Tag Archives: Science

AI and content businesses: what does the customer actually value?

Three healthcare professionals reviewing medical data on an interactive display

I work with CEOs and investors in content, data and workflow companies, mostly in education, science, healthcare and business information.

Some of these companies tend to think in products: a journal or a database, a textbook or a course, a subscription, an assessment. That is natural, because products are what they build, price and sell. But customers don’t want a product for its own sake. They want a job done.

A teacher wants pupils to reach their learning goals, to save preparation time, and to be confident the materials are high quality and cover the curriculum. A scientist wants to know what is already established, judge the evidence and decide what to investigate next. A hospital wants its staff to have the right information at the moment they decide with a patient about a treatment. A business wants to know what a new regulation means for it and what it has to do.

The work around the content

Whatever the field, professionals go through broadly similar steps. Here is a simplified version for three of them.

StepTeacherDoctorScientist
1. Understand the objectiveDefine what pupils should learnEstablish the patient’s needs and goalsDefine the research question
2. Assess the situationCheck prior knowledge and difficultiesTake history, examine and gather findingsReview existing evidence and available resources
3. Access relevant knowledgeConsult curriculum, materials and teaching approachesConsult clinical evidence and guidanceConsult literature, methods and datasets
4. Interpret in contextJudge what this class needsInterpret findings for this patientDevelop an explanation or hypothesis
5. Decide what to doChoose the lesson and supportAgree investigations or treatmentDesign the study or experiment
6. Do itTeach and set workDeliver careConduct the research
7. Evaluate what happenedAssess understanding and progressReview response and outcomesAnalyse results and uncertainty
8. AdjustReteach or change the approachRevise the assessment or care planRefine the hypothesis or method
9. ConcludeClose the topic and identify gapsClose an episode or arrange continuing careDraw and communicate conclusions

Content and data are often used at one or more of the steps above. What happens around that is interpretation: working out what the evidence means for this pupil, this patient or this experiment, and what to do next. Until now that has been done mostly by the professional, often in consultation with the client. Professionals are skilled and know the situation, but nobody can hold the whole body of evidence, including the latest insights, in their head, and most are short of time.

AI can now help with that interpretation, at several steps on the journey. I don’t suggest it replaces the professional’s judgement at steps 4 and 5 (in healthcare, within the limits regulation sets), but it could significantly support it.

At Sanoma I held the view that Sanoma Learning was not a content company but a workflow company. I believe education is among the least digitalised professional segments, and yet one where the publisher is most embedded in the professional’s core workflow, which gives it high potential for value creation. Our focus was on student learning outcomes, and time is one outcome teachers care about. Based on teacher feedback, we estimated that for every €100 a school spent on our solutions, teachers saved time worth roughly €1,000, because we supported their core workflows. That is about a 10x return on the school’s spending.

For much of the past, the value of the information sat mostly in the content itself. In the future, I expect it to sit more in how well a solution helps the customer reach the outcome they care about, in their own circumstances. In other words, the context and interpretation around the workflow will become increasingly important.

Past value was largely determined by inputs. Future value will be determined by outcomes.

Excellent content that knows nothing about the situation in which it is used is worth less than content that fits into the work and supports a good outcome.

Take a teacher with a pupil who keeps making the same mistake with fractions. The pupil’s answers are data. Working out what she has misunderstood takes interpretation. Choosing an explanation and exercises draws on content and didactics. Setting the work and reviewing progress has to fit into the teacher’s day. That is content, data, interpretation and workflow in one small task.

Where AI could create value

I see five places, and I would welcome challenge on the list.

  • How can we improve the product?
  • Which customers or services could become viable?
  • How can we improve commercial performance?
  • How should we distribute and license our content?
  • Where could we reduce development and delivery costs?

Creating value does not guarantee capturing it.

Customers may benefit from competition, regulation, new procurement models or spending caps, so they may capture much of the value created. Existing and new competitors may cut prices. The value may end up split across many players. The commercial task is to see where these changes could make a material difference to the performance of the business, and what to do about them.

