Yuanfudao – Startup Story | Founder| Ceo | Funding | History | Competitors

Introduction:

Due to consumer expenditure and a cultural emphasis on educational outcomes, Asia as a whole has a stronger education market. As a result, the move to digital learning has given the already thriving education business a boost. According to one report, China’s education sector might generate $81 billion in economic output in the next two years. Yuanfudao

Yuanfudao, a Beijing-based startup in the education technology sector, announced on Thursday that it has raised $2.2 billion in two recent rounds of funding from significant Chinese and foreign investors, raising the company’s estimated value to $15.5 billion.

About:

Yuanfudao offers students guidance on how to do assignments using tablets and smart phones. The platform uses a clever algorithm and sophisticated data mining technology to maximise the students’ experience while completing tasks. Yuanfudao is useful to increase exercise efficiency since it can create specialised workouts for various pupils.

A number of online education products are available from Yuanfudao, including zebra AI courses, little ape search questions, little ape oral computations, and ape question bank. It offers consumers a range of intelligent education services, including online classes, clever exercises, and problem analysis, to aid students in effectively closing the loop on their learning.

Tencent, DST Global, Temasek, Warburg Pincus, Matrix Partners China, IDG Capital, Hillhouse Capital Group, Boyu Capital, and other financial institutions support Yuanfudao. On October 22, 2020, the firm completed its $2.2 billion Series G1 and G2 fundraising deal. With this, Yunfudao has now received $2.7 billion in total finance. The most expensive Edtech company in the world now has a valuation of $15.5 billion thanks to the most recent financing.

In light of a wider increase in distance learning, the company will use the money it makes to develop curricula and expand Yuanfudao’s online educational service. The business disclosed to TechCrunch in 2018 that the sale of live courses accounted for the majority of its income. At the time, it aimed to increase funding for AI, incorporate more AI into its products, and enhance user experience.

Since then, Yuanfudao’s user base has increased to 400 million students throughout China. The financing announced today hints that it would promote more interactive, online education and expand its closed loop approach of instruction. At the moment, Yuanfudao provides a range of offerings, including live instruction, an online Q&A section, and a math problem-checking section.

The physical presence of Yuanfudao, which has 30,000 workers working in teaching facilities all around China, might support its online offerings. It established an artificial intelligence research institute and technology lab in 2014 in collaboration with prestigious universities like Tsinghua University, Peking University, Chinese Academy of Sciences, and Microsoft. The aim? to immediately incorporate knowledge from that institute into the app. The business views AI as a chance to identify students’ areas of weakness, which it can subsequently address in lesson plans and product development.

Website : https://www.yuanfudao.com/

Founder & Team:

founded in 2012 by Li Xin, Li Yong, and Shuai Ke. Three executives work at Yuanfudao. Yong Li is the current founder and CEO of Yuanfudao.

History:

In 2012, Yuanfudao began as a search tool company called “Yuan Question Bank,” but later changed its business strategy to focus on online education. Since then, the company has been successful in securing funding from notable investors as Tencent, IDG Capital, Warburg Pincus, Hillhouse, etc. in a total of eight rounds.

Name & Logo:

Yuanfudao Highlight:

Company Name	Yuanfudao
Founders	Li Xin, Li Yong, Shuai Ke
Started at	2012
Competitors	Zuoyebang, XueXiBao, and Xueersi Online
Website	https://www.yuanfudao.com/
Revenue	$426.59M – $568.79M
Country	China
Customer care Email	–
Customer care Contact details	–
Caompany Valuation	$15.5b
Industry	Edu-tech
Headquarters	Beijing, China

Revenue:

2019 revenue for Yuanfudao ranged from $426.59M to $568.79M. The most recent revenue for Yuanfudao is from 2017. The 2012-founded homework tutoring app Yuanfudao has collected $2.2 billion from investors, making it the most valuable edtech business in the world, surpassing Byju’s. The Beijing-based corporation is now valued at $15.5 billion, nearly doubling its March estimate.

The additional funding is seen by the corporation as two independent extension rounds of its $1 billion Series G financing event from March. Tencent led the G1 round, which also included Hillhouse Capital, Boyu Capital, and IDG Capital. DST Global served as the project manager for the G2 finance, with support from CITICPE, GIC, Temasek, TBP, DCP, Ocean Link, Greenwoods, and Danhe Capital.

