// STARTUP COMPARISON
Hola Code vs Eduwox
Hola Code failed in 2022 due to Competition. Eduwox failed in 2020 due to Ran Out of Money. Different causes, different sectors, different eras — but the same simulation outcome.
| METRIC | 🔥 Hola Code | 🔥 Eduwox |
|---|---|---|
| Sector | Edtech | Edtech |
| Country | Argentina | Colombia |
| Founded | 2019 | 2016 |
| Died | 2022 | 2020 |
| Raised | $4M | $3M |
| Peak | 2,000 students | 500 schools |
| Primary Cause | Competition | Ran Out of Money |
// WHY EACH FAILED
🔥 Hola Code
Competition
Hola Code ran coding bootcamps across Argentina targeting career changers. After reaching 2,000 students and raising $4M, the market was disrupted by well-funded LatAm competitors: Platzi's subscription model offered unlimited courses at a fraction of bootcamp cost, while Henry's income share agreement model removed upfront tuition barriers. Hola Code could not compete on price or model flexibility and shut down in 2022.
// LESSON
In edtech, your pricing model is your product. Upfront tuition bootcamps compete in a different category than subscription or ISA models. The market segments, and the upfront segment shrinks every year.
In edtech, your pricing model is your product. Upfront tuition bootcamps compete in a different category than subscription or ISA models. The market segments, and the upfront segment shrinks every year.
🔥 Eduwox
Ran Out of Money
Eduwox provided school management software to Colombian private schools. COVID-19 forced schools to close, which initially seemed like it would accelerate edtech adoption. Instead, many Colombian private schools lost enrollment and could not afford SaaS fees. Eduwox's churn rate exceeded new sign-ups for three consecutive quarters. Unable to sustain operations, it shut down in 2020.
// LESSON
B2B SaaS customer concentration risk applies to segments, not just individual accounts. If your entire customer base is one sector, a sector-wide shock creates correlated churn that cannot be offset by sales velocity.
B2B SaaS customer concentration risk applies to segments, not just individual accounts. If your entire customer base is one sector, a sector-wide shock creates correlated churn that cannot be offset by sales velocity.
// EXPLORE FURTHER