April 25, 2022
Summary
Government Education Departments have a DMI Index in the range of 0.16% to 4.92% with an average of 1.47%. The DMI Index for these companies is based on the valuation of customer and student data.
A higher DMI Index is generally preferable across companies and industries. By way of reference, internet companies have a higher DMI Index because most of their enterprise value is derived from data. For example, Google’s DMI Index is 93 percent.
Definitions
- DMI Index = Data Valuation / Annual Operating Revenues
- Data Valuation = Value of Student Data
- Operating Revenues are based on the latest annual operating revenues or budget
Methodology
The YDC team recently published a DMI Index for a subset of Government Education Departments in the United States. Here is an example for the Florida Department of Education along with a benchmark that includes other departments.
Student data is valued based on valuations assigned to commercial companies in this space. The total value of data will likely be higher once additional datasets are included. The valuation is based on data collected in April 2022.