Sequoia Capital’s Visionaries: GV Ravishankar and Rajan Anandan Shaping the Future of EdTech in India

In the ever-evolving landscape of education technology (EdTech) in India, two influential figures stand at the forefront of innovation and investment—GV Ravishankar and Rajan Anandan. As managing directors of Sequoia India, they have played pivotal roles in transforming the EdTech sector, identifying opportunities, and nurturing start-ups that have become major players in the industry. GV Ravishankar, the managing director of Sequoia India, embarked on a journey to reshape the narrative around the venture capital firm’s involvement in education-focused start-ups. The turning point was a pivotal moment in a Christ College auditorium, where he witnessed Byju Raveendran, the charismatic founder of Byju’s, captivate a diverse audience ranging from schoolchildren to parents.

Despite a historical reluctance at Sequoia to invest significantly in the education sector, Ravishankar recognized the transformative potential in Byju’s approach. The visionaries at Sequoia understood that the market was ripe for disruption. By December 2015, Sequoia had invested $26 million in Byju’s, marking the beginning of a successful partnership. Ravishankar’s strategic patience and readiness to wait for the right opportunity paid off handsomely. In 2020, Sequoia India made a lucrative partial exit from Byju’s, reportedly making 21x returns on its initial investment. Today, Sequoia remains a key investor in Byju’s, holding an 8 to 9 percent stake, solidifying its position as the largest EdTech investor in India over the last decade.

Complementing Ravishankar’s foresight is Rajan Anandan, another managing director at Sequoia India, whose strategic insights have propelled the firm’s EdTech portfolio into diverse and promising territories. Anandan’s unique perspective on expansion and upskilling has been instrumental in identifying start-ups that cater to a wide range of learners. One standout example is Unacademy, where Gaurav Munjal, the co-founder and CEO, was initially dismissive of Anandan’s suggestion to bundle everything and offer a comprehensive learning package. Anandan’s vision for ‘Unacademy Plus Subscription’ proved transformative, with 15,000 paid subscribers within two months of its launch in January 2019. The platform quickly achieved a $100 million annual revenue run rate, showcasing the power of strategic collaboration.

Anandan’s influence extends to start-ups like Doubtnut, which Sequoia backed in 2019. Doubtnut evolved from a math-focused platform to a comprehensive learning solution, aiming to reach students who cannot afford traditional education costs. Anandan’s emphasis on finding hacky ways to acquire customers aligns with Doubtnut’s innovative model of using doubt clearance as a tool for engagement. Additionally, Anandan has championed Scaler, formerly known as InterviewBit, in its mission to up skill India’s technical graduates. By focusing on the 800,000 annual engineering graduates, Scaler aims to create world-class engineers at scale, addressing a critical need in the job market.

Sequoia’s success in the EdTech sector is not solely attributed to luck or serendipity; it stems from a carefully crafted strategy that spans various segments of education. From K12 education to test preparation, employment, and continuous learning, Sequoia has strategically chosen bets that align with the evolving needs of learners. The firm’s willingness to partner with visionary entrepreneurs, learn from each investment, and adapt its thesis over time has set it apart in the EdTech investment landscape. As Radha Kizhanattam, partner at Unitus Ventures, notes, Sequoia has carefully chosen bets across the EdTech spectrum, constantly evolving its investment thesis.

Despite the remarkable success, Sequoia faces challenges as its portfolio companies begin to overlap and enter each other’s territories. The rise of giants like Byju’s and Unacademy, both backed by Sequoia, has led to increased competition within the portfolio. However, Ravishankar remains optimistic, emphasizing the vastness of the education market and the possibility of multiple winners.

As Sequoia India navigates the complexities of a maturing EdTech landscape, the firm remains committed to fostering innovation, maintaining discipline among portfolio companies, and ensuring that the essence of education takes precedence amid technological advancements. GV Ravishankar and Rajan Anandan‘s leadership continues to shape the future of EdTech in India, where the pursuit of knowledge and quality learning experiences remain at the forefront of their endeavours.