AI-based edtech Riiid acquires Langoo to extend footprint in Japan

Riiid, an AI-powered edtech company based in South Korea, has taken over its distribution partner, Langoo to increase its presence in Japan.

If sources are to be believed, Riiid intends to use the acquisition to form a Japanese unit that will focus on marketing, sales, and B2B business growth. The firm plans to target local remote learning and education in the market.

In May, Riiid had secured a $175 million in Series D investment from SoftBank's Vision Fund 2. The edtech had then said that the funds would be used to continue its worldwide expansion.

For the uninitiated, Riiid Tutor, formerly known as Santa, is a test prep software offered by Langoo for the English-language proficiency test TOEIC in Japan.

In South Korea and Japan, Riiid says that more than 2.5 million people have downloaded the Riiid Tutor app.

The app, which was released in April 2019 in Japan, promptly rose to the top of the sales charts among education apps on Android within the first week of its release.

Commenting on the recent move, Co-founder and CEO of Riiid, YJ Jang said that the major reason for this acquisition was Langoo's extraordinary capability in its local business with Riiid Tutor. The scalability and ability to deploy its technology everywhere, regardless of locations, languages, or domains, is Riiid's strength.

The firm will be able to take advantage of larger Japanese market prospects by utilizing this investment. In addition, this purchase is the first step in an inorganic plan to bring Riiid's AI technology to the worldwide market and help more people learn.

According to a spokesman from Riiid, Japan is one of the largest education markets, with great potential for growth in the Japanese edtech industry, which still depends on the traditional in-person education system.

Riiid will prepare to enter additional foreign regions, including Central and East Asia, after entering the Japanese market.

Riiid offers AI-powered online education solutions for K-12, higher education, and business training. It employs around 210 people worldwide, with offices in South Korea, the United States, Brazil, Canada, the United Kingdom, and Vietnam.

Source Credit - https://techcrunch.com/2021/10/07/softbank-backed-korean-edtech-startup-riiid-acquires-langoo-to-expand-further-to-japan/