Grammarly, the company powering effective communication for over 30,000 teams and 30 million people daily, has announced over USD200 million in funding at a USD13 billion valuation from new investors Baillie Gifford and funds and accounts managed by BlackRock, among others.
With this latest round, Grammarly will accelerate product innovation and team growth to transform how individuals and organisations around the world communicate.
“Grammarly’s latest funding round underscores the importance of our mission and the broad need for effective communication,” says Brad Hoover, CEO of Grammarly. “By enabling clear and confident communication, Grammarly’s platform helps people excel both personally and professionally. It drives real impact for our users and the ecosystems in which they operate, including businesses.”
Looking to assist people wherever they write, Grammarly doesn’t limit users to one software suite or operating system to receive communication feedback. Its platform accelerates effective communication across more than 500,000 applications and websites, from email clients to enterprise software to word processors.
With a new desktop product, the launch of Grammarly for Developers, and strategic partnerships like Grammarly for Samsung Keyboard, Grammarly is poised to bring its real-time communications suggestions to more people across more applications. The company will also continue to advance its best-in-class NLP and ML technology to deliver personalised communication feedback to users around the globe.
According to a recent Harris Poll study commissioned by Grammarly, 94 per cent of business leaders say effective communication is key to meeting business goals. As this business reality has become increasingly apparent, the company’s organization-focused offering—Grammarly Business—has seen significant growth in demand among enterprises. Over the past year, the number of customers with large-dollar contracts increased by more than 250 per cent. Teams from leading brands such as Zoom, Cisco, and Expedia leverage Grammarly Business to accelerate productivity and engagement, reporting up to a 30 per cent improvement in customer satisfaction and an average 20 per cent efficiency increase.
Grammarly’s investments in enterprise-grade security, combined with a SOC 2 (Type 2) report, ISO 27001/17/18 certifications, and HIPAA compliance, give customers peace of mind that their data is safe and secure. The company’s business model incentivizes product innovation that puts its users first—Grammarly makes money from selling subscriptions, not data.
“We’re delighted to partner with the team at Grammarly to democratise effective communication. As the world has digitalised, people communicate more than they ever have—yet it has never been so difficult,” says Peter Singlehurst, Head of Private Companies at Baillie Gifford. “Grammarly is one of the few businesses in the world focused on solving this problem. What attracted us is the company’s vision and the team’s ability to drive the product forward to help more people in more situations communicate better. Grammarly’s long-term and ambitious approach also aligns with our approach to investing. We look forward to many years of partnership with Grammarly.”
Grammarly remains profitable and has been cash-flow positive since soon after inception. The company was recognised as one of Inc’s Best Workplaces 2021, a member of the 2021 Forbes Cloud 100, and one of The Software Report’s Top 100 Software Companies of 2021. The company has nearly tripled its number of team members since 2019 and—with its newly announced remote-first hybrid working model—is hiring across every department in the United States, Canada and Ukraine.
