When Quizlet became a unicorn earlier this year, CEO Matthew Glotzbach stated he ‘d choose to distance the business from the typical nomenclature for a startup valued at or above$1 billion.”The way Quizlet has gotten to this point is by structure and growing an extremely responsible organisation,” he said. “It’s the result of the effort of the team for a years. We’re much more like a camel.”
It’s clear, however, that the tides may be changing. In edtech, the rich are getting richer. Recently, Mountain View-based < a class="crunchbase-link"href="https://crunchbase.com/organization/coursera"target="_ blank"data-type="company" data-entity =”coursera”> Coursera revealed it had actually raised a $130 million Series F round a day after The Details broke a story about Udemy supposedly raising brand-new financing at a $3 billion evaluation.
For anyone who has been following my edtech coverage in current couple of months, this momentum is hardly surprising. Earlier in the pandemic, MasterClass raised $100 million, Quizlet ended up being a unicorn and Byju’s became India’s second-most-valuable startup.
While edtech’s boom is predictable, the market is understood– to the annoyance of founders and to the advantage of veteran financiers— for being conservative. Today we’ll look to understand how a boost in late-stage financing may affect the market on a wider scale.
Ian Chiu, an investor at Owl Ventures, tells TechCrunch that the rise of huge rounds brings a “watershed minute” to the $6 trillion education market. Owl Ventures was founded in 2014 and is one of the most significant edtech-focused companies out there, however Chiu says the current strong capital flow shows that the sector is finally becoming a sector other financiers are noticing.
Article curated by RJ Shara from Source. RJ Shara is a Bay Area Radio Host (Radio Jockey) who talks about the startup ecosystem – entrepreneurs, investments, policies and more on her show The Silicon Dreams. The show streams on Radio Zindagi 1170AM on Mondays from 3.30 PM to 4 PM.