How Koo failed even after Indian government’s support?

Koo, the Indian microblogging app that had launched as a rival to Twitter, is up for sale after experiencing a significant loss of its user base.

The app had gained popularity in India after the Indian government had demanded that Twitter take down certain accounts it claimed were spreading fake news. However, Koo has reportedly lost its user base and is now up for sale.

The government accused Twitter of “double standards” by acting against those accused of spreading false or misleading information during the siege of the US Capitol building, but not against those acting in a similar fashion during protests at Delhi’s Red Fort on 26 January.

Government departments were using Koo in preference to Twitter, and supporters of the Indian government, including ruling party politicians, were using Koo's new platform to express their opinions. They had also shared hashtags calling for a ban on Twitter in India. However, Koo has reportedly lost its user base and is now up for sale.

Koo’s Struggles

Koo fired 30% of its staff in April this year due to funding crunch. The company had spent ₹202 crore to earn ₹14 lakh in FY22. The Indian government, which is trying to push for greater self-reliance, launched the app in March last year and awarded it. Koo functions in a very similar way to Twitter and claims to have attracted three million downloads since its launch, a third of which it describes as active users.

The app was launched in March last year and received an award from the Indian government, which is trying to push for greater self-reliance. Koo functions in a very similar way to Twitter and claims to have attracted three million downloads since its launch, a third of which it describes as active users.

The failure of Koo despite the Indian government’s support highlights the challenges faced by homegrown social media platforms in India. While there is a growing demand for such platforms, they face stiff competition from established global players like Twitter and Facebook. In addition, they need to overcome issues related to funding, user acquisition, and retention.

Twitter Alternatives Doomed to Fail?

Koo gained early traction in mid-2020, but its breakthrough moment came in February 2021. At that time, a bitter standoff between Twitter and the Indian government had escalated over the handling of content related to the farmer protests. This conflict provided Koo with an unexpected opportunity. Several Indian politicians, government officials, and celebrities flocked to the platform, hailing it as a homegrown alternative to Twitter.

The Indian government, too, played a pivotal role in promoting Koo. In February 2021, Union Minister Ravi Shankar Prasad and other government officials joined Koo, endorsing its "Atmanirbhar Bharat" (self-reliant India) mission. The government's support lent credibility to Koo and encouraged millions of Indians to explore the platform.

Government's Role and Digital Sovereignty

The Indian government's endorsement of Koo was both a blessing and a burden. While it provided the platform with a considerable boost in visibility and initial user acquisition, it also exposed Koo to heightened scrutiny and expectations. Users expected Koo to align with the government's vision of "Digital India" and uphold digital sovereignty.

However, Koo's inability to effectively moderate content and provide a safe online environment meant that it could not fully meet the government's expectations. The government's endorsement also fueled speculation about its involvement in the platform's operations, raising concerns about data privacy and freedom of expression.

Koo’s failure despite the Indian government’s support underscores the challenges faced by homegrown social media platforms in India. While there is a growing demand for such platforms, they need to overcome issues related to funding, user acquisition, and retention if they are to succeed.

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