The Education Industry

Published October 1, 2001

The private-sector education market in the United States grew 8 percent to top the $100 billion mark in revenues last year, according to a new report on the education industry published in August by Eduventures, an independent research firm focused on learning markets.

Although pre-K-12 is the largest industry segment, it has not been growing as rapidly as the postsecondary segment, where for-profit degree-granting institutions have increased their share of the market in recent years.

The state-related policy implications of the increasing contribution of for-profit firms in the postsecondary education marketplace are examined in a study from the Education Commission of the States, which also was published in August. Similar examinations of the pre-K-12 education segment are likely as the increasing presence of for-profit institutions also creates a marketplace there.

For more information . . .

A summary of Eduventures’ August 2001 report on the education industry, Markets & Opportunities 2001, may be viewed at the company’s Web site at The full report, authored by Thomas Evans, E. Yegin Chen, Sean Gallagher, and Jim McVety, is available only to Eduventures’ research subscribers.

Kathleen F. Kelly’s August 2001 report from the Education Commission of the States, “The Rise of For-Profit Degree-Granting Institutions: Policy Considerations for States” by Kathleen F. Kelly, is available from the Commission’s Web site at