Grammarly has secured $1 billion in funding from General Catalyst to support the expansion of its AI productivity platform, as the company seeks to broaden its enterprise footprint and accelerate product innovation following its acquisition of Coda earlier this year.
The latest investment was made through General Catalyst’s Customer Value Fund (CVF), reflecting the venture firm’s ongoing support for Grammarly’s evolution from a writing assistant to a broader enterprise-focused platform.
The capital infusion will be used to boost sales and marketing, pursue strategic acquisitions, and further develop its product suite to deepen user engagement across business and consumer segments.
Grammarly’s platform now integrates a range of AI-powered tools, including proofreading, paraphrasing, tone adjustment, and content improvement capabilities, across over 500,000 applications and websites.
With more than 40 million daily users and annual revenues exceeding $700 million, the company has seen growing adoption among individuals and enterprise clients alike.
The acquisition of Coda in January has played a central role in Grammarly’s product diversification strategy. Coda’s productivity suite and its AI engine, Coda Brain, enhance the ability to extract, organize, and act on business knowledge, complementing Grammarly’s language-focused agents.
The combined technologies aim to create a context-aware digital assistant that integrates seamlessly into workflows across industries.
The company is positioning itself as a critical enabler of workplace transformation, helping users—from students to large enterprises—navigate increasingly complex communication and productivity demands.
Grammarly’s tools now function more like AI teammates embedded in daily tasks, supporting real-time decision-making and communication.
The investment also comes amid intensifying competition in the AI productivity space, as tech firms race to develop solutions that automate writing, analysis, and collaboration.
By bolstering its platform capabilities and expanding its go-to-market reach, Grammarly aims to cement its position at the forefront of this rapidly evolving landscape.