Funding & Investors:

• The most recent investment round for Yuanfudao was a $300M Series G-IV on December 24, 2020.
• In October 2020, Yuanfudao was valued at $15,500M.
• The most recent post-money value for Yuanfudao is dated October 2020.
• There are 18 investors in Yuanfudao, including Temasek Holdings and YF Capital.

Revenue Model:

Yuanfudao, a Chinese edtech firm, revealed in a press release yesterday that it has obtained new funding totaling US$2.2 billion in two tranches of its Series G financing during the current global edtech investment boom.

A continuation of Yuanfudao’s $1 billion Series G fundraise from March of this year are the most recent G1 and G2 investment rounds. The startup’s valuation was $7.8 billion in March, but the most recent fundraising has nearly doubled that to $15.5 billion, according to the press release. Yuanfuadao has now supplanted Indian edtech juggernaut Byju’s as the most valuable edtech startup in the world.

The startup with its headquarters in Beijing raised $1.2 billion in its Series G1 round, which was headed by Tencent and included Hillhouse Capital, Boyu Capital, and IDG Capital. DST Global took the lead in this month’s second financing round, which saw Yuanfudao raise an additional $1 billion.

In addition, the statement listed CITIC Private Equity Funds Management, Temasek Holdings, TBP, DCP Capital, Ocean Link, Greenwoods Investment, and Danhe Capital as participants in the round. Singapore’s Sovereign Wealth Fund GIC and Danhe Capital also contributed.

According to the announcement, the company plans to use the additional cash for technological advancement, service growth, and to quicken the development of products and curricula. In the Chinese K12 market, Yuanfudao, founded in 2012, provides a wide range of online learning solutions. Among them are the live teaching portal Yuanfudao, the apps Zebra AI Class for English, Yuantiku for an online question bank, Xiaoyuan Souti for question searching, and Xiaoyuan Kousuan for checking arithmetic problems.

Services Offered thru Yuanfudao:

Online education products created by Yuanfudao include the YUANFUDAO APP, YUANTIKU, XIAOYUANSOUTI, XIAOYUANKOUSUAN, Zebra AI Course, and YUANFUDAO.

In 2014, Yuanfudao also established the Yuanfudao AI Research Institute. Currently, the AI Research Institute is made up of about 100 individuals from a range of prestigious universities and corporations, including Tsinghua University, Peking University, the Chinese Academy of Sciences, and Microsoft.

Yuanfudao asserts that it serves more than 400 million people, including students and their parents who use the company’s apps to monitor their children’s academic progress.

Awards & Recognition:

China-based EdTech startup Yuanfudao got National Startup Award 2022.

Competitors:

Yuanfudao’s top competitors include Zuoyebang, XueXiBao, and Xueersi Online.

• A startup called Zuoyebang offers study platforms and other services to K–12 pupils online. The site serves as a thorough research resource for academic work.
• Through its mobile app platforms, XueXiBao offers test preparation databases to Chinese students in middle and high school. According to the business, users have registered.
• For kids ages 6 to 18, Xueersi Online offers an online learning environment. Online education, real-time communication, online tutoring, and classrooms are all provided by Xueersi Online.

Latest News:

• As the most valuable ed-tech company globally, Yuanfudao raised US$2.2 billion in new funding, valuing the company at US$15.5 billion.
• Yuanfudao, a Chinese unicorn, receives $300 million in funding.
• Yuanfudao, an edtech unicorn, raises USD 1.2 billion.

Future Plans:

There is no data.

Some FAQs:

Is Yuanfudao profitable?

The 2012-founded homework tutoring app Yuanfudao has collected $2.2 billion from investors, making it the most valuable edtech business in the world, surpassing Byju’s. The Beijing-based corporation is now valued at $15.5 billion, nearly doubling its March estimate.

What does Yuanfudao do?

Yuanfudao, an online tutoring platform established in 2012, enables students to participate in live sessions to obtain assistance with their homework and exam preparation. The platform is currently valued at $15.5 billion and has over 400 million registered users.

Who invested in Yuanfudao?

Yuanfudao has 18 investors including YF Capital And Temasek Holdings.

How much funding has Yuanfudao raised to date?

Yuanfudao has raised $4.1B.

Conclusion:

The firm, which runs online homework help and live tutoring platforms, has seen its worth double as a result of the fresh financing, as investors raise their stakes in a market that has seen a rise in interest since the coronavirus outbreak sparked a shift to online classrooms. According to the firm, China currently has 400 million subscribers.