The math program I use with my kids is this one: http://www.defimath.ca/ecole-maison/ (in French)
It was developed by two mathematicians who actually studied in classrooms what worked on kids when teaching math. They've come up with a method where kids learn negative numbers and multiplication _before_ learning positional numeration (numbers greater than 10, with units, tens, hundreds, thousands, etc.). I've seen first-hand how these concepts just click in my daughter's mind, and how she often comes up with the new concept herself when you introduce the prerequisites in an order that makes sense to her.
Personally, I think Khan Academy is one of the few forward-thinking organizations doing something right in education. It tries to skew learning towards a 'mastery-based' model which keeps kids from falling behind by not advancing them too early. Of course, teachers and parents still need to implement the usage of Khan Academy in this way for it to be effective.
I would disagree... I think that there is huge value to being around a variety of people, and a strong negative value to only being around people in the same phase of life as yourself, especially when you are in the nasty phase. I think I made it through that part of my life because I had an after-school job where I fixed computers for a local office. I even enrolled in the vocational program at my highschool that let me out of school early to go to work (except every second Monday, when we learned how to spot shoplifters, short-change scams, and other hazards of the retail life.)
I think the number of people who felt good about their social lives, the things they did socially and the things, socially that were done to them in high school is... small. As far as I can tell, for most people, college is important because it is a kind of recovery from this, and prepares you for a workplace where conflict is muted, where yes, if you are good enough, you can still be an asshole, but where being an asshole has a pretty heavy cost that must be made up in other ways.
For me? Being expected to behave like an adult while being treated like an adult around a bunch of adults was amazing. It gave me a reason to keep going in high school, and when I came of age, I was all set to get a really nice job.
Further, socially-speaking, being with your actual peers is extremely valuable, obviously.
But yes, the ideal would be a tailored-to-each-child education. Personally, having seen the power of a good Montessori education, I think it's frickin' genius and should be the template for all education (specifically the grouping of 3 yrs together -- e.g. 3,4,5-year-olds together), so kids are perpetually working through the cycle of "look up to someone, mimic someone, mentor someone".
... but I digress.
Fact is, grouping by age works socially and it's much, much cheaper than a tailored education, which is all we an afford (get taxpayers to pay for).
At some point, I expect a software company to make headway in this space and you'd see a bunch of kids staring at iPads all day and a bored teacher playing Minecraft at the front of the room, only engaging when someone gets stuck.