Grammarly Acquires Coda to Transform into AI Productivity Platform
Grammarly purchases Coda in an undisclosed deal and names Coda's co-founder as its new CEO. The acquisition aims to merge writing assistance with broader workplace tools to compete in the evolving AI market.
Grammarly acquires productivity startup Coda to expand its capabilities beyond simple writing assistance into a full AI productivity platform. As part of the deal, Coda co-founder Shishir Mehrotra takes over as the new CEO of Grammarly, while the outgoing CEO Rahul Roy-Chowdhury steps into an advisory role. The financial terms of the acquisition remain undisclosed.
The merger gives Grammarly users access to Coda’s advanced tools, including generative AI chat and a comprehensive productivity suite. Mehrotra plans to make the Grammarly Assistant smarter by connecting it to external systems like email, documents, and project trackers. Additionally, Coda Docs receives an immediate upgrade by integrating the Grammarly Assistant directly into its interface.
This strategic move positions Grammarly to better compete against other companies building AI tools for the modern workplace. With 40 million active users and a $13 billion valuation, Grammarly brings massive scale to the table, while Coda contributes its specialized document and workflow technology. The combined company ultimately aims to redefine how knowledge workers operate in the AI era.