E-Cell, IIT Bombay’s Post

What happened with Indian EdTech startups that were once unicorns and secured funding in crores? Today, let's take a deep dive into the captivating narrative of Indian EdTech space. Byju, once worth a whopping $22 billion, is now dead. This story isn't unique—it's a trend among many edtech startups. But there were days like when names like Byju's and Unacademy were unicorns, and millions poured into the industry? So, why did Edtech rise so fast and fall even faster? First, let's see why edtech had an edge over traditional coaching centers Imagine running a coaching center - you have to pay teachers, staff, rent, and hefty marketing costs. Plus, you're limited to students in your geographical area. But with Edtech, a teacher records a course once and sells it nationwide using social media marketing. Also, the profit margins of EdTech start ups were way better when compared to offline coaching centres. And looking at these factors, VCs (Venture Capatalists) funded these start ups generously. But as the barrier of entry went down, more competitors entered the space (thanks to YouTube and Physics Wallah(PW) 😉 ), which increased the customer acquisition costs for these startups. As a result their margins became thinner and thinner until they converted into losses. And when the pandemic ended, schools, colleges and coaching centres returned to normal operations, leading to the downfall of the EdTech industry in India. Are you aware of any other contributing factor to the decline of the Edtech industry? Then please share your thoughts below in the comments👇 Found this interesting ? Then do follow Nitish Jha for more such Startup stories 🧠 #14week14cases #Edtechstartups #Edtechcasestudies #marketing

The EdTech Startup Wave in India: A Movement in the Making India is rapidly becoming a breeding ground for some of the most innovative EdTech startups, and there's never been a better time to be part of this growing ecosystem. What was once a niche market is now transforming education for millions. But how do you ride this wave? The path for any startup in this space isn’t just about an idea. It’s about execution. Take the ‘Startup Playbook’ approach—focus on these key phases: 👉 Identify the Gap: Start with a deep understanding of where the current educational system falls short. A lot of the big EdTech players today, like Byju's and Unacademy, began by addressing very specific needs—making education more accessible and flexible for students across India. 👉 Build Your MVP (Minimum Viable Product): Launch quickly, but smartly. Don't wait for perfection. Take the example of Vedantu—they didn’t start with a fully polished product. 👉 User-Centric Development: Success in EdTech doesn’t come from tech alone—it’s the value provided to the learner. The real differentiator is how effectively your solution engages the user, not just through technology but by solving real, day-to-day learning challenges. 👉 Scale and Adapt: The Indian market is vast and diverse, meaning a solution that works in one city or demographic might not work in another. EdTech startups. With government initiatives and a young, tech-savvy population, India is in a prime position to witness an EdTech revolution. India isn’t just watching this trend—it’s living it. The question is: are you ready to be a part of it? #startup #mentor #virtualmentor #learning

Ex-Unacademy COO Vivek Sinha Scores $11 Mn for New Edtech Startup🔥💰 Unacademy veteran Vivek Sinha is back in the game! After serving as COO, Sinha has launched a new venture called Beyond Odds Technologies, securing an impressive $11 million in its initial funding round. Here's the scoop: 👉 Beyond Odds' Focus: The Bengaluru-based startup targets the grey-collar workforce segment, offering employability-focused training, certification, and recruitment services. 👉 Bridging the Gap: Beyond Odds aims to connect employers with skilled talent among students. 👉 First Steps: Beyond Odds is launching its higher education brand, Emversity, with its first center opening in Bengaluru this April. Six more centers are planned across key Indian cities by June. Funding Frenzy: The $11 million funding round indicates strong investor confidence in Beyond Odds' mission. This capital injection will fuel the company's growth and expansion plans. The Education Ecosystem Evolves: Beyond Odds' focus on the grey-collar workforce highlights a growing trend in the edtech space. Companies are increasingly catering to diverse segments beyond traditional academic education. What do you think? How can edtech companies bridge the employability gap for the grey-collar workforce? Will Beyond Odds' model succeed in the competitive Indian edtech landscape? Share your thoughts and insights in the comments! #BeyondOdds #Edtech #Employability #VivekSinha #Funding #India #startup

