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PowerSchool – Instructure’s first post-IPO Acquisition?

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Instructure PowerSchool acquisition

Instructure and Pearson announced an interesting partnership at SXSWedu. The bi-directional integration of the Canvas LMS and the PowerSchool SIS is a strong statement by itself, but if we add the fact that Pearson is planning to sell its Student Information System business it gets really intriguing.

In early February there were rumors that no other than Blackboard was in final talks with Pearson to purchase PowerSchool. EdSurge’s Tony Wang has been following the rumors and posted details about the process of splitting the SIS business into a standalone unit before the sale.

Now, why would Instructure push for such a deep integration in such an uncertain phase of PowerSchool? Sure, having access to 30% of U.S. school districts that can now create Canvas accounts with a click of a button is surely one reason, but I guess there is more to it.

As mentioned Instructure is planning its IPO for later this year. If Pearson put off its pursuit of a sale for a couple of months, Instructure might just have enough cash to make a power grab, throwing the literal hammer (or flamethrower) in the face of its arch enemy Blackboard.

https://www.youtube.com/watch?v=dCIP3x5mFmw

Further Reading

  • EDBRIEF: Instructure and Pearson announce Partnership | EDUKWEST
  • Blackboard Flirts with Buying Pearson’s PowerSchool | EdSurge
  • Why Pearson Wants to Sell PowerSchool | EdSurge

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