Raveendran attributed the company's demise to its aggressive expansion into new markets, which ultimately proved fatal when financing dried up in 2022. The startup had planned to go public earlier that year, but the global market downturn following Russia's invasion of Ukraine sent the venture capital market into a tailspin. Many of Byju's over 100 investors had urged Raveendran to pursue expansion into as many as 40 markets, but when the global market crashed, those very investors "ran away," leaving the startup high and dry.