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Superhuman valued at $825 million in 2021, $35 million

annual

revenue

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Superhuman CEO Vohra joins Grammarly, will keep running

the

product

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Deal comes after Grammarly's billion-dollar fundraising

By Krystal Hu

July 1 (Reuters) - Grammarly has signed a deal to

acquire email efficiency tool Superhuman as part of the

company's push to build an artificial intelligence-powered

productivity suite and diversify its business, its executives

told Reuters in an interview.

The San Francisco-based companies declined to disclose the

financial terms of the deal. Superhuman, once an exclusive email

tool boasting a long waitlist for new users, was last valued at

$825 million in 2021, and currently has an annual revenue of

about $35 million.

Grammarly's acquisition of Superhuman follows its recent $1

billion funding from General Catalyst, which gives it dry powder

to create a collection of AI-powered workplace tools. Founded in

2009, the company has over 40 million daily users and an annual

revenue exceeding $700 million. It's working on a name change

with an ambition to expand beyond grammar correction.

Superhuman, with over $110 million in funding from investors

including IVP and Andreessen Horowitz, has been trying to create

an efficient email experience by integrating AI.

The company claims its users send and respond to 72% more

emails per hour, and the percentage of emails composed with its

AI tools has increased fivefold in the past year. It also faces

growing competition as email giants from Google to Microsoft are

adding more AI features.

"Email continues to be the dominant communication tool for the

world. Professionals spend something like three hours a day in

their inboxes. It's by far the most used work app, foundational

to any productivity suite," said Shishir Mehrotra, CEO of

Grammarly. "Superhuman is the obvious leading innovator in the

space."

Last year's purchase of startup Coda gave Grammarly a

platform for AI agents to help users research, analyze, and

collaborate. Email, according to Mehrotra who co-founded Coda,

was the next logical step.

Superhuman CEO Rahul Vohra will join Grammarly as part of

the deal, along with over 100 Superhuman employees.

"The Superhuman product, team, and brand will continue,"

Mehrotra said. "It's a very well-used product by tens of

thousands of people, and we want to see them continue to make

progress."

Vohra said that the deal will give Superhuman access to

"significantly greater resources" and allow it to invest more

heavily in AI, as well as expand into calendars, tasks, and

collaboration tools.

Mehrotra and Vohra see an opportunity to integrate

Grammarly's AI agents directly into Superhuman, and build the

tools for enterprise customers.

The vision is for users to tap into a network of specialized

agents, pulling data from across their digital workflows such as

emails and documents, which will reduce time spent searching for

information or crafting responses. The company is also entering

a crowded space of AI productivity tools, competing with tech

giants such as Salesforce ( CRM ) and a wave of startups.