ApplyBoard, the Waterloo-based education technology company that connects international students with Canadian schools, is confronting a sharp downturn as Canada's international student market contracts following sweeping federal policy changes. The company, valued at $4 billion in 2021, has laid off staff and seen revenue decline as new caps on study permits take effect, as reported by The Logic.

The reversal marks a dramatic shift from the pandemic-era boom that saw ApplyBoard facilitate applications for tens of thousands of students annually. In January 2024, Immigration Minister Marc Miller announced a two-year cap on new study permits, limiting approvals to approximately 606,000 for 2024 and 2025 combined — a 35 percent reduction from 2023 levels. The government also tightened language requirements, raised financial proof thresholds, and restricted off-campus work hours, measures designed to curb what officials described as abuse in the international student system.

ApplyBoard's business model depends on volume: the platform charges partner institutions recruitment fees when students enroll, typically ranging from 10 to 20 percent of first-year tuition. With fewer permits issued and stricter eligibility criteria, the pipeline of applicants has narrowed. The company reportedly cut approximately 15 percent of its workforce in early 2024, though it has not disclosed precise figures. Revenue growth, which had accelerated during the post-pandemic surge in applications, has stalled as colleges and universities receive fewer international enrollments.

"The international education sector is adjusting to a new reality," the company stated in a recent communication to partners, acknowledging the policy environment had shifted.