San Francisco based AI-powered digital writing assistant tool Grammarly has announced securing $90 million as part of venture round financing. Existing investor General Catalyst led the latest financing with participation from IVP. Prior to this round, the firm had picked up $110 million from General Catalyst. SignalFire, Spark Capital, Breyer Capital are the other investors in the firm.
Founded by Alex Shevchenko, Dmytro Lider, and Max Lytvyn, Grammarly helps users a toolkit that allows them to correct their written grammar. The tool is being used by more than 20 million people daily. The users can have a browser extension installed, have mobile keyboards, a web editor, or native desktop apps to have access to the company's tool.
The firm intends to use the capital to expand the product reach and continue working on solving more complex issues of language and communication. Talking further on how the firm plans to use the funds, the company through a blog post said, “with our latest investment, we’ll also expand our focus on helping businesses of all sizes. We’re planning new product features that will facilitate strong and consistent professional writing across entire teams. Companies are increasingly distributed, requiring workers to communicate more through writing than ever before. We’re enthusiastic about how we can help avoid costly communication breakdowns and achieve positive outcomes.”
Grammarly operates on a freemium model where a lot of offerings are for free while for the paid users, the platform offers more tools beyond grammar checks. The firm has offices in Kyiv, New York, and Vancouver apart from its headquarters in San Francisco.