Lightspeed-backed edtech startup FrontRow shut its operations on June 30, weeks after Moneycontrol reported it is considering a potential sale or even a shutdown in the worst-case scenario, people aware of the matter told Moneycontrol.
Ishaan Preet Singh, co-founder of FrontRow, confirmed the development and said the company realised that it would be senseless to burn money.
“We are still exploring a couple of potential acquisitions of the IP (intellectual property) and the team, or we will return the capital,” Singh told Moneycontrol.
This came months after the company laid off 75 percent of its staff and said it would “start from scratch.” After two rounds of layoffs in May and October 2022, the company was left with about 35-40 employees.
Moneycontrol had earlier said that backers including Lightspeed Venture Partners are looking for potential acquirers for the company. Singh now said that the company will make the decision in the next couple of months along with its board.
TechCrunch was the first to report the development.
The Bengaluru-based company was founded in 2020 by Singh, Shubhadit Sharma, and Mikhil Raj, and counts Elevation Capital, Lightspeed India, Eight Roads Ventures, GSV Ventures among others, along with Unacademy's Gaurav Munjal as its backers.
It had raised $14 million as a part of its Series A round in September 2021.
FrontRow offered an e-learning platform for comedy, sports, creative arts, and hobbies. In October, Singh admitted that the business model could not scale and that the growth till now came as the company doubled down on its marketing and sales headcount.
Moneycontrol reported earlier how FrontRow has struggled to find a product-market fit despite multiple attempts, which led to the company contemplating these decisions.
With this Frontrow joins the list of edtech companies like Udayy, and Lido, that had to shut shop with slowdown in demand for online learning.
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