Schoology was a K-12 learning management system used by millions of students and teachers across thousands of school districts, offering curriculum management, assignment delivery, grading, and parent communication in a unified platform.

Why did Schoology lose market position?

Google Classroom's free offering became the default for most K-12 districts, eliminating Schoology's addressable paid market. Post-PowerSchool acquisition, product development slowed and the platform's independent roadmap was absorbed into a broader SIS bundle strategy.

How does Schoology operate today?

Schoology operates as part of the PowerSchool platform. Its branding persists but the independent product identity and competitive positioning it had as a standalone EdTech company effectively ended following the PowerSchool acquisition and the rise of free Google/Microsoft alternatives.

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// HALL OF FLAME · STARTUP AUTOPSY

Founded	2009
Closed	2020
Country	USA
Sector	Edtech
Total raised	57
Collapse type	Acqui-hire

Schoology

$57M

RAISED

—

EMPLOYEES

132

MONTHS

acquisition gone wrongAcqui-hire

// Fatal mistake: Free competition from Google Classroom and Microsoft Teams eliminated price differentiation advantage post-acquisition

Key Events Timeline

2009-01

FOUNDING

Schoology founded as K-12 learning management system to compete with Blackboard and Canvas

2012-06

FUNDING

Series B funding round closes, bringing total raised to $30M as platform gains traction in K-12 districts

2015-09

FUNDING

Series C funding raises $27M, bringing total capitalization to $57M; Schoology valued at $750M

2019-03

ACQUISITION ATTEMPT

PowerSchool acquires Schoology for undisclosed amount; integration into PowerSchool's SIS platform begins

2019-09

PIVOT

Schoology roadmap becomes subordinate to PowerSchool enterprise priorities; product shifts from standalone LMS to data connector

2020-06

ACQUISITION ATTEMPT

Schoology ceases independent operations as standalone product; absorbed into PowerSchool bundle amid market compression from Google Classroom and Microsoft Teams

🔥 Hall of Flame 50%🏆 Hall of Fame 8%

Schoology built a K-12 learning management system designed to compete with Blackboard and Canvas in the school district market.

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More Edtech →More from USA →More acquisition gone wrong failures →Raised: 57

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// THE EDTECH GRAVEYARD DOESN'T END HERE

Schoology followed a documented pattern. Identify the same signals in any company before they reach the point of no return.

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