Elearning Market Update - December 2009

This month we take a look at the UK Elearning Market Report for 2009 from Learning Light.

The latest report from Learning Light on the UK elearning market paints a picture of a healthy and growing market. The report says that estimates of the size of the UK elearning market vary between £300 million to £450 million, and that the market forecasts for growth are between 6.7% and 8%.

The report identifies a growing market matched by a growing number of elearning companies. These companies are exploring a multiplicity of elearning approaches from social networking to games to mobile learning to open source solutions.

At Kineo we have yet to see a large demand, through tenders at least, for solutions such as games and mobile learning. However, there is no shortage of optimistic articles and product offerings so maybe 2010 will the year that these elearning solutions become mainstream.

On open source solutions the report says “Moodle and indeed other open source VLE platforms such as Sakai will come to play an increasing role in the marketplace.”

The authors argue that “Moodle will support tactical quick and practical launches of elearning, and we see an increasing number of content development providers incorporating Moodle into their offer as a way of expediting the delivery of an elearning programme.”

They add “We are already seeing the emergence of a growing number of a Moodle “plug ins” applications for both the corporate and education market. This can only drive further adoption of the Moodle platform.”

As the UK’s largest Moodle provider we are biased but we would agree with the growing influence of Moodle. Find out more on our Moodle LMS platform.

One of the interesting facts to emerge was the skill shortage in the industry. 85% of the companies interviewed reported skills shortages when seeking employees or specialist sub contractors. This is becoming an increasing issue as the industry grows. At Kineo we doubled the number of our permanent employees in the last 12 months and it is taking longer to find the right skills in a number of areas such as learning design. Companies such as ourselves and Line, have established internal training and development programmes to help grow the next generation of elearning talent.

Interestingly both ourselves and Line have joined other leading companies such as Desq in establishing offices in Sheffield. The report argues that the digital and new media industries in the Sheffield region are growing at a faster rate than anywhere else in the UK in terms of specialist companies and new jobs. Line have been a major contributor to this growth and we congratulate Line on their success, especially in areas such as Defence elearning, to become the UK’s largest bespoke content developer in 2009 according to the report. We hope to challenge them for top spot next year but many congratulations to Piers and the team at Line on their success.