Uolo secures $7M in fresh funding to strengthen its push toward AI-driven education across Indian schools. The investment comes through a pre-Series B round led by global edtech fund Five Sigma, with participation from existing investors Blume Ventures, Morphosis and Alicorn. The round marks a new phase of growth for the Gurugram-based education startup, which already serves more than 2,500 schools and over 1.1 million paying K–12 students.
The company plans to use the new capital to expand its school network, build more advanced generative AI learning companions, and deepen its curriculum-integrated learning ecosystem. Uolo’s model relies heavily on school partnerships rather than the direct-to-consumer route taken by many edtech giants. By embedding its AI tools directly inside a school’s daily learning cycle, the startup aims to improve adherence, affordability and continuity of learning.
Founded in 2020 by brothers Pallav and Ankur Pandey, Uolo blends physical textbooks with AI-based home-learning support to ensure students stay on track. Its model focuses on low-cost, curriculum-aligned tools priced at around Rs 600 per year, which helps reach budget and mid-market schools that have traditionally been underserved by premium edtech players.
The fresh funds arrive at a time when India’s edtech market is showing signs of revival after a long slump. Investors are shifting attention toward sustainable models with real outcomes, and Uolo’s school-first strategy appears well aligned with that shift. With revenue jumping from Rs 55 crore last year to Rs 103 crore this academic year, the company is now preparing to scale from 2,500 partner schools to 3,500.
As AI-driven personalized learning becomes a core part of modern classrooms, Uolo’s big bet on integrated, affordable AI could reshape how students across India experience education both at school and at home.
1. Uolo secures $7M and enters a new phase of AI-led expansion
Uolo secures $7M at a time when Indian classrooms are rapidly exploring AI-led learning. The new investment round places the company in a stronger position to scale its school network and to build AI companions that reinforce learning beyond classroom hours. While the edtech market has seen dramatic ups and downs, Uolo’s steady school-first approach sets it apart from earlier players who depended heavily on direct sales to parents. As affordable AI tools begin reshaping education, the company is betting on deeper school integration to drive real adoption.
2. Background: How Uolo began its journey
2.1 The founding story of Pallav and Ankur Pandey
The startup was founded in 2020 by brothers Pallav and Ankur Pandey, who believed Indian classrooms needed a bridge between traditional learning and digital support at home. Instead of building an app-first product, the founders decided to work directly with schools. This approach gave them access to a large student base, higher trust, better adherence and a smoother way to integrate curriculum-based AI tools.
2.2 The early model and the shift toward AI
Uolo started with textbooks and a home-practice app, but the rapid rise of generative AI changed the trajectory of the company. The founders saw that students often struggled to stay consistent, even when good content was available. They realized that AI could function as a personalized study companion, reinforcing concepts in simple and interactive ways.
3. Understanding Uolo’s working model
3.1 A school-partnership distribution engine
The core of Uolo’s model is its school-partnership engine. Instead of marketing to individual parents, Uolo collaborates with school administrators and teachers. Schools integrate Uolo’s products into their existing curriculum. This reduces friction and makes the learning tools part of the student’s daily routine.
3.2 Combining textbooks with AI-driven home learning
Students use physical textbooks during school hours. After school, the app guides them using AI-based explanations, assessments and personalized nudges. Because the AI companion follows the same syllabus and teaching pattern as the school, the learning experience remains aligned and consistent.
3.3 Adherence: The problem Uolo is built to solve
The founders often say that content is not the real challenge in education. The challenge is adherence. Students fail when they don’t revise regularly. Teachers struggle when there isn’t continuity at home. Uolo aims to fix this by extending the school’s structure into after-school hours using AI.
4. Revenue model and affordability
4.1 Low-cost pricing at Rs 600
Uolo keeps its pricing at around Rs 600 per student per year. This low-cost model allows the startup to reach budget and mid-market schools that cannot afford premium edtech tools. The founders believe that meaningful impact requires mass adoption rather than exclusive, high-priced solutions.
4.2 Strong revenue growth and early profitability
Uolo’s revenue rose to Rs 103 crore this academic year, nearly double the previous year’s Rs 55 crore. The physical textbook business already shows profitability, which gives the company a healthy foundation to invest more aggressively into AI-driven learning systems.
5. Details of the funding round
5.1 The $7M pre-Series B round
Uolo secures $7M in a round led by Five Sigma, a global edtech investor. Existing backers Blume Ventures, Morphosis and Alicorn also joined the round. The company previously raised $22.5 million in a Series A round and $3 million in a pre-Series A round.
