I've architected a lot of backend HW for Ed Tech companies but have never really been involved on the SW side, but I have seen the same story play out dozens of times in the past 20 years. Some SW comes out, learning assistance, management, or whatever and they make so much profit.
But, they hit these walls either because they complement an existing system, run into another competitor, or just run out of mindshare. Then they either acquire or get acquired to fill the gap and load up heavily on debt. They have or are acquiring massive free cash flow which can easily finance the debt. They do the acquire be acquired thing a couple times then they hit a bump, then someone else steals the air out of the room, and instantly the free cashflow stops and the debt crushes them. Then some other company comes in doing the same thing, thinking they're the most innovative company around and it's really the Xth spin of the wheel and a matter of time before the acquire be acquired to bankruptcy cycle starts again.