Edtech startups bank on continuing demand for online learning

STARTUPS operating in the education technology space are banking on continued demand for online learning post-pandemic, but could face trying times as countries re-open fully and lives return to normalcy. 

Last week, news emerged that Temasek-backed unicorn Unacademy had let go of about 1,000 staff over the past few weeks. The company had axed jobs ahead of an impending slowdown in venture funding and overall economic tightening, according to a report in India’s The Economic Times. After its recent US$440 million funding round in August 2021, Unacademy is reportedly valued at US$3.4 billion.  

Yet a recent pick-up in funding suggested that investor attention has returned to the sector, which has long lagged behind markets such as fintech and e-commerce.