Duolingo Inc
NASDAQ:DUOL
Duolingo Inc
In the vibrant landscape of digital learning, Duolingo Inc. stands out as a formidable innovator, transforming the way people around the globe learn languages. Founded in 2011 by Luis von Ahn and Severin Hacker, the company emerged from Pittsburgh's tech scene, leveraging von Ahn's expertise in crowdsourcing models and gamification techniques. Duolingo's platform offers language learners an engaging, game-like experience where lessons are structured as bite-sized challenges, complete with points, levels, and even virtual currency — all designed to make learning addictive. The user-friendly interface and accessibility on multiple platforms have helped propel Duolingo into a worldwide sensation, amassing millions of users who now associate learning languages with entertainment, rather than a chore.
Duolingo's business model is crafted to captivate a broad audience while ensuring financial viability. It primarily operates on a freemium model, allowing users to access language courses without cost, supported by advertising revenue. The ads, strategically placed throughout the app, complement its ecosystem by encouraging users to engage more deeply with the content. For those seeking an ad-free experience or additional features such as offline access and progress assessments, Duolingo offers a premium subscription service, Duolingo Plus, generating a steady stream of revenue. Moreover, the company has also expanded its offerings with English proficiency tests, creating another revenue stream by tapping into the needs of international students and professionals. This multifaceted approach, combining accessibility with diversified income sources, underpins Duolingo's robust financial health and its mission to make language education universally available.
In the vibrant landscape of digital learning, Duolingo Inc. stands out as a formidable innovator, transforming the way people around the globe learn languages. Founded in 2011 by Luis von Ahn and Severin Hacker, the company emerged from Pittsburgh's tech scene, leveraging von Ahn's expertise in crowdsourcing models and gamification techniques. Duolingo's platform offers language learners an engaging, game-like experience where lessons are structured as bite-sized challenges, complete with points, levels, and even virtual currency — all designed to make learning addictive. The user-friendly interface and accessibility on multiple platforms have helped propel Duolingo into a worldwide sensation, amassing millions of users who now associate learning languages with entertainment, rather than a chore.
Duolingo's business model is crafted to captivate a broad audience while ensuring financial viability. It primarily operates on a freemium model, allowing users to access language courses without cost, supported by advertising revenue. The ads, strategically placed throughout the app, complement its ecosystem by encouraging users to engage more deeply with the content. For those seeking an ad-free experience or additional features such as offline access and progress assessments, Duolingo offers a premium subscription service, Duolingo Plus, generating a steady stream of revenue. Moreover, the company has also expanded its offerings with English proficiency tests, creating another revenue stream by tapping into the needs of international students and professionals. This multifaceted approach, combining accessibility with diversified income sources, underpins Duolingo's robust financial health and its mission to make language education universally available.
Strong Q3 Performance: Duolingo reported robust growth, with over 50 million daily active users and bookings on track for nearly $1.2 billion this year, representing 33% growth.
Strategic Shift: The company is intentionally prioritizing long-term user growth and teaching efficacy over near-term monetization, expecting some deceleration in paid conversion and bookings growth as a result.
AI Investment: Management sees AI as a transformative opportunity in education, accelerating product improvements and enabling more adaptive, effective learning experiences.
Chess Course Success: The new chess course is Duolingo's fastest-growing offering, with retention rates higher than language courses and ongoing expansion of player-vs-player features.
Regional Growth: Asia, especially China, is the fastest-growing region, with China now the second-largest country by daily active users.
Max Product Update: Duolingo Max doubled bookings year-over-year and now represents 9% of subscribers, with guided video calls and other features aimed at boosting engagement and conversion.
Bookings Guidance: Bookings growth is expected to decelerate in Q4 due to a focus on user growth and longer-term initiatives rather than aggressive monetization.
Margin Focus: Despite increased investment, Duolingo is guiding to a 29% adjusted EBITDA margin for the year and continues to operate profitably while investing for future growth.
