Byju's: A Tale of Rise and Fall in the EdTech Sphere

In the early 2020s, Byju's emerged as a shining star in the EdTech sector, captivating students and parents alike with its innovative learning solutions. Founded in 2011 by Byju Raveendran in Bangalore, India, the company leveraged technology to transform traditional education methodologies. By 2021, Byju's had become the world's most valuable education technology company, boasting a valuation of approximately $21 billion, driven by a series of high-profile acquisitions, including TutorVista and Aakash Educational Services. The platform offered tailored, engaging coursework in a plethora of subjects and grades, quickly amassing a user base of over 150 million students globally.

The Ascent of Byju's

The COVID-19 pandemic acted as a catalyst for Byju's meteoric rise. In 2020, as educational institutions worldwide transitioned to online learning, Byju's recorded a phenomenal growth trajectory. The company reported a significant increase in revenue, surpassing $300 million in FY 2021, thanks to a surge in demand for digital learning solutions. The app itself garnered a staggering 100 million downloads on the Google Play Store by this time, underlining its mainstream acceptance.

Byju's international expansion strategies also paid off well. The company ventured into markets across the Middle East, Latin America, and the USA, further diversifying its revenue streams. With ambitious plans to reach profitability by FY 2022, Byju's invested heavily in enhancing its content offerings and technological infrastructure.

The Turning Point

However, as the initial euphoria began to fade, cracks started to appear in Byju's business model. By 2022, the company faced a series of challenges, including operational inefficiencies, increased competition, and a growing backlash against online learning saturation. The ed-tech landscape was rapidly evolving, and Byju's struggled to adapt. Despite expanding its course offerings and employing aggressive marketing strategies, consumer trust began to wane.

By 2023, financial troubles began to loom large over Byju's. The company was reported to have an eye-watering $1.2 billion in losses for FY 2023, leading to significant layoffs and cost-cutting measures across departments. Moreover, in an effort to maintain cash flow, Byju's took on substantial debt, raising concerns about its long-term financial stability.

Legal Challenges and Regulatory Scrutiny

Adding to the woes were legal challenges. In 2024, reports emerged of a series of lawsuits against Byju's regarding its advertising practices and refund policies. These challenges prompted increased scrutiny from the Indian government and educational authorities, further damaging the brand's reputation.

By 2025, the situation escalated. Byju's had defaulted on payments for multiple loans, with its debts reported at over $1 billion. Investors grew increasingly cautious, leading to a significant decline in the startup's valuation to approximately $5 billion. The company's once-celebrated growth story turned into a cautionary tale of unchecked ambition and inadequate governance.

The Delisting from Google Play Store

On 26-May-2025, Google's Play Store took a decisive step by delisting Byju's app following repeated violations of its policies, primarily concerning user data privacy and misleading advertisements. This move by Google exacerbated the company's already precarious position in the market.

The delisting sent shockwaves through the educational technology community. Losing access to one of the largest app distribution platforms effectively cut off an essential revenue avenue for Byju's, which relied heavily on app-based sales for subscriptions. The impact on existing users was immediate, with many expressing frustration over their inability to access the platform.

The Current State of Byju's

As of late May 2025, Byju's finds itself at a crossroads. The combination of mounting debts, declining user engagement, and legal issues has left the company in a vulnerable state. With a desperate need for a turnaround strategy, Byju's has begun discussions with potential investors to secure emergency funding. However, opportunities for recovery appear slim, given the rampant skepticism surrounding the company's viability.

Moreover, the chilling effect of the delisting means that Byju's has to rethink its approach to engaging users, particularly given the emergence of new competitors who are quickly filling the void left by its declining presence. Companies such as Unacademy and Vedantu have ramped up their offerings, further narrowing Byju's customer base.

The future of Byju's remains uncertain, but the lesson is clear: even the most successful edtech companies must tread carefully and align their growth ambitions with sustainable practices and ethical standards. As it stands, Byju's must now work tirelessly, not only to repair its brand but also to regain the trust of its stakeholders, amidst an industry landscape that continues to evolve rapidly.