Byju’s, the Bengaluru based edtech unicorn, is one of the fastest-growing education companies in India. Founded in 2011, the company has raised $5.5 billion in private equity funding to date. The company provides engaging online learning experiences for students from kindergarten to grade 12, as well as competitive entrance examinations.
History and Funding
Founded by Byju Raveendran, the company started as an offline coaching class for CAT aspirants in Bengaluru. In 2015, Byju’s launched its flagship product, the Byju’s Learning App, which has proven to be a game-changer for the education industry in India. Over the years, the company has attracted marquee investors such as Sequoia Capital, Naspers, Chan-Zuckerberg Initiative, and Qatar Investment Authority.
Byju’s is among the first edtech companies to cross $1 billion in valuation in India and currently serves more than 100 million students across the country. The pandemic has been a boon for Byju’s, with the company reportedly doubling its revenue from ₹2,800 crore in the previous fiscal year to ₹6,143 crore in FY21. However, the company seems to be facing its own set of challenges as it announces layoffs.
Byju’s recently announced that it would lay off around 1000 employees across the company’s verticals. The news came as a shock to the employees, who were not expecting such a move from a company that registered a 100% increase in revenue during the pandemic.
According to sources, Byju’s is restructuring and consolidating its various business units, which has resulted in some roles becoming redundant. The company has stated that the layoffs are part of a regular exercise to match the pace of growth and performance. The company has clarified that this is not a cost-cutting exercise.
While the news of layoffs has caused concern among employees, the company’s management has tried to reassure them. In a statement, Byju Raveendran, CEO of Byju’s, said, “Our commitment to providing high-quality products and services to learners remains unchanged, and we will continue to invest in talent to create an unparalleled learning experience.”
The layoff news has created some uncertainty among employees and stakeholders, but it remains to be seen how the company will emerge from this period of restructuring. Despite the challenges, Byju’s innovative approach to learning has gained it a loyal customer base. The company’s future prospects seem bright, and if it can navigate through this crisis, it will continue to be a leading player in the Indian edtech space.