Unacademy in South Africa

Unacademy Faces Challenges Amidst Layoffs and Controversies

Johannesburg, South Africa – September 30, 2025

Unacademy, the Indian-based edtech giant, has been navigating a series of challenges in recent years, including significant layoffs, financial restructuring, and public controversies.

Financial Restructuring and Layoffs

In July 2024, Unacademy announced the dismissal of 250 employees across various departments, including business development, marketing, and sales. This move was part of the company’s ongoing efforts to streamline operations and enhance business efficiency. A company spokesperson stated, “This was necessary keeping in mind the company’s goals and vision for the year, as we focus all our efforts on sustainable growth and profitability.” (m.economictimes.com)

These layoffs were part of a broader trend, with Unacademy having reduced its workforce by over 50% since early 2022, from approximately 6,000 employees to below 3,000. (business-standard.com)

Controversies and Public Backlash

In August 2023, Unacademy faced public backlash after terminating educator Karan Sangwan. Sangwan had urged his students to vote for “educated candidates,” a remark that led to his dismissal for breaching the company’s Code of Conduct. Co-founder Roman Saini emphasized that the classroom is “not a place to share personal opinions and views,” leading to Sangwan’s termination. (ndtv.com)

The decision sparked criticism from various political figures, including Delhi Chief Minister Arvind Kejriwal, who questioned whether advocating for educated candidates was a punishable offense. (livemint.com)

Financial Performance and Valuation

Despite these challenges, Unacademy has made strides in its financial performance. In December 2024, CEO Gaurav Munjal reported a 30% growth in its offline learning business, with improved unit economics. He also highlighted a 50% reduction in cash burn at the group level and a healthy cash reserve of $170 million, with no debt and a runway of over four years. (resource.dnsafrica.org)

In 2023, Unacademy raised fresh funds from Tiger Global Management and Dragoneer Investment Group, valuing the company at $2 billion. The company reported a 100% increase in its paid subscriber base and a 100% increase in average daily watch time across its platforms during the July-September period. (southafricatoday.net)

Expansion into South Africa

While Unacademy has primarily focused on the Indian market, there have been discussions about its potential expansion into international markets, including South Africa. However, as of now, there is no official confirmation regarding Unacademy’s operations or partnerships in South Africa.

Conclusion

Unacademy continues to navigate a complex landscape, balancing financial restructuring with public controversies. Its future growth, both domestically and internationally, will depend on its ability to adapt to market demands and maintain its commitment to quality education.