Management
Dr. Luis Alfonso von Ahn Arellano, Ph.D., is a renowned Guatemalan computer scientist, entrepreneur, and professor known primarily for his pioneering work in the fields of crowdsourcing and language learning technology. Born in 1978 in Guatemala City, von Ahn demonstrated an early interest in mathematics and computer science. He completed his undergraduate studies at Duke University and went on to earn his Ph.D. in computer science from Carnegie Mellon University. During his academic career, von Ahn became famous for developing CAPTCHA and reCAPTCHA, breakthrough technologies that help distinguish human users from bots while simultaneously leveraging human input to digitize books and improve artificial intelligence. In 2011, Luis von Ahn co-founded Duolingo Inc., an innovative language learning platform aimed at making education accessible and free to everyone worldwide. As CEO and a driving force behind Duolingo, he has overseen its growth into one of the world’s most popular education apps, serving hundreds of millions of learners globally. Under his leadership, Duolingo has been recognized for combining gamification with effective learning strategies to democratize language education. Von Ahn is also a professor at Carnegie Mellon University, where his research in cryptography, artificial intelligence, and collective problem-solving has received numerous awards, including a MacArthur Fellowship (often called a "Genius Grant"). He is celebrated not only for his technical innovations but also for his commitment to leveraging technology for social good. Throughout his career, von Ahn has received widespread recognition in both academia and industry, and he continues to advocate for accessible education and the positive potential of technology.
He completed his undergraduate studies at Duke University and went on to earn his Ph.D. in computer science from Carnegie Mellon University. During his academic career, von Ahn became famous for developing CAPTCHA and reCAPTCHA, breakthrough technologies that help distinguish human users from bots while simultaneously leveraging human input to digitize books and improve artificial intelligence.
In 2011, Luis von Ahn co-founded Duolingo Inc., an innovative language learning platform aimed at making education accessible and free to everyone worldwide. As CEO and a driving force behind Duolingo, he has overseen its growth into one of the world’s most popular education apps, serving hundreds of millions of learners globally. Under his leadership, Duolingo has been recognized for combining gamification with effective learning strategies to democratize language education.
Von Ahn is also a professor at Carnegie Mellon University, where his research in cryptography, artificial intelligence, and collective problem-solving has received numerous awards, including a MacArthur Fellowship (often called a "Genius Grant"). He is celebrated not only for his technical innovations but also for his commitment to leveraging technology for social good.
Throughout his career, von Ahn has received widespread recognition in both academia and industry, and he continues to advocate for accessible education and the positive potential of technology.
Matthew Skaruppa has served as Chief Financial Officer since February 2020. From January 2016 to February 2020, he served as Vice President of Goldman Sachs. Previously, Matthew served as Principal at KKR Capstone from 2010 to 2015 and as a consultant at Bain & Company from 2004 to 2008. Matthew holds a B.S. in Chemical Engineering from Northwestern University and an M.B.A. from the Stanford Graduate School of Business.
Stephen Chen has served as the General Counsel since March 2020. From July 2014 to February 2020, he served as Associate General Counsel for Proofpoint, an enterprise security company. He previously served as Associate General Counsel of Marin Software; Director and Senior Counsel, Mergers and Acquisition at VMWare; and Legal Director of Yahoo!. Stephen holds a B.A. in History and a J.D. from Harvard University.
Robert Meese is Chief Business Officer and has worked at Duolingo since September 2016. From August 2008 to September 2016, he held various roles at Google, most recently as Director, Global Head of Games Business Development, Google Play. Robert holds a B.S. in Economics and a B.S. in Computer Science from the University of Pennsylvania and an M.B.A. from the Massachusetts Institute of Technology.