Which platform?

One of the questions I find most important commercially is where the customer will do the work. Is it in your product, or on another platform with your content inside it?

You can build a good business either way, but they are different businesses. In the second, someone else holds the customer relationship and largely sets the terms on which you earn. The more the value moves towards outcomes and context, the more that question matters.

What I think

First, many content companies have a lot to build on: subject expertise, editorial judgement, IP, brands, distribution and customer relationships. In education, pedagogy and didactics are central. In science and healthcare, it is the quality of the evidence and how it is assessed.

Why does a customer choose you? A trusted brand may help. High-quality proprietary content, including data, may be hard to replace, especially if much of the new competition is AI-slop. Deep understanding and embedding in core customer workflows can be a powerful moat. A product used every day may be hard to leave. How much does each matter, and could AI change that?

Second, AI could cut the time and cost it takes to prepare an edition, adapt material for another market or update a product when requirements change. Who will keep those savings? Unless you can sustain a lower cost position than your competitors, it’s possible much of the financial benefit might end up with customers. Competitors will make the same savings, and customers will want to see them in the price. The companies that keep more will be the ones whose products become more valuable (i.e. provide better outcomes), not just cheaper to make.

Third:

Ideas of what you could do with AI are not scarce. The hard thing is to decide what you should do. And the really hard thing is to actually do it.

There is plenty to work with. The task is to choose where AI can improve the customer’s work and the economics of the business, and to invest accordingly.

Why I’m writing this

My career has taken me from scientific research (bioinformatics) to academic publishing, then to leading Sanoma Learning, and since then to board and advisory roles in education and information businesses. AI is part of many of my conversations with CEOs and investors.

In the posts that follow I will look at what customers pay for, who gets the money when costs fall, what protects a business and who holds the customer relationship, and which AI investments deserve funding. I will also look at how people develop expertise when AI does more of the work, what CEOs still need to understand themselves, and what investors should ask before and after a deal.

I expect some of my views to change along the way. I would be interested to hear where yours differ.

A question for you. If a customer asked what they get back for every euro they spend with you, what would you tell them? Would they agree?

PISA 2025: Reading is collapsing. AI isn’t the villain.

I’ve just spent a few hours reading the PISA 2025 report, and the ongoing decline in performance continues to shock.

Reading scores across the OECD have fallen from 489 to 461 points since 2015, equivalent to more than a full year of learning. Science dropped from 489 to 482. Maths fell from 485 to 463. One in five 15-year-olds across the OECD now can’t reach a basic level of proficiency in any of the three subjects, up from one in six just three years ago. After nine or ten years of formal schooling, a fifth of learners can’t follow a simple text or reliably interpret a graph. What an enormous waste of opportunity (and $100k per child).

Reading has fallen furthest and fastest of the three. Between 2018 and 2025 it dropped in three out of four education systems with comparable data. It wasn’t disadvantaged students who fell hardest, but students from wealthier families. Something is happening to an entire generation, cutting across income lines.

Why reading is falling off a cliff

The report looks at this through four inter-connected dimensions:

Students. There isn’t a uniform decline in ability. There’s a decline in stamina. Students are still fine at locating a single fact in a short passage. Where they’re losing it is on long texts that demand evaluation, reflection, pulling information together across sources. The share of “hasty readers”, kids who blast through a question and get it wrong, grew from 7% in 2018 to 11% in 2025. Fluent, accurate readers dropped by seven percentage points over the same period.

Classrooms. Teachers are spending more time managing disruption and less time teaching. TALIS 2024 puts the number at 16% of class time spent on discipline in 2024, up from 13% in 2018. Bullying and verbal abuse in schools dipped during the pandemic and have since crept back up, and the countries where student-reported threats rose the fastest are the same ones where reading scores fell the hardest.

The system. Classrooms are more mixed than they used to be. There are more refugee students, more non-native speakers, more students with special needs. Diversity isn’t the problem on its own; PISA is explicit that it doesn’t explain the decline by itself. What’s compounding it is that a lot of systems have simultaneously pulled back on using performance data to guide teaching.

