Home Blog What is The Future of Education Technology? Business Licenses | Business Setup | Company Registration | Indonesia What is The Future of Education Technology? InCorp Editorial Team 4 June 2025 5 minutes reading time Table of Contents Education Technology Business Outlook The Rise of Education Technology Businesses EdTech Challenges and How To Thrive in Indonesia Making The Business Sustainable Utilizing educational technology services (EdTech) is becoming increasingly more integrated with in-home learning to facilitate Covid-19, specifically within the territory of Indonesia. However, what is the future of the education technology business, especially in Indonesia? Education Technology Business Outlook It is important to note that companies competing in this sector must also implement a survival plan. The future of the education technology business is still developing in fluctuation. Therefore, companies must look for ways to save expenses while offering high-quality instruction and significant results. As Indonesia’s EduTech market develops and flourishes, that will be the key to determining who will succeed in the long run. Additionally, the Ministry of Education and Culture’s effort to subsidize internet usage contributes to the growth of EdTech. Users can now view 18 EdTech and instant messages with this capacity, including Rumah Belajar, Google Classroom, Microsoft Education, Quippers, Sekolah.Mu, Zenius, Ruangguru, Kipin School 4.0, Udemy, Ayoblajar, Birru, Cakap, Duolingo, Edmodo, Aminin, Ganecca digital. The Ministry of Education and Culture has stated that the list of applications or sites accessed through this study quota will continue to be updated or added according to inputs it receives. Read more: Find Out Top 10 Education Technology Companies That Are Thriving Today The Rise of Education Technology Businesses Apart from the educational and social development in the community, edtech businesses are also impacting the big picture. Providing access to quality education has been an exciting topic for quite some time. The talks about that subject took center stage at the recent Business 20 Forum (B20). The B20 was held alongside the G20 summit this year in Bali. At the event, Jeff Bezos talked about how education will be the key to global economic recovery. The executive chair of Bezos Earth Fund and executive chairman of Amazon added that the world found its way to getting more robust through the various crises. Collaborating innovation, education, entrepreneurship, and supportive public policies perceive to be the reasons behind the emergence. By combining every aspect of the development increased life expectancy and food production. With the positive impact of education, this sector might offer a prominent promise for the economy in the future, especially in Indonesia. CEO and co-founder of Cakap, Tomy Yunus, also attended the B20 event. He stated that the theme of the summit was not only showing the potential economy of Indonesia to the world but also promoting how the country can make a massive contribution on the global scale through education. With limitless potential, investors and business actors should consider capitalizing on the education technology sector in Indonesia. InCorp Indonesia (an Ascentium Company) assists companies in obtaining the proper business licensing and company registration service for expansion purposes in Indonesia. EdTech Challenges and How To Thrive in Indonesia The main challenge for EdTech companies is to remain relevant. To achieve this ambition, they must keep innovating to be on top of the sector despite the general decline. As schools begin to open, EdTech businesses should learn to shift once more and complement conventional learning. Another main hindrance is the need for more digital infrastructure to sustain further or support the growth of the businesses within the sector. A more general problem faced in traditional and digital learning is ensuring that not only the materials are conveyed to the students. EdTech companies should design a learning manner that can easily to consume by the students without decreasing the general quality of education. Cumulatively, those challenges are continuously faced by EdTech companies in Indonesia. The Future of Education Technology in Indonesia EdTech firms should concentrate on more than just the usability and experience of their products. They also must recognize the responsibility of adopting technology for educational settings with effectiveness. They must consider how well-equipped schools are to acquire and apply EdTech in the context of teaching and learning. Providing ICT (Information and Communication Technology) training for teachers may also benefit from EdTechs as teachers gain more digital proficiency. Schools may be more inclined to use the EdTech firm’s goods, platform, or services. This would be advantageous for both the company and the schools. Making The Business Sustainable One way of making the EdTech business sustainable is by merging with other companies within the same sector. The plan is to combine their resource pool and also customer pool. Aside from the said initiative, both companies can benefit from the experience of the other and use this as further ammunition to grow and prosper. Consolidating and partnering up with other businesses is also a means to ensure the company’s sustainability. The last and most challenging aspect is the integration of offline factors such as teachers and classrooms. As students are returning to physical classrooms again, EdTech companies must innovate and find a way to integrate their products into the traditional way of learning seamlessly. Read Full Bio Verified by Daris Salam COO Indonesia at InCorp Indonesia With more than 10 years of expertise in accounting and finance, Daris Salam dedicates his knowledge to consistently improving the performance of InCorp Indonesia and maintaining clients and partnerships. Frequently Asked Questions What are the shareholder rights in a PMA company? Shareholders of a PMA Company in Indonesia have various rights, including voting rights in general meetings, entitlement to dividends and liquidation proceeds, and access to information. They must approve significant matters through general meetings of shareholders with specified quorums, such as: Amending articles of association Changing share capital Appointing or dismissing directors and commissioners Approving major transactions, dividends, and financial statements Company reorganization Are there investment facilities provided for foreign investors in Indonesia? A newly established PMA company in Indonesia is typically provided with import facilities, tax holidays, tax allowances, or investment allowances. Import facilities Investors in Indonesia, particularly in manufacturing, may benefit from import tax exemptions for capital goods and raw materials through the Master List Facility. The imported goods must meet specific criteria, such as not being produced locally or not meeting industry demand despite local production. Tax holiday The government offers CIT reductions of 50% or 100% for 5–20 years for listed pioneer industries, based on investment value. After this period, a CIT reduction of 25% or 50% applies for two fiscal years. Non-listed sectors can also apply by meeting criteria demonstrating pioneer industry status. Pioneer industries are industries that have a wide range of connections, provide additional value and high externalities, introduce new technologies, and have strategic value for the national economy. Tax allowance For companies in certain designated areas or regions, the government may provide the following tax concessions: Net income reduction up to 30% of the amount invested, prorated at 5% annually for six years, on condition that the assets invested are retained for the same duration. Accelerated depreciation and/or amortisation deductions An extension of tax losses carried forward for a maximum of ten years A 10% (or lower if treaty relief is available) withholding tax rate on dividends paid to non-residents The applicant eligible has to meet high-level-criteria for the above tax facilities: High investment value or for export purposes High manpower absorption High level of local content Investment allowance The government offers a reduction in net income of up to 60% of the investment, distributed at 5% annually over six years of commercial production, contingent upon the retention of invested assets for the same duration. To qualify, applicants must meet business line eligibility criteria and employ a minimum of 300 Indonesian workers in the project. Super deduction This facility could be granted to certain businesses, such as: 60% reduction in net income of the amount of tangible fixed assets invested for labor-intensive industries, distributed throughout a certain time frame. Up to 200% reduction in the gross income of the amount spent for human resources development in certain competency activities. Up to 300% reduction in gross income of the amount spent for certain R&D activities in Indonesia. What duties do investors have when they own shares in a company that has been liquidated? Shareholders must appoint a liquidator during the shareholders’ meeting approving liquidation. If no liquidator is appointed, the Board of Directors assumes the role. Creditors can submit claims within two years of the liquidation announcement, provided there are proceeds available. If proceeds have been distributed, shareholders must return them proportionally to settle creditor claims. Whereas employee termination packages vary based on employee status, service years, and reason for liquidation. Does a PMA company in Indonesia have to meet certain criteria before it can distribute dividends? Dividends can be distributed from company net profits after allocating reserves, depending on a positive profit balance. Approval from the general meeting of shareholders is necessary. Interim dividends may be distributed if specific requirements are met.