Duolingo CEO Clarifies 'AI-First' Strategy, Addressing Layoff Concerns and Future of Work

Duolingo CEO says controversial AI memo was misunderstood | TechCrunch

While Duolingo CEO Luis von Ahn was loudly criticized this year after declaring that Duolingo would become an "AI-first company," he suggested in a new interview the real issue was that he "did not give enough context." "Internally, this was not controversial," von Ahn told The New York Times. "Externally, as a publicly traded company some people assume that it's just for profit. Or that we're trying to lay off humans. And that was not the intent at all." On the contrary, von Ahn said the company has "never laid off any full-time employees" and has no intention of doing so. And while he didn't deny that Duolingo had cut its contractor workforce, he suggested that "from the beginning ... our contractor workforce has gone up and down depending on needs." Despite the criticism (which does not seem to have made a big impact on Duolingo's bottom line), von Ahn still sounds extremely bullish about A.I.'s potential, with Duolingo team members taking every Friday morning to experiment with the technology. "It's a bad acronym, f-r-A-I-days," he said. "I don't know how to pronounce it."

Duolingo CEO admits his controversial AI memo 'did not give enough context' and insists the company never laid off full-time employees

After Duolingo received backlash to its "AI-first" staff memo posted on LinkedIn this April -- conjuring worries of mass layoffs -- the company's CEO Luis Von Ahn is setting the record straight. Now, the executive has doubled down that he doesn't intend to "lay off humans." "This was on me. I did not give enough context," Von Ahn told The New York Times in a recent interview when asked about the controversial memo. "We've never laid off any full-time employees. We don't plan to." Just three months ago, the language learning platform with over 100 million users emphasized having to "move with urgency," outlining a grand plan to achieve the goal of being an "AI-first" company. The strategy included a gradual reduction in contractors to "do work that AI can handle," and increasing headcount only if "a team cannot automate more of their work." Von Ahn insisted that the AI-first memo did not draw scrutiny from Duolingo staffers -- but that onlookers were quick to take up arms online. The tech CEO also added that this change is nothing new: "From the beginning, we've had contractors that we use for temporary tasks, and our contractor force has gone up and down depending on needs." Von Ahn added that said work will likely change in the next five years because of AI -- but again that that doesn't mean staff cuts at Duolingo. "What will probably happen is that one person will be able to accomplish more, rather than having fewer people," he said. Now, Duolingo has even started encouraging staff to use AI weekly on Fridays -- an activity he called "f-r-A-I-days." During that time, Duolingo teams are allowed to "experiment on how to get more efficient in using AI," Von Ahn added. Duolingo isn't the only company trimming its outsourced and contractor roles as AI takes over routine work. In mid-July, ScaleAI laid off approximately 500 contractors -- more than double the 200 full-time staffers who were let go. According to MIT's State of AI in Business 2025 report, AI is primarily displacing offshore roles, not domestic full-time jobs. According to the reporting, automating outsourcing has a $2 million to $10 million return on investment. And while 3% of jobs could currently be replaced by AI, MIT told Axios that that figure could rise to nearly a third of all jobs in the longer term. And while Duolingo insists it won't cut full-timers, not every tech company has taken that approach. Enterprise software powerhouse IgniteTech laid off 80% of its staff because they weren't adapting to AI fast enough -- and its CEO says he'd do it again today. "In early 2023, we saw the light," IgniteTech CEO Eric Vaughan told Fortune, adding that he believed every tech company was facing a crucial inflection point around adoption of artificial intelligence. "Now I've certainly morphed to believe that this is every company, and I mean that literally every company, is facing an existential threat by this transformation."