Dr. Natalie Glance, Ph.D., is a respected data scientist and technology executive known for her significant contributions to the fields of machine learning, data analytics, and product innovation. She serves as the Chief Technology Officer (CTO) at Duolingo Inc., the widely acclaimed language-learning platform. Dr. Glance holds a Ph.D. in Computer Science from Carnegie Mellon University. Early in her career, she worked in both academia and industry, focusing on applications of artificial intelligence, large-scale data mining, and natural language processing. Prior to joining Duolingo, she held leadership roles at companies such as Google, Yahoo!, and Kodak Research Labs, where she led teams in developing advanced data-driven products and solutions. At Duolingo, Dr. Glance is responsible for overseeing the company’s technology and engineering functions. She plays a key role in guiding the platform’s adaptive learning technology, scaling Duolingo’s infrastructure, and ensuring the app remains at the forefront of educational innovation. Under her technological leadership, Duolingo has continued to enhance its personalized learning experiences, data-driven insights, and the integration of artificial intelligence across its services. Dr. Natalie Glance is also an active advocate for diversity in tech and STEM education and is recognized for mentoring young professionals and promoting inclusive workplace practices. Her expertise and vision have been instrumental in Duolingo’s growth and its reputation as a leader in educational technology.
Dr. Glance holds a Ph.D. in Computer Science from Carnegie Mellon University. Early in her career, she worked in both academia and industry, focusing on applications of artificial intelligence, large-scale data mining, and natural language processing. Prior to joining Duolingo, she held leadership roles at companies such as Google, Yahoo!, and Kodak Research Labs, where she led teams in developing advanced data-driven products and solutions.
At Duolingo, Dr. Glance is responsible for overseeing the company’s technology and engineering functions. She plays a key role in guiding the platform’s adaptive learning technology, scaling Duolingo’s infrastructure, and ensuring the app remains at the forefront of educational innovation. Under her technological leadership, Duolingo has continued to enhance its personalized learning experiences, data-driven insights, and the integration of artificial intelligence across its services.
Dr. Natalie Glance is also an active advocate for diversity in tech and STEM education and is recognized for mentoring young professionals and promoting inclusive workplace practices. Her expertise and vision have been instrumental in Duolingo’s growth and its reputation as a leader in educational technology.
Dr. Severin Benedict Hacker is a Swiss computer scientist and entrepreneur best known as the co-founder and Chief Technology Officer (CTO) of Duolingo Inc., a leading language learning platform. Hacker was born and raised in Switzerland and later moved to the United States for his graduate studies. He earned his Ph.D. in Computer Science from Carnegie Mellon University, where he met Luis von Ahn, with whom he would later start Duolingo in 2011. During his academic years, Hacker focused extensively on machine learning, natural language processing, and educational technology, interests that would become foundational to Duolingo's innovative platform. At Duolingo, Dr. Hacker has been instrumental in developing the technology behind the app’s adaptive learning algorithms, gamification strategies, and overall product architecture. Under his technical leadership, Duolingo evolved from a research project to one of the world’s most popular educational apps, with hundreds of millions of users across multiple languages. Dr. Hacker is recognized for his contributions to educational technology and has been featured in numerous tech and entrepreneur-focused publications. His work continues to have a global impact on language education and digital learning.
He earned his Ph.D. in Computer Science from Carnegie Mellon University, where he met Luis von Ahn, with whom he would later start Duolingo in 2011. During his academic years, Hacker focused extensively on machine learning, natural language processing, and educational technology, interests that would become foundational to Duolingo's innovative platform.
At Duolingo, Dr. Hacker has been instrumental in developing the technology behind the app’s adaptive learning algorithms, gamification strategies, and overall product architecture. Under his technical leadership, Duolingo evolved from a research project to one of the world’s most popular educational apps, with hundreds of millions of users across multiple languages.
Dr. Hacker is recognized for his contributions to educational technology and has been featured in numerous tech and entrepreneur-focused publications. His work continues to have a global impact on language education and digital learning.
Manu Orssaud is the Chief Marketing Officer of Duolingo, where he is responsible for building the brand and driving user growth globally. He joined Duolingo in September 2020, initially focused on brand building across international markets. Prior to this, Manu worked at Spotify leading Global Marketing Strategy for the music technology company, and was responsible for the award-winning Wrapped annual campaign. Manu also spent 9 years at Sony PlayStation developing the digital marketing function across EMEA for the global entertainment brand.
