Uday co-founder Soumya Yadav said the startup was looking at the post-pandemic world for the first time because “we faced hurdles in developing a core model of online, live learning as children went back to school”.
“After much deliberation, we decided that it is better to wind up the business and not spend more time and capital on it,” Yadav said.
The development was first reported by startup news coverage portal Entrackr. The startup has paid severance packages to employees and helped them find new jobs.
Read | Vedantu lays off 424 employees, says ‘capital will be scarce’ to reopen schools, coaching
“We are returning the remaining capital, about $8.5 million, to our investors,” Yadav was quoted as saying in media reports.
The live-learning platform for students in grades 1 to 5 raised $2.5 million in a seed funding round led by Alpha Wave Incubation (AWI), managed by Falcon Edge Capital and InfoEdge Ventures.
Uday is the second edtech startup after Lido Learning to completely shut down operations. Led by the edtech platform, more than 8,000 start-up employees have recently suffered layoffs in India.
This includes over 1,000 employees at WhiteHat Junior, over 600 at Unacademy, over 424 at Vedantu and over 150 at Lido Learning. Another edtech firm Frontero laid off about 150 full-time and contract workers earlier this week.
The Bengaluru-based non-academic upskilling startup has laid off nearly 30 per cent of its workforce due to lack of funds and a downturn in the market.
Apart from edtech firms, startups that have laid off employees in the past few months include social commerce platforms Trail (over 300) and Meesho (150), used car platform Cars24 (over 600) and digital health platform Mfine (500). more than ). ), among others.
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