Education

Educational institutions shift towards AI and immersive tech amidst budget constraints

Saturday, 1 November 2025 5:04AM UTC

Despite funding challenges, global educational institutions are embracing advanced AV, AI, and immersive technologies to transform teaching and learning environments, prioritising versatility, accessibility, and long-term value.

Educational institutions worldwide are navigating a complex landscape of technological advancement and tightening budgets as they invest in audiovisual (AV) solutions to support evolving teaching models. Schools, colleges, and universities are placing significant emphasis on interactive and mixed reality technologies, alongside artificial intelligence (AI), but fiscal pressures mean they must prioritise investments carefully to ensure maximum long-term benefit.

The pro AV sector linked to education continues to grow, albeit with a slowdown. According to Mike Sullivan-Trainor, senior industry analyst at AVIXA, education-related AV markets are projected to decelerate from a 3.1% growth rate in 2024 to 2.6% in 2025. This slowdown is largely attributed to government budget cuts, notably in the US, Germany, and other European countries, where funding for school upgrades and higher education grants has diminished. Despite this, the education sector remains one of the largest contributors to the pro AV market, expected to grow from $320.9 billion in 2024 to $332.2 billion in 2025. Growth is primarily driven by shipment increases of interactive technologies, augmented and virtual reality (AR/VR), and hybrid learning-supportive products such as LED video displays, headsets, and collaboration tools, reflecting a device refresh cycle following the Covid-19 pandemic.

Budget constraints have led institutions to be more strategic, focusing on technologies that deliver versatility, adaptability, and long-term value. Solutions that facilitate hybrid learning environments, including cloud-based platforms, lecture capture systems, and AV over IP infrastructure, are prioritised. There is a noticeable shift towards intuitive, user-friendly AV systems requiring minimal technical support to allow educators to concentrate on teaching rather than technology management. Additionally, investments in AV that enhance accessibility and inclusivity indicate a growing recognition of diverse learning needs.

Display technologies remain central to the educational AV ecosystem, with signs of recovery in projector shipments expected after a dip between 2023 and 2025. Interactive flat panel displays (IFPDs) and interactive whiteboards (IWBs) are widely established in saturated markets such as the US, UK, China, and parts of Europe, with ongoing transitions from older models to newer, more advanced panels. However, the typical replacement cycle of seven years for IFPDs may lengthen due to financial pressures. In other areas, cost-effective projectors still hold appeal, supplemented by digital video LED (DVLED) signage for school lobbies, assembly halls, and gymnasiums, particularly in the US.

Industry vendors advise caution and thorough evaluation before new investments. Pierre Gillet, vice-president of international sales at BrightSign, emphasises the importance of defining objectives, demonstrating value to stakeholders, and maximising the use of current AV assets. Digital signage is increasingly utilised for wayfinding, emergency communications, and community engagement, such as advertising enrolment or sporting events on large campuses. LG’s solutions, including the CreateBoard range of large-format smart displays, target educational settings by combining affordability, interactive features, and advanced AI capabilities that support lesson interactivity and cloud collaboration.

Audio technology investment experiences a slowdown in some regions, influenced by factors including reduced international student numbers and higher fees, which affect upgrade cycles. Jack Spenn from Audio-Technica notes that UK educational institutions, for example, are focusing on equipment integration, reliable supplier support, and consistent product performance. Audio deployments increasingly feature microphones and wireless systems designed for hybrid and connected classroom scenarios.

The convergence of AV and IT also raises security concerns, especially as digital signage systems grow more intelligent and interconnected. Gillet stresses that cybersecurity is now a foundational consideration in AV infrastructure, requiring secure media players, protected networks, real-time monitoring, and enterprise-grade encryption to safeguard against cyber threats and maintain operational integrity.

Looking ahead, immersive technologies such as AR/VR and AI are viewed as transformative forces in educational AV. Recent initiatives like Avantis Education’s launch of Eduverse CTE, an extensive immersive library for career and technical education, reflect significant investment in virtual and augmented reality content. AI is broadly recognised as a paradigm shift, with applications ranging from personalised learning experiences to real-time lesson enhancements like subtitles and video summaries. Industry experts anticipate that AI-powered tools and interactive features will become common as institutions seek to engage increasingly tech-savvy students and adapt to new pedagogical demands.

In parallel, the ongoing shift to hybrid and flexible learning models is driving demand for scalable, interoperable AV solutions. According to Sullivan-Trainor, vendors and integrators offering lifecycle support, managed services, and cybersecurity expertise will be well-placed to succeed in the education market. Institutions increasingly seek solutions that reduce the burden on internal IT teams while maximising return on investment.

Further insights into this evolution come from related analyses emphasizing the role of AV/IT technologies in transforming higher education classrooms. By 2025-2026, multimedia-rich environments and esports integration are becoming strategic priorities, driven by initiatives such as the SDVoE Alliance's ‘Power of 10,’ which delivers zero latency and uncompressed 4K60 video. Universities like Harrisburg and UNC Chapel Hill exemplify the advanced AV infrastructures supporting these trends.

Emerging education technology trends for 2024 and beyond highlight AI's revolutionary impact in personalising learning through virtual teaching assistants and automated grading, alongside the expanding use of VR/AR for immersive simulations and virtual field trips. Data reveals that a majority of educators are already leveraging AI tools to enhance engagement and outcomes, signalling widespread adoption in near future academic cycles.

