Could you post the whole sentence for this? It depends on the context.
If 'out' and 'educating' are actually one word (or should be and are written incorrectly) it means 'educating better than or more than the competition'. 'Out' as a prefix means this, e.g. outdo, outperform, outweigh.
Or it could mean that someone is outside or away and he is educating the competition.
- Where is Paul?
- He is out shopping.
- Where have you been?
- I've been out walking.