In a recent podcast, Byju Raveendran, CEO of Indian edtech giant BYJU’S, openly acknowledged significant missteps that have contributed to the company’s current financial challenges. He admitted that rapid expansion driven by investor pressure and a $1.2 billion term loan taken in 2021 were critical errors. These decisions have led to mounting losses and legal scrutiny, including allegations of a $533 million fund transfer linked to its U.S. financing arm, Byju’s Alpha.Raveendran and co-founder Divya Gokulnath have denied any financial misconduct, citing a lack of funds to defend themselves in U.S. courts.
BYJU’S, once valued at $22 billion, is now facing lawsuits and cash flow challenges. The company, which became a unicorn in 2019, played a significant role in scaling edtech in India, providing a platform for teachers to teach online and generate content. Despite the current turmoil, Raveendran emphasized that BYJU’S was a Make-in-India product aiming for global markets.
In other news, India has imposed restrictions on imports from Bangladesh, targeting goods worth approximately $770 million, nearly 42% of total imports from the neighboring country. This move is seen as a potential trade retaliation amid escalating diplomatic tensions between the two nations.
Additionally, the Confederation of All India Traders (CAIT) is considering halting all imports and exports with Turkey and Azerbaijan. This reaction came after these countries openly supported Pakistan following India’s ‘Operation Sindoor’, launched to limit Pakistan’s capacity to sponsor terror.
On the international front, President Donald Trump has publicly criticized Walmart for suggesting that increased import tariffs would lead to higher consumer prices. Trump urged the retail giant to “eat the tariffs” instead of passing the costs on to consumers. Walmart CEO Doug McMillon emphasized that the company aims to prevent food prices from rising, despite tariff-related costs primarily affecting general merchandise imported from China.
In the tech industry, Xiaomi plans to invest approximately $7 billion over the next decade in chip design, aligning with China’s broader strategy for semiconductor self-sufficiency amid ongoing trade tensions with the U.S. Xiaomi is set to unveil its 3-nanometer Xring O1 mobile chip this week, a technological breakthrough that positions it competitively against rivals like Huawei.
Meanwhile, Nvidia is reportedly in advanced talks to invest in PsiQuantum as part of a $750 million funding round led by BlackRock. This move signals Nvidia’s strategic shift toward quantum computing.
In the entertainment sector, Google CEO Sundar Pichai revealed that the company once seriously considered acquiring Netflix, though the deal never materialized. Pichai did not express regret over the decision but acknowledged it as a significant consideration during his tenure.
Regarding the gaming industry, Grand Theft Auto VI’s development cost is estimated to be over $1 billion, making it the most expensive video game of all time. This substantial investment reflects the game’s ambitious scope and the high expectations surrounding its release.
In a tragic development, a 25-year-old machine learning engineer at Ola’s Krutrim was found dead in Bengaluru, with allegations surfacing about a toxic work environment and extreme pressure. The incident has raised concerns about employee well-being and calls for investigation into workplace culture.
On the startup front, Pronto, a company offering 10-minute home services, has raised $2 million from Bain Capital. The startup provides services like cleaning, laundry, and other daily tasks, aiming to cater to the quick commerce segment in India.
Lastly, Magicpin’s quick delivery arm, magicNOW, now contributes 13% of all food orders on its platform, with plans to grow this to 20% by the end of the current financial year. The company is expanding rapidly, connecting users with brands and handling delivery operations.