The resurgence of educational technology during back-to-school seasons further confirms this trajectory, with companies like Coursera and Zoom introducing AI-powered virtual coaches and meeting assistants that streamline teaching and learning tasks. Moreover, immersive classrooms incorporate projection technology, interactive displays, AR/VR, and AI to foster dynamic learning experiences, as seen in examples like the Des Moines Public Schools' deployment of laser projectors to enrich physical education.

Ten EdTech trends projected for 2025 underscore the rise of adaptive learning platforms which tailor content using machine learning, microlearning designed for flexible study patterns, and predictive analytics that facilitate early academic intervention. The anticipated widespread implementation of immersive technologies by over 70% of higher education institutions highlights the sector's commitment to integrating these innovations.

Finally, colleges responding to a generation of tech-savvy Gen Z students are enhancing AV reliability and immediacy, supported by training initiatives for instructors to maximise technology utilisation. Organisations such as the Higher Education Technology Managers Alliance provide professional development and support for AV professionals navigating these evolving demands.

In sum, despite financial constraints, educational institutions worldwide are embracing advanced AV and EdTech solutions to meet the demands of modern teaching and learning. The integration of AI, immersive technologies, and secure, interoperable AV infrastructures are set to define the educational environment of the near future, promising enhanced engagement, inclusivity, and adaptability.

📌 Reference Map:

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Paragraph 12 – ^[3] AVIXA Xchange
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Paragraph 15 – ^[6] Vocaliv
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Source: Noah Wire Services

More on this

https://www.installation-international.com/technology/ed-tech/education-av-optimising-investments-in-trying-times - Please view link - unable to able to access data
https://www.avnetwork.com/features/higher-ed-classroom-2025-6-sdvoe-alliance - This article discusses how AV/IT technologies are transforming higher education classrooms by 2025-2026. It highlights the shift towards hybrid and flexible learning models, the integration of multimedia-rich environments, and the role of esports in university strategies. The SDVoE Alliance's 'Power of 10' initiative is mentioned as a key driver of this transformation, offering benefits such as zero latency and uncompressed 4K60 video. The article also provides examples of institutions like Harrisburg University and UNC Chapel Hill pioneering these trends with advanced AV infrastructures.
https://xchange.avixa.org/posts/5-emerging-trends-in-education-tech-for-2024 - This article outlines five emerging trends in education technology for 2024, including the integration of artificial intelligence (AI) and virtual and augmented reality (VR/AR) into educational settings. It discusses how AI is revolutionising education by providing personalised learning experiences, with applications such as AI-powered content, virtual teaching assistants, and automated grading systems. The article also explores the transformative impact of VR and AR in creating immersive learning experiences, allowing students to engage in virtual field trips and interactive simulations.
https://www.ainvest.com/news/resurgence-educational-technology-school-season-2508/ - This article examines the resurgence of educational technology during the back-to-school season, focusing on the AI-driven EdTech revolution. It highlights Coursera's introduction of an AI-powered virtual coach that provides real-time feedback and personalised learning paths. The article also mentions Zoom's expansion into the EdTech space with its Zoom AI Companion, designed to streamline tasks like meeting preparation and presentation support. It notes that 71% of educators in a 2024 survey reported using AI tools to enhance student engagement and outcomes.
https://www.avnetwork.com/news/enabling-immersive-classrooms - This article explores the rise of immersive classrooms and their transformative impact on education. It discusses how immersive learning leverages projection technology, interactive displays, AR/VR, AI, and adaptable software to enhance student engagement and learning outcomes. The article provides examples of schools integrating these technologies, such as Des Moines Public Schools outfitting 41 elementary schools with Epson Pro Series laser projectors to revolutionise physical education and encourage higher student engagement through interactive games.
https://blog.vocaliv.com/10-edtech-trends-to-watch-in-2025 - This article outlines ten EdTech trends to watch in 2025, including the rise of adaptive learning platforms, immersive learning through VR/AR, microlearning, hybrid and flexible learning models, and the use of predictive analytics for early intervention. It discusses how adaptive learning platforms like Squirrel AI and Microsoft Reading Coach are using machine learning algorithms to tailor content to individual student needs. The article also highlights the expected widespread adoption of immersive technologies in education, with over 70% of higher education institutions expected to implement some form of immersive technology in their curriculum by 2025.
https://www.avnetwork.com/news/gen-z-goes-to-college - This article examines how higher education institutions are adapting to the tech-savvy Gen Z students who expect robust audiovisual (AV) technology on campus. It discusses the demand for reliability and immediacy in tech tools, prompting colleges to enhance classrooms with projectors, hybrid teaching tools, lecture capture systems, and more. The article also highlights the need for consistent training and support for instructors, as comfort levels with technology vary among faculty members. It mentions organisations like the Higher Education Technology Managers Alliance (HETMA) that provide support and development opportunities for AV professionals.

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The draft above was created using the information available at the time the story first emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed below. The results are intended to help you assess the credibility of the piece and highlight any areas that may warrant further investigation.

Freshness check

Score: 8

Notes: The narrative presents recent data and projections, including AVIXA's 2024 Industry Outlook and Trends Analysis (IOTA) and forecasts for 2025. While some information appears recycled from previous reports, such as the 2024 IOTA report, the inclusion of updated data may justify a higher freshness score. The narrative also incorporates a press release from Installation International, which typically warrants a high freshness score. The earliest known publication date of substantially similar content is September 2024. Although older material is recycled, the presence of recent updates and reputable sources support the current freshness status. However, the recycling of older reports should be flagged.

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