𝗙𝗿𝗼𝗺 𝗨𝗻𝗶𝗰𝗼𝗿𝗻 𝘁𝗼 𝗔𝗰𝗾𝘂𝗶𝘀𝗶𝘁𝗶𝗼𝗻: 𝗜𝘀 𝘁𝗵𝗲 𝗘𝗱𝗧𝗲𝗰𝗵 𝗕𝘂𝗯𝗯𝗹𝗲 𝗣𝗼𝗽𝗽𝗶𝗻𝗴? India’s EdTech sector is at a turning point. The latest headline-maker? ALLEN Career Institute is reportedly in talks to acquire Unacademy at a valuation of $800 million. Once valued at $3.44 billion, Unacademy’s story mirrors the highs and lows of the EdTech boom. The COVID-19 era saw online learning platforms surge, but as the dust settles, the sector is facing a reality check. Here’s what’s shaping the landscape: 𝗧𝗵𝗲 𝗥𝗶𝘀𝗲 𝗼𝗳 𝗛𝘆𝗯𝗿𝗶𝗱 𝗠𝗼𝗱𝗲𝗹𝘀: Pure online learning is no longer enough. Parents and students now prefer a mix of online convenience and offline interaction for personalized support and accountability. Hybrid models bridge the gap, leveraging digital tools while maintaining the trust and effectiveness of physical classrooms. 𝗣𝗿𝗼𝗳𝗶𝘁𝗮𝗯𝗶𝗹𝗶𝘁𝘆 𝗢𝘃𝗲𝗿 𝗚𝗿𝗼𝘄𝘁𝗵-𝗮𝘁-𝗔𝗹𝗹-𝗖𝗼𝘀𝘁𝘀: EdTech startups are shifting their focus from hyper-growth and cash burn to sustainable, scalable business practices. Investors and acquirers like Allen are prioritizing companies with clear paths to profitability over lofty valuations. 𝗥𝗲𝗴𝗶𝗼𝗻𝗮𝗹 𝗮𝗻𝗱 𝗩𝗲𝗿𝗻𝗮𝗰𝘂𝗹𝗮𝗿 𝗖𝗼𝗻𝘁𝗲𝗻𝘁: To expand reach, EdTech platforms are localizing their offerings and addressing the diverse needs of Tier 2, 3, and 4 cities. 𝗖𝗼𝗻𝘀𝗼𝗹𝗶𝗱𝗮𝘁𝗶𝗼𝗻 𝗶𝗻 𝘁𝗵𝗲 𝗦𝗲𝗰𝘁𝗼𝗿: With declining funding rounds, industry consolidation is becoming the norm. Established players like Allen are absorbing struggling competitors, leading to fewer but stronger players in the market. This potential acquisition underscores the evolving priorities in Indian EdTech: from flashy valuations to sustainable, impactful education models. Are hybrid models the future of education in India? Will the current wave of consolidation create a more resilient EdTech sector? Please share your thoughts in comments below. #startups #edtech #acquisition

Former Unacademy COO raises $11mn in seed funding for new edtech venture Sinha said that the venture would introduce Emversity, a higher education brand, launching its first centre in Bengaluru on April 20. “Our courses also come with ‘built-in income’, so candidates do not have to wait for completion of their formal higher education to earn their first pay cheque. Other features of these courses include ‘work abroad integrated’ modules and extensive placement assistance,” Vivek Sinha added. #BeyondOddsTechnologies #EmversityLaunch #SkillDevelopment #HealthcareEducation #IndustryPartnerships #EmployabilityTraining #HigherEducation #InternshipOpportunities #HealthcareIndustry #CareerDevelopment #TechNews #StartupFunding #Entrepreneurship #BusinessNews #Keralanews #Kerala #BusinessReviewLive #BRL #Keralabusiness

