Edtech startup Invact Metaversity is considering to shut down in less than six months of being launched as its founders Manish Maheswari and Tanay Pratap are now standing at crossroads and exploring various possibilities for the company’s future, said Maheshwari in a series of tweets.
“We are now standing at crossroads. We are exploring several options such as (a) cutting the burn rate and pivoting to another idea, (b) letting one of the founders take full charge, or (c) returning the excess capital to investors. The last option is also being considered because it sets an example of how to execute fast, learn fast, and not commit oneself to build an undifferentiated product just because one has capital. Basis the collective inputs we plan to take the final decision over the next few weeks,” Maheshwari tweeted.
As they progressed, the founder said that the differences also emerged between the founding team on the vision on whether they are an education company or a metaverse company and the approach to achieving that vision.
Earlier this year, the startup had secured $5 million in seed funding round from Arkam Ventures, Antler India, Picus Capital, M Venture Partners, BECO Capital among others.
The company has also canceled the courses it offered, before it even began, and has refunded the amount to the students.
“As we started testing the early version of the Metaversity platform with students, it became apparent to us that the immersive classroom and the community experience were not getting delivered at a level that we had envisaged. We also ran into technology and ecosystem challenges as we solved accessibility on devices currently used by students,” Maheshwari said.
The edtech startup had started with a vision to deliver a significantly differentiated learning experience for students, leveraging the metaverse’s potential, which as per its founder, started impeding them from delivering a significantly differentiated learning experience at this point in time.
“We, therefore, canceled the course before it began. Any advance fee paid by students was fully refunded along with interest and our unqualified apology. Our purpose was clear: we wanted to use Metaverse to make education more accessible and interactive for students, but things didn’t turn out as we had hoped,” he added.