Grammarly Raises $1 Billion From General Catalyst

Founded in 2009 in Ukraine, the company’s total funding now exceeds $1.4 billion. Grammarly is valued at over $10 billion, making it a decacorn. It remains profitable, with annual revenues of more than $700 million.

Over 40 million people use Grammarly every day, helping the company generate over $700 million in yearly revenue.

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Grammarly’s AI tools are built into more than 500,000 apps and websites, offering features like proofreading, paraphrasing, tone suggestions, and AI detection. These tools work alongside users to improve writing in real time.

In January, Grammarly acquired Coda, a business productivity and AI platform. Coda’s founder, Shishir Mehrotra, also became Grammarly’s new CEO.

Coda is known for its powerful tool, Coda Docs, and its latest feature, Coda Brain, which helps teams turn company knowledge into useful actions.

Together, Grammarly and Coda are shaping how AI fits into everyday work—making it easier for people to get more done with less effort.

“Integrating Coda and Grammarly has unlocked tremendous potential for how people work and communicate,” said Shishir Mehrotra, Grammarly CEO.

“I’m energised by the innovation happening across our teams as Grammarly has become a productivity platform serving everyone from individual students to growing businesses to large enterprises. The breadth of what we can now offer is truly compelling.

With General Catalyst’s continued partnership and confidence in our vision, we can scale faster and more sustainably to reach the millions of people who can benefit from our tools.”

“This investment represents more than just capital; we believe it’s a strategic enabler for the next phase of Grammarly’s growth,” said Pranav Singhvi, Managing Director and Co-Head of the CVF.

“We’ve been working with the Grammarly team for years as they became an early leader in applied AI. We are confident that this extension of our partnership will create significant long-term value and continue to drive Grammarly’s ability to accelerate enterprise adoption through transformed workflows and communication across industries,” said Hemant Taneja, CEO of General Catalyst.

Grammarly will use the new funding from General Catalyst’s Customer Value Fund (CVF) to boost its sales and marketing efforts. It also plans to make strategic acquisitions to reach more customers and expand the impact of its AI productivity platform.