Grammarly has secured $1 billion from General Catalyst’s Customer Value Fund (CVF), marking a major milestone in the company’s evolution from a writing assistant to a full-fledged AI productivity platform. The funding will be used to scale sales and marketing operations, drive product innovation, and pursue strategic acquisitions.

What’s the story?

• Grammarly, the Ukraine-founded company known for its AI-powered writing assistant, has announced the close of a $1 billion go-to-market round from General Catalyst’s CVF. The investment highlights the firm’s long-term backing of Grammarly, which has undergone a significant transformation in recent years.
• Following its acquisition of Coda in January 2025, Grammarly has redefined itself as a broader productivity platform, blending AI applications and agents to support smarter communication and collaboration.
• The new funding will support Grammarly’s ambitions to expand its global customer base and enhance product reach. The platform currently serves more than 40 million users daily and generates over $700 million in annual revenue.
• The funds raised will also be directed toward product innovation, sales, marketing, and strategic acquisitions.

«The integration of Coda and Grammarly has opened up tremendous potential for new ways of working and communicating,» said Shishir Mehrotra, CEO of Grammarly. «I am inspired by how innovation is evolving within our teams. Grammarly has already become a productivity platform that helps everyone, from students and small businesses to large corporations. The scale of what we can offer now opens up truly great opportunities. Thanks to our long-standing partnership with General Catalyst and their confidence in our vision, we will be able to grow even faster and more sustainably to reach millions of people who can benefit from our tools.»

«This investment is more than just capital. We see it as a strategic driver for Grammarly’s next phase of growth,» added Pranav Singhvi, Managing Director at General Catalyst.

Hemant Taneja, CEO of General Catalyst, emphasized the deep relationship between the firms: «We have been working with the Grammarly team for many years since they became one of the first leaders in applied AI. We are confident that this expansion of our partnership will create significant long-term value and strengthen Grammarly’s ability to accelerate adoption across industries by transforming workflows and communication.»

• Grammarly now provides infrastructure that directly integrates AI into more than 500,000 websites and applications. Its AI agents — offering features like grammar and tone checking, rephrasing, and AI detection — help users seamlessly create, edit, and improve content in real time.
• Coda, meanwhile, has spent recent years refining Coda Docs, a flexible set of tools designed for modern work, and recently launched Coda Brain, a solution aimed at unlocking and operationalizing corporate knowledge.

About Grammarly

Grammarly is an AI assistant built for communication and productivity. Customers like Atlassian, Databricks, and Zoom rely on it to generate ideas, craft content, and improve communication — all of which contribute to better, more efficient workflows.