Nigerian edtech startup Edukoya has officially shut down its operations, the company confirmed in a statement to stakeholders seen by Nairametrics.
This comes four years after the startup raised $3.5 million in 2021, in what became Africa’s largest pre-seed funding.
The startup cited market readiness, connectivity issues, and limited access to devices as major hurdles.
Additionally, the lack of disposable income and unfavorable macroeconomic conditions made mass-market adoption challenging.
Challenges in scaling synchronous learning
In its statement, Edukoya highlighted the difficulties it faced in scaling its synchronous learning model.
- The company said it encountered significant market readiness challenges in scaling its synchronous learning model, even as efforts to strike a merger and acquisition deal failed.
- The company concluded that it was ahead of its time and decided to wind down operations, returning capital to investors.
“In many ways, Edukoya was too early for its time -the infrastructure and economic conditions needed to support our vision at scale simply aren’t yet in place across our target markets.
“After exploring partnerships, M&A, and business model pivots without viable solutions, we’ve chosen to wind down operations and return capital to investors rather than deplete resources chasing scale in a challenging market.
“This strategic shutdown – though counterintuitive in “persist at all costs” startup culture – creates better outcomes for everyone: our investors can redeploy capital, our team can transition with dignity, and we preserve our vision’s integrity instead of compromising to survive,” the company stated.
Founder’s vision and inspiration
Launched in 2021, Edukoya aimed to revolutionize online K-12 learning in Africa by offering digital education content and online tutoring for students and parents.
- Founded by Honey Ogundeyi, the startup was inspired by her personal experiences with Nigeria’s education system.
- Ogundeyi, who had the opportunity to study in the UK, observed stark contrasts between Nigeria’s education system and that of the West.
In a 2021 interview, she shared, “Even the most brilliant students can be let down by the system.” She added, “If my parents hadn’t made the sacrifice for me to go abroad, all the successes I’ve had in my career would have been completely different.”
Her passion for addressing educational challenges was further fueled by her own children’s experiences.
“Seeing that same problem of going to school and struggling with some subjects made me look into getting after-school teachers. It struck me that this issue has remained largely unchanged for the last 50 years. Despite innovations across different industries, Africa’s education system has stagnated,” she said.
Notable achievements and impact
Despite its eventual shutdown, Edukoya made significant strides in its mission to redefine online learning.
- According to its email to stakeholders, the platform impacted over 80,000 students, answered more than 15 million questions, and conducted thousands of daily live classes.
- The startup also integrated artificial intelligence into its product to enhance learning experiences.
