Byju’s may fire 1,000 workers in a new effort to cut costs, with sales and marketing staff taking the most hit. The company has also added AI models to its learning modules to improve learning.
Byju’s, the largest edtech business in India, may fire another 1,000 workers in a new effort to cut costs. The company’s sales and marketing staff will probably take the most hit from this choice. The company’s most recent choice was about to be made as a result of Byju’s failure to pay a term loan B (TLB) interest payment of almost $40 million per quarter.
According to rumors, Redwood Investment Management is being sued by Byju’s. Additionally, the corporation seeks to block Redwood from being the lender and the acceleration of a $1.2 billion term loan B facility because they are using “predatory tactics.”
According to reports, Byju’s filed a lawsuit in the New York Supreme Court charging Redwood with breaking the conditions of the lending facility by acquiring a large portion of the loan despite primarily dealing in distressed debt.
Around 1,500 workers were let off at Byju’s in February: Report
Around 1,500 employees were allegedly let go by Byju’s earlier in February; this was the second round of layoffs in the edtech sector in as many months. The company let off 2,500 employees earlier in October 2022 in an effort to turn a profit by March 2023. Divya Gokulnath, a co-founder of Byju, previously stated that the firm intended to concentrate on increasing brand recognition while also hiring 10,000 teachers in the future.
On June 7, however, Byju’s announced that it had included generative artificial intelligence into its learning modules while reiterating that it will not take the position of instructors.
BADRI, Math GPT, and TeacherGPT are three new AI models that the business has added to Byju’s WIZ suite in order to better understand students’ learning styles and create techniques that would improve learning for them. Speaking to the media, Gokulnath stated that the use of AI is not intended to replace instructors, but rather to increase organizational efficiency and support teachers’ ability to concentrate on more appropriate responsibilities.
