MOUNTAIN VIEW — Khan Academy is rolling out an updated version of its artificial intelligence tool to millions of students across the United States. The move follows an admission by founder Sal Khan that the initial optional rollout of the chatbot, known as Khanmigo, failed to engage a portion of its user base.

In an April interview with Chalkbeat, Khan acknowledged that for many students, Khanmigo “was a non-event.” He stated that many students “just don’t use it much” when the tool is offered as a supplementary resource rather than a required component of their coursework. This assessment prompted the organization to pilot a new version of its AI tool in 2025 before beginning the current nationwide distribution.

Khan Academy launched Khanmigo in 2023 after Khan received early access to ChatGPT and developed the chatbot. According to reports from Khan Academy officials, only around 15% of students who have access to Khanmigo engage with it. The initial version was optional for students, a design choice that resulted in lower-than-anticipated utilization rates.

The updated Khanmigo proactively prompts students who answer questions incorrectly to work through the problem with the AI. This integration aims to drive student engagement by making the technology a central part of the assignment process rather than an external aid. Khan stated that integrating AI into assignments drives student engagement because it prevents students from bypassing the learning process.

Khan stated that Khan Academy designed its AI to be Socratic and not provide direct answers. The system is built to guide students through reasoning steps rather than supplying final solutions. He noted that students often copy and paste AI summaries from Google searches to obtain answers, a behavior the new integration seeks to mitigate by embedding the assistance within the platform itself.

Khan also stated that Khan Academy observed students using other district-paid ed tech tools to obtain answers to Khan Academy questions. By bringing the AI interaction inside the assignment workflow, the organization aims to capture this activity. Teachers can offer credit to students who demonstrate understanding of a concept through interaction with the AI, providing an incentive for meaningful engagement.

The updated AI system identifies students struggling with specific topics, such as negative exponents, for teacher intervention. This feature allows educators to target instruction based on real-time data from student-AI interactions. He stated that Khan Academy’s AI provides teachers and parents with transparency regarding student interactions, ensuring that the use of generative models remains visible to adults overseeing the education process.

Regarding assessment, he stated that Khan Academy does not currently use AI to grade full papers. However, the organization has a system that provides AI feedback on papers to help students improve their writing. Khan predicted that solid rubrics-based AI grading will be possible within the next year.

Khan advised school districts to assume students are using AI for take-home assignments. He stated that educators must carefully monitor student activity on computer screens in classrooms to ensure appropriate use.

The Center for Democracy and Technology estimates that 85% of teachers and 86% of students utilize generative AI in schoolwork. This widespread adoption occurs even as the U.S. Department of Education has not set federal standards to help local officials vet AI tools. In July 2025, the department issued guidance encouraging educators to utilize high-quality AI instructional materials and AI-enhanced tutoring.

More than 30 states have adopted their own guidelines for AI use in education. Some jurisdictions have taken cautious approaches; for example, Wyoming’s Department of Education website features a video titled “Threat Assessment” regarding AI in education. In July 2026, New York City Schools Chancellor Kamar Samuels asked principals to pause purchases of AI software, while New York City Council members demanded a moratorium on AI use in schools until rigorous guardrails are developed.

The education AI sector grew to $730 million in 2026, according to a report by Future Market Insights. Major technology companies are also investing in the space, with Anthropic offering its Claude product to educators for free until June 2027 and OpenAI offering its ChatGPT product to educators for free until June 2028. Leah Belsky, vice president of education at OpenAI, stated that helping teachers is part of OpenAI’s mission.

Microsoft CEO Satya Nadella argues that generative AI will democratize education by providing personalized tutoring. In May 2023, he stated in a TED Talk that artificial intelligence represented “probably the biggest positive transformation that education has ever seen.”

Why It Matters

With federal guidance encouraging AI-enhanced tutoring but no established vetting standards, Khan Academy's shift from optional to integrated AI addresses widespread student reliance on external tools for answers. By embedding Socratic prompts directly into assignments, the update aims to transform usage patterns among the 86% of students already utilizing generative AI, ensuring interactions remain visible to teachers and parents. This approach seeks to prevent bypassing the learning process while providing educators real-time data to target specific struggles.