Chinese edtech firms' $7.8b fundraising frenzy masks some hard truths on profitability

China’s edtech sector, one of the biggest beneficiaries of the coronavirus-induced tech adoption, attracted several billions of dollars from bullish investors in 2020. These investments, though, are not risk-free as the edtech firms’ path to profitability still remains sketchy, given the top dollars they have to spend on customer acquisition, and user retention.