Edtech giant BYJU’s to cut ties with BCCI as Team India’s jersey sponsor
Edtech giant Byju’s and India’s largest esports and mobile gaming platform MPL wants to exit from their sponsorship deals with the BCCI. Back in June 2022, Byju’s extended its jersey sponsorship deal with BCCI until November 2023 for an estimated $35 million.
If reports are to be believed, the Board wants Byju to continue till March 2023.
However, the company wishes to continue its association with ISL side Kerala Blasters until 2024.
"BCCI received an email from Byju's on November 4, 2022 requesting terminating the association post the recently concluded T20 World Cup. As per our discussions with Byju's, we have asked them to continue the current arrangement and continue the partnership at least until March 31, 2023," read a BCCI note on the matter, as reported by TOI.
Byju’s replaced Oppo back in 2019 to be Team India’s title sponsor. The edtech giant was also one of the sponsors of the 2022 FIFA World Cup held in Qatar.
Amid recession, the company plans to lay off not more than 50% of its workforce. The total strength is estimated to be somewhere around 50000.
As per co-founder Raveendran, “The biggest optimization that you will see over the next few months is that you will see us significantly cutting down branding because we think we have achieved the kind of brand awareness which is required for the segment as well as for the company. So, you will see us exiting some of those branding contracts.”
“We won’t renew some of the partnerships. We have multiple partnerships with BCCI, ICC, and FIFA and by taking out these branding initiatives by not renewing them, that’s where you will see a lot of improvement,” he added as reported by TOI.
The Board lost three big companies as its sponsors in the past six months. Vijay Shekhar Sharma’s Paytm which owned BCCI’s domestic rights transferred it to Mastercard. MPL also found an exit route and transferred its rights to KKCL.
"BCCI received an email communication from MPL sportson 2.12.2022 seeking a complete assignment (team + merchandising) at full value to Kewal Kiran Clothing, a fashion wear brand, for the period from 1.12.2023 to 31.12.2023.
“With the upcoming back to back home series and the women's away calendar, it was suggested that the current arrangement should not be hampered as it involves performance gear for the national teams.
"We have asked MPL sports to continue the association at least until 31.3.2023 or look for a partial assignment that would involve only the right chest logo but not the kit manufacturing agreement," the note read, as reported by TOI.
The Bangalore based Byju delivers online classes to its students. The company is valued at around US$22 billion and claims to have more than 115 million registered students of which 25% are from outside of India.