The recent scenario of India edtech between 2020 and 2023 appears to be a perfect textbook case of the bubble burst. As recently as 2021, India was projected as the potential “edtech capital of the world”. Now, VCs are no longer enthusiastic about investing in it. The data reflect the shifts. 🚀 Period of Boom -    2014 – 2019: $1.73 Bn -    2020: $1.88 B -    2021: $4.73 Bn (Ed-tech became the most-funded sector in India) 📉 Period of Bust/ Entry of Funding Winter -    2022: $2.6 Bn -    2023: $0.28 Bn In my attempt to understand the recent downturn in edtech funding in India over the last decade, let's start by examining the market landscape from 2014 to 2019. 📌 Market size: In FY19, the size of India’s education sector stood at $101 Bn, and its online education component was only $563 Mn, which means edtech was only 0.5% of the total education market in India. 📌 # of startups and their status: More than 4,450 startups were operating in early 2020 when 25% shut shops while only 4.17% raised funds during 2014-2019. 📌 Growth: The CAGR of capital inflow into edtech startups had been 47%. 📌 Business Model: Only 5% of the B2B models received funding whereas 94% of the funding went to B2C models. 📌 Sub-sectors: o Startups in test preparation and online certification earned a whopping 88% of the total capital inflow in edtech. Since India still operates on a marking system, VCs saw huge potential in these two segments. o Test Preparation received $1.4 Bn whereas K-12 received only $35 Mn in funding. 📌 M&As: 35 of the total 628 M&As were of the edtech startups. 📌 Active VCs: Blume, Nexus, Elevation, Accel, Innoven, 500 startups, IAN. 📌 Key edtech players: BYJU’s, Toppr, Flintobox, Vedantu, Simplilearn. 📌 Interesting Insights: o  BYJU worked in stealth mode from 2011 to 2015 and launched the app in 2016. o  BYJU’s grabbed 65% of the funding of the total edtech startups. o  BYJU’s revenue surged to 2x to $71 Mn in FY’18 compared to FY’17, proving large capital inflow pushed its revenue generation. o  Revenue numbers of edtech startups during this time stood at $13 Mn for Simplilearn, $7 Mn for Educational Initiative, $4 Mn Edureka, $3 Mn Toppr and $2 Mn Flintobox.

Key insights from the latest Entrackr report on the dynamics of the Indian ed-tech sector in 2022! Key Insights include: - Market potential of $5 billion by 2025 - Funding trends: Decline from $5.82 billion in 2021 to $2 billion in 2022 - Regulatory scrutiny and future outlook Market Potential:  The Indian edtech sector exhibits robust growth prospects, driven by a projected market size of $5 billion by 2025 for online education and lifelong learning. The broader domestic opportunity is estimated at $30 billion by 2030, indicating substantial potential for growth and innovation. Funding Trends:  Despite initial momentum fueled by the pandemic, edtech funding witnessed a sharp decline from $5.82 billion in 2021 to $2 billion in 2022 until August 15th. This downward trend mirrors broader market shifts, with total funding in Indian startups decreasing from $12 billion in Q1 2022 to $7.86 billion in Q2. Uncertainty and Layoffs:  The reopening of schools and coaching centers, coupled with a funding slowdown, presented significant challenges for edtech startups. Many resorted to layoffs to streamline operations and navigate financial constraints, reflecting the sobering realities of market dynamics. What do you think about the future of edtech in India? Share your thoughts in the comments below! https://lnkd.in/gYpaD2ku). #Edtech #IndianStartup #VentureCapital #BusinessInsights #MarketTrends #Investment

#Edtech | The Silicon Valley mantra "Move fast and break things" is widely known, but what's often overlooked is the potential danger in this approach. While the idea is to innovate quickly, it can sometimes lead to serious problems. After reading this book, my main takeaway is to be cautious when chasing growth by moving fast and breaking things. Rushing ahead without careful consideration can result in serious consequences, much like getting a fatal fracture. Pradip's book delves into his investigation of BYJU'S, a company he covered for The Morning Context over several years. Byju's initially aimed to make education accessible to all through its digital platform. However, it has since expanded into offline coaching centers and acquired numerous traditional coaching institutes, reflecting a larger trend in India's ed-tech industry. Through #Byju, Pradeep highlights issues within the ed-tech sector, shedding light on how these businesses operate, secure funding, and turn education into a commodity. The pursuit of profit often leads to treating learners merely as customers rather than prioritizing the quality of teaching. This mirrors the problems seen in traditional educational institutions, where profit often takes precedence over providing a quality learning experience. His book might offer a more complete picture of the future of education technology (ed-tech) in India than just pointing out the sector's problems. Shifting the focus from just teaching skills to also teaching values could change how we see the potential of Artificial Intelligence in ed-tech. His book covers a lot about the present and past of the education technology sector. It's essential reading for anyone curious about the startup in general or building Edtech for Indian consumers. Thank you so much Asmita for this amazing book - amazing read and a lot of personal learning for me as well :) Pradip, your book provides invaluable insights for entrepreneurs and founders shaping India's business landscape. Thank you for sharing such critical learnings. Also, your team at The Morning Context consistently delivers thought-provoking articles that are setting a new benchmark for the entire ecosystem. Kudos to you and your team for the dedication and effort you put in. Wishing you all the best!" #startups | Juggernaut Books | Ashish | Chiki | Devangshu | Devangana | Oorja

