Social media startup Koo is shutting down its service after long negotiations for an acquisition failed.

Many large internet companies have tried to form start-up partnerships with media houses. But the talks yielded no results. Koo co-founders Aprameya Radhakrishna and Mayank Bidawatka made the announcement in a post on LinkedIn.

The cost of technical services to run a social media app is high, so we had to take this tough decision," "says Aprameya Radhakrishnan."

The crisis at Koo became known to the outside world when about 40 employees were laid off in September 2022. Then, in February 2023, co-founder Bidawatka warned employees that layoffs would continue. Shortly after, in April of the same year, the company cut 30 percent of its workforce.

The number of monthly active users also fell to 3.1 million in April. Before that, in January, the active users were 4.1 million. It fell to 3.2 million in March. The highest number of users was in July 2022. It was $9.4 million at the time.

Since then, the company has been in talks with start-ups such as Dailyhunt and ShareChat. But the talks failed. Although the number of users coming to the platform has decreased over time, another reason why Koo had to shut down the firm was its failure to control its monthly cash flow.