5.2 How the new capital will be used
The startup plans to invest heavily in:
- AI learning companions
- School network expansion
- Technology infrastructure
- Regional sales and onboarding
- Curriculum-integrated tools
6. AI-powered learning: Uolo’s biggest bet
6.1 Generative AI companions for home learning
Uolo is building generative AI study companions that help students understand concepts after school. These tools act like personalized assistants that reinforce lessons taught earlier in the day.
6.2 Why AI matters for K–12 learners
AI creates interactive, adaptive learning paths. It helps students revise better, stay motivated and overcome individual learning gaps. For parents, it lowers the need to search for external tutors. For teachers, it ensures greater continuity and more accurate assessment data.
6.3 AI aligned with school curricula
Every AI feature is tightly aligned with school-defined curriculum paths. Students don’t deal with random videos or generic lessons. They receive guidance tailored to exactly what was taught earlier that day.
7. Market context: Why this funding matters now
7.1 Indian edtech is reviving
India’s edtech sector raised $120 million in the first half of 2025, compared with $22 million in the same period a year earlier. Investors are again looking at education technology, but with a focus on sustainability and measurable outcomes.
7.2 Investors prefer integrated school models
Edtech tools that work independently rarely show long-term impact. School-integrated solutions are gaining traction because schools already have student trust, daily routines and the structure needed for consistency.
7.3 AI-driven learning demand is growing
Parents and schools want tools that improve learning outcomes. AI-enabled personalization is becoming a standard expectation rather than an optional feature.
8. Competitors: Who is competing with Uolo?
8.1 Direct competitors
Companies that blend school partnerships with digital tools include:
- LEAD School
- ConveGenius
- Eupheus Learning
8.2 Indirect competitors
Traditional edtech players like Byju’s, Vedantu and Toppr serve similar subjects but use a direct-to-parent model. Though different, they still compete for attention and budgets in the K–12 segment.
8.3 Uolo’s unique advantage
Its affordability and deep integration with schools make it different from premium tutoring apps. This gives Uolo a stronger foothold in budget schools.
9. Future plans: What Uolo aims to achieve
9.1 Expanding to 3,500 schools
Uolo aims to increase its school network by 40% in the next phase. Regional markets are a major priority.
9.2 Reinforcing AI R&D
The company will accelerate the development of AI companions that integrate with lesson plans and encourage daily revision.
9.3 Building a stronger teacher support ecosystem
Teachers will receive more tools for continuous assessments, homework tracking and personalized student analytics.
10. Impact on students and schools
10.1 Consistent learning habits
The AI tools aim to build strong study habits by giving students structured reminders and personalized insights.
10.2 Reduced academic gaps
Students who fall behind receive targeted help from AI modules that explain concepts in a simple and conversational way.
10.3 Better teacher-parent coordination
Schools can track progress, while parents receive simple updates aligned with daily classroom activities.
11. Industry trends shaping Uolo’s growth
11.1 AI integration as the new norm
AI is becoming standard across global classrooms. India is quickly following.
11.2 Push for affordable edtech
The biggest demand today is for low-cost learning tools that deliver real value.
11.3 More school-first models
The trend is moving away from consumer apps to institutional partnerships. Schools provide trust, consistency and distribution.
Conclusion: Uolo secures $7M and prepares for the next leap
In summary, Uolo secures $7M at a time when AI-led learning is shaping the future of Indian education. The company’s affordable, curriculum-linked, school-first model gives it a strong advantage as demand rises for personalized and sustainable learning solutions. With new funding, Uolo is set to strengthen its AI companions, deepen school partnerships and bring structured digital learning to millions of students across India. As the edtech sector rebounds, Uolo is positioned to play a defining role in the next wave of AI-driven classroom transformation.
Learning for Startups and Entrepreneurs
Uolo’s story shows how important it is to build products that align with existing systems. Instead of challenging schools, Uolo partnered with them. Entrepreneurs can learn that solving “adherence” or “consistency” often matters more than adding new features. Affordability, trust and deep integration create long-term growth. Uolo proves that startups can scale faster when they solve real problems in simple ways.
Foundlanes
This report is part of foundlanes, a platform dedicated to covering emerging ideas, high-impact founders and global trends shaping the startup ecosystem. TheStartupsNews.com tracks Indian and international innovation, funding updates, industry insights and stories that help entrepreneurs stay ahead in a fast-moving world.
