London-headquartered Pearson reportedly acquired certification company Credly in a deal valued at USD 200 million. The move is intended to empower businesses with more products and services to help them train and retain workers in the face of tightening labor markets and adapting to rapid technological progress.
The global learning company already owned 20% of Credly. As part of the deal, Credly will be integrated into Pearson’s Workforce Skills division which will see the company add around 1,000 enterprises to its existing client base.
For the uninitiated, U.S.-based Credly partners with big IT names like IBM, Amazon Web Services, and Microsoft to provide certifications or digital credentials, to workers within their firm, as well as those who have gained a certain level of mastery with their product. Half of the users on the platform are outside America, with India one of its biggest markets.
Pearson CEO Andy Bird expressed that verified credentials are becoming crucial as technology adapts, presenting many companies with a skills gap where staffs require training with processes such as artificial intelligence.
In this age of digital resumes, showing what credentials an induvial has can become a decisive factor in understanding whether that person is a better employee or more employee, he stated.
It is worth noting that Pearson, which has established as itself a major provider of courseware and assessment solutions in educational institutions across the world, has been battered by the shift from physical courseware to online learning. This prompted the firm to focus on enterprises and acquire Faethm in 2021, which uses AI and analytics to identify the skills gaps for organizations.
With the latest deal, Pearson will now be able to leverage the diagnostic prowess of Faethm and Credly’s certification capabilities with its own digital learning programs to offer fully-integrated services to companies.
Source credits: https://money.usnews.com/investing/news/articles/2022-01-30/exclusive-pearson-buys-certification-group-credly-in-deal-valued-at-200m