In yet another transaction involving programming and technology schools, the education startup (edtech) Digital House, focused on the development of “digital talents”, announced on Wednesday, 13, its merger with Rocketseat, programming learning platform. The value of the transaction was R$150 million, considering payment in cash and exchange of shares.
Both companies are focused on education for work. Digital House offers, among others, intensive courses and executive programs in the areas of Programming, Digital Marketing, Data, User Experience (UX) and Business. Rocketseat, on the other hand, is positioned as a “life long learning” platform, that is, it offers continuous training for programmers throughout their professional life, with 400 thousand users.
With the union, students from both institutions will have training at all levels, from the most basic to advanced programs. The objective, according to the companies, is to expand the offer of content for students, ensuring continuous professional development and a more robust portfolio of products for B2B customers.
The global demand for programmers and developers grows more and more, but the supply of trained manpower in the area does not keep up with the demand
“Brands remain independent, but we will exchange all the resources we can on both sides,” says Robson Marques, co-founder and CEO of Rocketseat. “We have a content production network that can be leveraged by Digital House and there is a very strong network of teachers to be leveraged by Rocketseat. Communities will be stronger and stronger.”
A Microsoft study points out that the demand for technology professionals may reach 6.3 million professionals by 2025 in Brazil. The global demand for programmers and developers grows more and more, but the supply of trained manpower in the area does not keep up.
“It’s a problem, but it’s a great opportunity, not just for us, but for Brazil, because programming is a universal language and allows us to work in other countries. It is a global demand, without limits”, says Sebastian Mackinlay, co-founder and CEO of Digital House Brasil.
“The idea of a new product or technology need can occur in a 30-minute meeting, but training the professional takes at least two years. It is difficult to close this account, but we are here precisely to help solve this problem, bringing quality education in scale”, says Marques.
The two companies claim to have complementary businesses: Digital House has courses lasting five to six months with values close to BRL 7,000, both with an “income share agreement” financing model, known as ISA, in which the student only pay the course when employed, or in other types of installments. In March of this year, Digital House received a contribution of R$ 280 million made by the group of investors Kaszek, Riverwood Capital, Mercado Livre and Globant.
Rocketseat, on the other hand, is based on the subscription model, attracting professionals from different backgrounds to contribute with its content. The platform focuses on three different stages of career improvement in programming: initial training, specialization and constant updating.
Among similar transactions, Ânima Educação announced in July the purchase of a 55.78% stake in Gama Academy, a technology school that selects and trains professionals in the areas of programming. This month, Trybe, the programming school, was valued at R$1.3 billion in a new round of investments.