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News: Kahoot expands its global learning platform by acquiring Drops

In November 2020, the game-based learning platform, Kahoot, announced its acquisition of the EstonianĀ language learning app, Drops, after raising $215m from SoftBank. The deal is to incorporate more of Kahootā€™s features into Drops Apps and bring their content to Kahootā€™s main platform.


The acquisition came as part of Kahootā€™s strategy to expand into new areas of learning, and to become a go-to destination for all learners whether at school, work, or home. It seems Kahoot is getting closer to this end with 200 million of Kahoot sessions being attended by over 1 billion of participating players across 200 countries over the last 12 months. This number includes free and paying users.


This deal is said to be Kahootā€™s fourth and the greatest acquisition to date, after paying $31m in cash and $19m in cash and shares based on Drops meeting certain goals until 2022.


Drops, Google’sĀ ā€œBest Android App of 2018ā€, produces three main applications: freemium, Script and Droplets, all come with free and paid features. These Apps teach language basics like alphabets and vocabulary using simple and colorful illustrations and visuals and a game-based approach. The startup ā€œDropsā€ was established in Estonia with a diverse team spreading across Estonia, UK, USA, Spain, Italy, France, Germany, Sweden, the Netherlands, Hungary, Ukraine, and Russia.


Surprisingly enough, travel restrictions in the wakeĀ of theĀ Pandemic did not affect the language learning market which is flourishing. It seems that the COVID-19 crisis has caused a surge in e-learning after the shutdown of schools and the shift towards new teaching methods and remote learning. Therefore, the digital learning market is expected to grow significantly over the upcoming years to exceed $8 billion by 2025.


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