OpenAI Considers Introducing ChatGPT into Classrooms: Analysis and Forecast of AI Education Industry Development Prospects

[baoshi.rao]

Artificial intelligence, as a crucial driving force behind the new wave of technological and industrial revolution, is profoundly transforming people's lives, work, and educational methods. AI technology is increasingly being applied across various aspects of teaching management, and AI courses are gradually becoming an important part of primary and secondary education.

Brad Lightcap, Chief Operating Officer of AI startup OpenAI, recently stated at a conference that OpenAI is exploring ways to bring its widely popular chatbot ChatGPT into classrooms.

With the support of billions of dollars in funding from Microsoft, OpenAI launched the ChatGPT chatbot in November last year, sparking a generative AI boom. ChatGPT has since become one of the fastest-growing applications globally. After extensive data training, generative AI can assist users in writing term papers, completing homework assignments, and even composing entire novels, showcasing astonishing capabilities in handling textual content.

The introduction of ChatGPT caused a significant stir in the education sector, catching teachers off guard as they realized its potential for misuse in cheating and plagiarism. This led to strong backlash and bans in some schools. Lightcap noted that initially, schools and teachers viewed it as the worst thing to happen, but after several months, they began to recognize the benefits ChatGPT could offer.

Lightcap claimed that OpenAI plans to form a team in 2024 to explore the application prospects of ChatGPT in the education sector. This technology has the potential to disrupt several industries and is gradually becoming a popular tool for learning and work.

Data from Sydney-based research firm HolonIQ shows that global education and training expenditures are expected to reach $10 trillion by 2030. As AI surges forward, it is inevitable that it will transform the entire education industry.

AI education refers to a comprehensive intelligent education system encompassing AI-related courses at various levels, including primary and secondary education. With advancements in multiple AI technologies, multimodal models like GPT have achieved significant breakthroughs in text and image processing, promising to help build a new ecosystem for intelligent education.

Many regions have already begun exploring AI education during compulsory schooling. However, varying foundational conditions and challenges such as the lack of smart equipment support, top-level design involving local education administrations, and teaching research departments remain. Collaborative efforts across government, industry, academia, and research ("政产学研用") are expected to drive AI education toward a more systematic and scientific direction.

In the international education market, companies like Duolingo, Khan Academy, Chegg, Quizlet, and Speak have partnered with OpenAI to fine-tune and interface with GPT models, enhancing their product experiences and accelerating the commercialization of AI technology.

In China's education sector, iFLYTEK has launched the Spark Cognitive Large Model, targeting four major applications: education, office work, automotive, and digital employees. Its educational features include essay grading and simulated real-life conversations with oral English teachers. NetEase Youdao has introduced an AI oral English teacher that provides students with open-ended chat scenarios, creating a more authentic speaking practice environment and generating quick post-conversation reports. TAL Education Group has announced the development of its self-developed mathematical large model, named MathGPT.

AI Education Market Competitive Analysis

With the continuous expansion of market size, the AI education industry has begun to form a certain degree of market competition. Currently, the main competitors in the market fall into the following three categories:

1. Traditional educational institutions represented by industry giants

These institutions have strong brand appeal, resource advantages, and inherent campus network benefits. However, they face limitations such as rigid management, textbook-centered teaching models, and a general lack of awareness among teachers about using advanced technological tools. As a result, there remains significant room for growth in this sector.

2. New-type educational institutions represented by internet technology

These institutions feature online-offline interaction and high efficiency, creating diverse educational products tailored to individual student needs. They often offer lower prices and faster updates to teaching content, earning broader recognition.

3. Niche Education – Specialized educational institutions

These institutions typically focus on specific subject areas, offering highly targeted and in-depth education. They serve a relatively small student population but excel in service quality and teaching effectiveness, making them highly favored by the market and clients.

AI Education Industry Development Prospects Forecast Analysis

In the era where AI+education holds great promise, numerous enterprises entering the field are expected to seize the technological advantage of large AI models through R&D and industrial applications. AI models like Baidu's "ERNIE Bot" and Alibaba's "Tongyi Qianwen" are poised to achieve comprehensive breakthroughs across multiple industries. iFLYTEK's smart education solutions, leveraging core technologies such as artificial intelligence and big data, have established a full-scenario layout encompassing "teaching, examination, evaluation, school, and management"—covering precise teaching, self-directed learning, smart exams, efficient administration, and innovative education.

According to relevant statistics, the global AI education market is expected to maintain an annual growth rate of nearly 48% from 2019 to 2025, projected to reach $46.8 billion by 2025. In China, the growth of the AI education market is equally remarkable, with the current market size already exceeding 100 billion yuan and expected to continue expanding rapidly in the coming years.

The education industry, particularly the edtech market, is at a transformative inflection point in the new era. Digitalization, AI, and other new technologies, along with supportive policies, are driving rapid industry advancement. The traditional industrial-era model of talent cultivation and education is shifting toward comprehensive, personalized talent development and future-oriented education.

In the fiercely competitive market, the ability of enterprises and investors to make timely and effective decisions is crucial for success. Reports that accurately identify unmet market demands and trends can help avoid investment risks, more efficiently consolidate or expand strategic target markets, and firmly grasp the initiative in industry competition.