Grammarly Acquires Coda, Introduces New CEO Shishir Mehrotra

Grammarly has announced its acquisition of productivity startup Coda, marking a pivotal step in its evolution from an AI writing assistant to a comprehensive AI productivity platform. As part of the deal, Coda’s CEO and co-founder, Shishir Mehrotra, will take over as Grammarly’s new CEO, while current CEO Rahul Roy-Chowdhury transitions to an advisory role.

Advancing AI-Driven Productivity

The acquisition aims to enhance Grammarly’s AI assistant with Coda’s cutting-edge tools, allowing the platform to expand into a full-fledged "AI productivity platform." Grammarly customers will gain access to new features, including generative AI chat capabilities and a productivity suite designed to streamline workflows and boost efficiency.

In a blog post outlining his vision for the future, Mehrotra emphasized the transformative potential of integrating Grammarly and Coda:

“Imagine if the Assistant not only gave amazing suggestions and refinements based on the writing it sees today but also had permission-aware connections into all of your other systems—from your email to docs to CRM to project trackers and more.”

Coda’s flagship product, Coda Docs, will also benefit from Grammarly’s AI capabilities. Mehrotra shared long-term plans to merge the best features of both companies into a unified platform:

“It will combine your company knowledge, generative AI chat features, a full productivity suite, and hundreds of agents to help you work smarter. We aim to redefine productivity for the AI era.”

Strategic Alignment

Grammarly, founded in 2009 and valued at $13 billion, boasts 40 million active users. Coda, valued at $1.4 billion after its 2021 Series D funding round, is known for its productivity suite that integrates with over 800 enterprise applications and serves 50,000 enterprise teams, including the New York Times.

The integration of these two platforms positions Grammarly to compete with major players like ChatGPT, Claude, and Copilot, which offer similar AI-powered writing and productivity tools. By combining Grammarly’s AI writing expertise with Coda’s ability to centralize enterprise knowledge, the partnership seeks to provide a seamless productivity experience for users.

Leadership Transition

Mehrotra’s appointment as Grammarly’s CEO brings extensive industry experience. A 25-year tech veteran, he previously served as YouTube’s Chief Product Officer and Chief Technology Officer. His leadership is expected to drive innovation and help Grammarly capitalize on the growing demand for AI-powered productivity tools.

Outgoing CEO Rahul Roy-Chowdhury expressed enthusiasm for the company’s new direction and will remain involved in an advisory capacity to ensure a smooth transition.

Looking Ahead

Grammarly’s acquisition of Coda represents a strategic move to redefine productivity in the AI era. The integration of advanced writing tools with enterprise-level productivity capabilities is poised to address a growing demand for connected, intelligent platforms.

As AI tools continue to evolve, this partnership could set Grammarly apart in the crowded market of generative AI-driven writing and productivity solutions. By leveraging the strengths of both platforms, Grammarly is positioning itself as a leader in reshaping how individuals and teams work smarter and more efficiently.

Editor’s Note: This article was created by Alicia Shapiro, CMO of AiNews.com, with writing, image, and idea-generation support from ChatGPT, an AI assistant. However, the final perspective and editorial choices are solely Alicia Shapiro’s. Special thanks to ChatGPT for assistance with research and editorial support in crafting this article.