The rivalry between China’s high on-line studying apps has turn into much more intense this yr due to the COVID-19 pandemic. The most recent firm to attain a big funding spherical is Zuoyebang, which announced today (hyperlink in Chinese language) that it has raised a $1.6 billion Collection E+ from traders together with Alibaba Group. Different members included returning traders Tiger International Administration, SoftBank Imaginative and prescient Fund, Sequoia Capital China and FountainVest Companions.
Zuoyebang’s newest announcement comes simply six months after it introduced a $750 million Collection E led by Tiger International and FountainVest. The most recent financing brings Zuoyebang’s complete raised thus far to $2.93 billion. The corporate didn’t disclose its newest value, however Reuters reported in September that it was elevating at a $10 billion valuation.
One in every of Zuoyebang’s predominant opponents is Yuanfudao, which introduced in October that it had reached a $15.5 billion valuation after closing a $2.2 billion spherical led by Tencent. This pushed Yuanfudao forward of Byju because the world’s most respected ed-tech firm. One other standard on-line studying app in China is Yiqizuoye, which is backed by Singapore’s Temasek.
Zuoyebang presents on-line programs, stay classes and homework assist for kindergarten to twelfth grade college students, and claims about 170 million month-to-month lively customers, about 50 million of whom use the service every day. Compared, there have been about 200 million Okay-12 college students in 2019 in China, according to the Ministry of Education (hyperlink in Chinese language).
In fall 2020, the entire variety of college students in Zuoyebang’s paid live-stream lessons reached greater than 10 million, setting an business file, the corporate claims. Whereas loads of the expansion was pushed by the pandemic, Zuoyebang founder Hou Jianbin mentioned within the firm’s funding announcement that it expects on-line schooling to proceed rising in the long term, and can spend money on Okay-12 lessons and increase its produt classes.