Culture. Reading enjoyment has been sliding for over a decade, actually among students and parents. Fewer books, fewer print magazines, less fiction, more short, functional, digital reading. The cohort sitting the 2025 test was born around 2009. They’ve never known a world without a smartphone in the house.

Where AI and screens actually fit

The headline finding on AI chatbots is that students who don’t use them for schoolwork tend to outperform students who do. Among students using AI generally “to help me learn,” it’s the moderate users rather than the heavy users or abstainers, who come out on top.

Mean score in science, by frequency of AI use for schoolwork

The same pattern shows up with digital devices more broadly: moderate use for learning is associated with better outcomes, heavy use or leisure use during class time is associated with meaningfully worse outcomes. Distraction kills attention kills outcomes. 28% of students across the OECD say their classmates are distracted by devices in most or every science lesson, and in roughly two-thirds of countries, that distraction correlates with lower scores.

Distraction kills attention kills outcomes

The report’s framing of the use of GenAI is worth remembering and quoting directly:

“The patterns are complex, and depend a lot on how GenAI is used, but the bottom line is simple: In the same way that we do not become fit by watching sports but by doing sports, learning does not occur through the consumption of content, but as a productive cognitive struggle of the mind with new material. Where technology enables or enhances that cognitive struggle, students will advance. Where technology short-circuits the productive struggle of learning, it will undercut students’ development. If we get this right, AI becomes a scaffold, not a crutch. A tool for thinking, not a substitute for it. And education remains what it has always been at its best: a human endeavour, powered by judgment, relationships and trust.”

Actually the skills that seem to be deteriorating the most are precisely the skills that require sustained cognitive effort.

This is very close to the argument I’ve been making recently in

AI in Education: Are We Automating Learning or Augmenting Learners?,

AI and Learning: There’s a Fraction Too Little Friction, and

Cognitive Surrender.

What would I do with my own school-age children?

If I had school-age children today, I’d protect their reading time fiercely. It would be non-negotiable, daily, and mostly on paper. Students who read fiction and longer texts perform better, and those who read primarily on digital devices or rarely, perform worse, even after accounting for background.

I wouldn’t ban AI. I’d insist it comes after the struggle, not instead of it. Write the draft first, then let AI critique it, not the other way round.

Every device would come with a genuine off switch during homework and during school hours, because the correlation between leisure screen use during lessons and weaker performance is brutally clear.

I’d talk to them about what they read, because the one thing that seems to move the needle across every layer of this is whether an adult remains engaged and interested.

But none of this guarantees anything. The issue at hand here isn’t resources. The kids losing ground fastest right now are disproportionately the wealthy ones with every advantage. The issue is attention. There’s probably not much I could do to fully insulate my own children from a culture built to claim attention. But I would make every effort to set clear boundaries around undisrupted reading and engaging with them on what they have read.

BETTer Future

I’ll be visiting London and BETT at the end of March (probably 22nd -24th).  As for so many of us this will be my first trade fair since the pandemic and I’m really looking forward to joining in real life again (never expected to be this enthusiastic about a trade fair, not even BETT 😊). It does feel like we are now emerging from the restrictions of the last couple of years and I’m excited to get out there again.

I’m especially interested to meet people from companies with strong market positions, from scale-ups and from investors in the education, edtech, science and healthtech spaces during my trip to London.

As of March I have some availability for advisory and interim work and have extensive skills and experience in leadership/leading change, digital/transformation and commercial/strategy work.  I have deep knowledge and networks across the European education sector.

I’m also open to become a Non-Executive Director of such an organisation, as long as this doesn’t conflict with existing work. Very flexible in terms of location.

Feel free to send me a message at johnmartin@contentconnected.com or DM me on social media if you would like to meet up in London!

Looking forward >>

#OpenForWork #Leadership #Education #Edtech #Science #Digital #Transformation