The problem with edtech has been made worse by the rise of offline coaching. Even unicorns with ample funding must constantly reinvent themselves.
It serves as a warning to Indian edtech startups. During the outbreak not long ago, they were the toast of investors. However, the funding is quickly running out. Two unicorns in the edtech space, Vedantu, and Unacademy have acknowledged that money is running out. The founder of Byju’s, Byju Raveendran, was required to provide half of the capital in the most recent $800 million investment round, which is still ongoing. Reductions in staff, right-sizing, and cost-cutting have all of a sudden emerged as the new edtech catchphrases.
The offline coaching centers starting courses again after the pandemic and the global macroeconomic crisis have caused a crisis in the edtech industry. Even as they move into athletic courses, well-funded unicorns are being pushed to get thinner and meaner.