This is the biggest misconception I've ever heard- 👉“Education is really not important for business.” We had a friend meet yesterday, and they dropped this bomb on me- They said that education is overrated for business! I was taken aback.🤔 Coming from someone who has been running a successful business for years, I couldn’t believe they’d say that. Think about it like this- you’re building a house. Would you trust someone who has never seen a blueprint or held a hammer to build your dream home ❓ The same goes for business. Education provides the foundation,the blueprint, the tools you need to navigate the complex world of entrepreneurship. 👉Take a look at some of India’s most successful startup founders.✅ Many of them are highly educated. 👉Flipkart - Sachin Bansal and Binny Bansal, for instance, both have degrees from IIM Bangalore. 👉Paytm - Vijay Shekhar Sharma is an IIT Delhi graduate. 👉 BYJU'S Raveendran, the founder of Byju’s, one of India’s most popular ed-tech platforms, holds a degree in mechanical engineering from IIT-Madras. 👉 Nykaa a beauty and wellness retailer was founded by Falguni Nayar, who holds an MBA from IIM Ahmedabad. 👉 Ola , the ride-hailing platform was founded by Bhavish Aggarwal, who graduated from IIT Bombay. 👉Zomato this food delivery and restaurant discovery platform was founded by Deepinder Goyal, who also graduated from IIT Delhi. 👉Unacademy the online learning platform was founded by Roman Saini and Gaurav Munjal, both of whom were IAS aspirants with strong academic backgrounds. 👉Razorpay this fintech platform was founded by Harshil Mathur and Shashank Kumar, who graduated from BITS Pilani and IIT Delhi, respectively. ✅Any good startup example you take, education would be the root of it. Their education gave them the problem-solving skills, analytical thinking, and strategic mindset that helped them build these massive companies. So, is education really not important for business? Or is it a crucial ingredient for success? While there are certainly startups founded by individuals without formal education, education has played a major role in supporting many businesses to succeed. Can you share examples of successful Indian startups founded by entrepreneurs who didn’t have formal education? Comment and prove me wrong !

Indian VCs are slowly coming back, and the worst of funding winter is over. The biggest sign of this renewed investor interest is venture dollars are again flowing into the Indian Edtech sector. Three years ago, Edtech #startups were the darling of Investors. Founders were raising money left, right, and centre. Then came the funding winter. Unfortunately for the Indian edtech sector, it was a double whammy because this coincided with Byju's debacle. Over time, the world's most valuable private company lurched from one catastrophe to another. Byjus wiped out tens of billions of dollars of VC wealth. The edtech industry became a pariah. Smart founders struggled to raise #VentureCapital and stay afloat. Dozens had to shut shops. Now, it seems like the Edtech dark ages are getting over. Bhanzu, an edtech platform, recently announced a $16.5M Series B round. This funding is the latest in a series of large fundraises by growth-stage edtech startups like upGrad, Eruditus, and PhysicsWallah. VCs are again backing Indian edtech companies, at least the well-known ones. This is a good sign for early-stage founders. If VCs are fine #investing tens of millions in growing companies, they will soon start writing smaller cheques at earlier stages. I hope we will see more innovative edtech models now. We had enough of digitising offline classes, selling online courses, and building platforms to connect students, schools, teachers, etc. It's time for a new generation of #founders to step up and change the status quo. It's time for them to disrupt these online courses and platform startups. We are conducting our next podcast this Thursday, 14th November at 4 PM India time. In this episode, Sandeep and I pick Arjun's brain on growing your D2C brand and learning how investors evaluate D2C startups. The link is in the comments. Arjun Vaidya Sandeep Balaji