‘Tried to grow too fast’, Union Minister Rajeev Chandrasekhar on Byju's crisis
Byju's Crisis: Union Minister Rajeev Chandrasekhar offered a blunt assessment of Byju's current crisis, attributing it to the company's rapid expansion without adequate corporate governance. "They tried to grow too fast, without the rigour: and discipline a growth company needs, especially when money was easy," he stated, while addressing the Mumbai Tech Week, according to a report by Hindustan Times. The minister emphasized that neglecting these principles, particularly during periods of easy access to capital, creates an unsustainable model.
"Eventually, the cycle turns, and if you haven't learned from others' mistakes, you'll make your own," he warned, positioning Byju's as a cautionary tale. While highlighting the challenges faced by Byju's, Chandrasekhar expressed optimism about the broader Indian tech scene. He identified the gaming sector as a "crucial segment" deserving of encouragement and support.
He acknowledged the conflation of online gaming with "real money, betting, and money laundering," but outlined the government's efforts to create a safe and legal framework for permissible gaming activities. He assured entrepreneurs to "keep faith," emphasizing that challenges faced by individual companies, including Byju's, shouldn't be misconstrued as reflections on the entire entrepreneurial ecosystem. "There's a thing about discipline that some intuitively understand, while others need time to learn," he said, the report further added.
Read more on livemint.com
