reduced taxes for EdTech platforms could significantly boost its growth. Coupled with this, tax incentives can stimulate the development of innovative tools that bridge the gap between theoretical knowledge and practical application, particularly in areas like AI, machine learning, cloud computing, and data visualization," said Sumit Shukla, CEO, Scholars Merit Pvt Ltd.
"The budget should also allocate funds for collaborations between academic institutions and EdTech platforms, ensuring the integration of industry-relevant technologies into curricula. This will help update outdated programs and equip students with both technical expertise and essential soft skills like problem-solving and communication," commented Sumit Shukla.
Additionally, funding for programs that offer internships, live projects, and hands-on training is essential to provide students with practical experience, preparing them for the demands of the fast-evolving job market. Investment in rural digital infrastructure, such as improved internet connectivity and affordable devices, will ensure equal access to quality education across all regions. These measures will create a skilled workforce capable of thriving in a technology-driven economy.
Bridging the Urban-Rural Divide: Budget 2025's Role in Democratizing Online Education
"The 2025 Union Budget should prioritize the integration of AI in education, particularly in language learning, to ensure that technology is accessible to all students, especially those in rural and underserved areas. Tax incentives for EdTech companies would encourage the development of AI tools that offer personalized learning experiences, moving away from outdated standardized methods. This will help improve English proficiency while preserving regional languages, which are crucial to India's multilingual identity," said Arpit Mittal, Founder and CEO, SpeakX.
"The budget should also allocate resources to enhance digital infrastructure, ensuring affordable internet access and devices in rural regions. This is key for both teachers and students to leverage AI-driven tools effectively. Investment in teacher training programs is also necessary to ensure educators can adapt and use these technologies in the classroom to maximize student learning," said Arpit Mittal.
Additionally, addressing concerns around data privacy and ethical AI use should be a priority. The budget should fund initiatives that research and develop secure AI applications, protecting students' personal data while fostering trust in these tools. With these measures in place, the government can help bridge the gap between educational disparities, making language learning more inclusive and preparing students for future opportunities in a rapidly evolving job market.
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