When language education company Duolingo announced in April it would become “AI First,” many observers predicted layoffs.
Five months later, Duolingo has not fired one full-time employee and instead uses artificial intelligence to enhance the productivity of the people it employs.
“With the same number of people, we can create four or five times the content in the same time,” says Von Ahn. “There are still people who have to tell their computers to do the right thing, but each person can do more.”
Specifically, AI’s automation capabilities help Duolingo engineers create language, math, music and chess lessons faster, said Von Ahn. According to an April announcement, Duolingo is gradually eliminating contractors. However, the company has not yet fired full-time employees since its inception in 2009, adding more staff since April, Von Ann said.
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From Tech Luminary Bill Gates to Openai CEO Sam Altman, AI advocates frequently promote the technological promise to come from the hands of employees. Instead, AI has spurred layoffs this year for several large tech companies, including Salesforce and Crowdstrike.
But Duolingo, which has a market capitalization of $12.73 billion as of Wednesday afternoon, is chasing more productive, Von Ahn said. “The goal is not to save money. The goal is not to replace human employees,” he said. “The goal is to use more employees and do more.”
Duolingo’s investment in AI seems to be paying off. The company raised its annual forecast in August, saying it is expected to bring up to $1.02 billion in revenue for 2025 from an estimate of $996.6 million earlier this year.
Duolingo’s AI First Project includes chess lessons that began as an “atmosphere coding” AI experiment with AI agents that help users practice conversational language skills rather than video calls, as well as designers and product managers.
Von Ahn’s comments reflect a similar comment from CISCO Systems CEO Chuck Robbins on August 14, who told CNBC they were not intending to use AI to cut staff. “I don’t want to get rid of a lot of people right now,” Robbins said.
In particular, Robbins did not rule out the idea that Cisco could ultimately hire fewer people in the long term as a result of AI efficiency. “That’s quick,” he said.
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