The origins of philosophy of education as a discipline are relatively late, and can be traced in the Anglo-American academic world from the 1960s and a specific emphasis on conceptual problems deriving from the analytical tradition of philosophy. In more recent years, however, there has been a notable 'Continentalist' turn in the discipline, leading to a re-evaluation of key texts and philosophers from the French and German traditions and their relation to the discourse of education. One paradigmatic example here is the work of the French postmodernist thinker Jean-Francois Lyotard. In this essay, I explore how Lyotard's powerful critique of education in his early work, especially with regard to his influence on the May '68 events at Nanterre University, can be seen as crucially important, now again, to a current crisis in educational philosophy in the Western world. Moreover, Lyotard's post-'68 work, with his paradigmatic "The Postmodern Condition: A Report on Knowledge" as especially important, can be seen as providing a very challenging riposte to both 'managerialist' and instrumentalist philosophies on the one side but also to overly simplistic 'liberatory' educational critiques on the other side.