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Back to The Report
AI/ML

Grammarly

Grammarly Raises $400M Growth to Transform AI/ML

$400M Growth
Total Raised
Growth
Latest Round
2009
Founded
800-1200
Employees
San Francisco, CA
Updated October 22, 2025
2 min read

Quick Facts

Valuation
$15B
Latest Round Size
$400M Growth
Latest Round Date
October 2025

Grammarly Raises $400M Growth in Latest Funding Round

Grammarly has successfully closed a $400M Growth funding round, marking a significant milestone in the company's growth trajectory. The round was led by Baillie Gifford, with participation from General Catalyst, Institutional Venture Partners.

Company Overview

Founded in 2009 and headquartered in San Francisco, CA, Grammarly has established itself as a leader in the ai/ml space. AI-powered writing assistant helping individuals and teams communicate more effectively across all digital platforms

With a current valuation of $15B, the company has demonstrated strong market traction and investor confidence. The organization currently employs 800-1200 people and continues to scale its operations.

Investment Details

Funding Round Highlights

  • Amount Raised: $400M Growth
  • Valuation: $15B
  • Lead Investor: Baillie Gifford
  • Round Type: Growth

Key Investors

The funding round saw participation from several notable investors:

  • Baillie Gifford: Scottish investment management firm known for long-term growth investing
  • General Catalyst: Global investment firm with $30B+ AUM backing transformative technology companies and healthcare innovation
  • Institutional Venture Partners: Strategic investor in the technology and growth company space

Market Context

The AI/ML sector continues to attract significant investor interest, with companies focusing on innovation, technology integration, and operational efficiency seeing particularly strong funding activity. This investment reflects the growing demand for innovative solutions in this space.

Growth Strategy

With this latest funding, Grammarly plans to:

  • Accelerate product development and innovation
  • Expand market reach and customer acquisition
  • Scale engineering and go-to-market teams
  • Strengthen competitive positioning in the ai/ml market

Industry Impact

Grammarly's funding round represents the continued evolution of the ai/ml industry, where technology-driven solutions are becoming increasingly critical for business success. The company's approach to advancing artificial intelligence and machine learning capabilities positions it well for future growth.

Future Outlook

As Grammarly moves forward with its expanded funding, the company is well-positioned to capitalize on market opportunities and drive innovation in the ai/ml space. Industry experts expect continued growth and potential for additional strategic partnerships.

The investment validates the company's business model and growth potential, setting the stage for the next phase of expansion and market leadership.

Key Investors

Baillie Gifford
Institutional Investor
Scottish investment management firm known for long-term growth investing
General Catalyst
Venture Capital
Global investment firm with $30B+ AUM backing transformative technology companies and healthcare innovation
Institutional Venture Partners
Strategic Investor
Strategic investor in the technology and growth company space

Topics

CA(1700)Venture Capital(911)Technology(815)Startup Funding(564)AI/ML(481)Investment(403)Growth

About the Author

Michael Torres
Michael Torres
Former startup founder turned investment analyst, focusing on early-stage technology and consumer companies.

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