Online tutoring startup Vedantu has acquired the doubt-solving app Instasolv, marking its first acquisition in a space that is seeing increasing consolidation. Vedantu said the acquisition will strengthen its presence in Tier II and Tier III markets. Instasolv offers instant doubt-solving services in a chat format to students from Class 6 to 12 for science, mathematics, IIT-JEE, and NEET. Last year, Vedantu had invested $2 million as part of a pre-series A funding in Instasolv.
“Last year we took a strategic decision to invest in Instasolv to strengthen our play in doubt-solving, which is one of the key aspects of learning online. Through this partnership we endeavor to change India’s learning curve through definitive outcomes,” said Vamsi Krishna, CEO, and Co-Founder, Vedantu.
With this acquisition, Instasolv brings in close to 1 million of its potent active learners to Vedantu’s platform. It will also help Vedantu focus more on Tier II & Tier III towns where access to quality teachers is a growing challenge and doubt solving is a key for students. Vedantu raised $100 million in a Series D round last year, led by US-based investment firm Coatue, at a valuation of $600 million. The ed-tech space saw huge adoption in the aftermath of the COVID-19 pandemic as classes and teaching moved online.
Vedantu’s rivals such as Byju’s and Unacademy have also been on an acquisition spree as they seek to consolidate their leadership in the space.
While Unacademy has made seven acquisitions since March last year, Byju’s has bought WhiteHat Jr, LabInApp, and is also reportedly in talks to buy out Aakash Institute and Toppr. Interestingly, Byju’s was in talks to buy out another doubt-solving app called DoubtNut, but those talks fell through because of differences overvaluation.