Duolingo CEO takes the blame for backlash over 'AI-first' plans

Duolingo boss Luis von Ahn is still fighting to contain a months-long row over his push to make the language-learning app "AI-first," this week arguing that criticism of the plan stemmed from confusion over his remarks. Luis von Ahn told The New York Times that the backlash was "on me," adding: "I did not give enough context. Internally, this was not controversial." Von Ahn continued: "Externally, as a publicly traded company some people assume that it's just for profit. Or that we're trying to lay off humans. And that was not the intent at all." His latest comments mark another attempt to walk back a controversy that began in April, when he posted an all-hands company email saying he would phase out contractors if AI could do their work and allow teams to hire a new person only if they were unable to automate the work with the technology. The email drew hundreds of comments, many from users worried about what that meant for the company's employees -- and for their 1,000-day streaks. In the latest interview, von Ahn said the company has "never laid off any full-time employees" and that he does not intend to. He also suggested that while AI has reduced its contractor headcount, that part of the company's workforce has always "gone up and down depending on needs." Still, he added: "In the next five years, people's jobs will probably change. We're seeing it with many of our engineers. They may not be doing some rote tasks anymore. What will probably happen is that one person will be able to accomplish more, rather than having fewer people." Currently, the company asks workers to take one day a week to experiment with it. He said: "Every Friday morning, we have this thing: It's a bad acronym, f-r-A-I-days. I don't know how to pronounce it. Those mornings, we let each team experiment on how to get more efficient to use A.I." The interview marks von Ahn's latest attempt to ease the backlash. In June, he told The Financial Times that the move was "just a mind shift that people first try AI. ... It may be that AI doesn't actually solve the problem you're trying to solve." Still, Duolingo, which has over 10 million paying subscribers, will be incorporating AI across the company, from content creation to internal tools. Von Ahn said that with AI, adding a language offering, which was once a labor-intensive process, could soon be done in a fraction of the time. "You no longer do the details and are more of a creative director," he told The FT. "For the vast majority of jobs, this is what's going to happen." -- Shannon Carroll contributed to this article.

Duolingo CEO clarifies "AI-first company" declaration

Von Ahn affirmed that Duolingo has not initiated layoffs of any full-time employees and does not plan to do so. Duolingo CEO Luis von Ahn addressed recent criticism regarding his "AI-first company" declaration, stating the controversy arose from insufficient context. Von Ahn clarified to The New York Times that the internal reception at Duolingo was not controversial, contrasting it with external perceptions. He noted that as a publicly traded company, some observers assumed the declaration was solely profit-driven or intended for human employee layoffs. Von Ahn affirmed that Duolingo has not initiated layoffs of any full-time employees and does not plan to do so. While acknowledging reductions in the contractor workforce, he indicated that the size of this workforce has historically fluctuated according to operational requirements. Despite external criticism, von Ahn expressed continued optimism regarding artificial intelligence's potential. Duolingo team members dedicate Friday mornings to exploring AI technology, a practice referred to as "f-r-A-I-days," a term von Ahn described as a "bad acronym."

Still Doing Damage Control, Duolingo CEO Says AI Won't Replace Human Workers

When Duolingo Co-founder and CEO Luis von Ahn announced in June that the popular language-learning app would become an "AI-first" operation, the internet assumed the technology would replace human workers. That was a misunderstanding, von Ahn said in a recent interview. It's true that from the start, Duolingo was designed to have "a computer teach you" a new language, but not at the expense of human workers. Duolingo has not laid off any employees and is "hiring at the same speed as we were hiring before," the AI announcement, von Ahn said in an interview for the Corner Office column at The New York Times. The Pittsburgh-based company currently employs 1,000 people, including 50 summer interns. "Externally, as a publicly traded company some people assume that it's just for profit. Or that we're trying to lay off humans. And that was not the intent at all," von Ahn said. The CEO also said he "took responsibility for the confusion about the use of A.I. at his company." When he initially made the announcement, he meant that AI would be used as a tool to help the company "accomplish a lot more." He noted that jobs would change due to the technology's ability to tackle more mundane tasks -- that's especially true for the company's engineers, he said. But the company provides opportunities for employees to discover new ways to use the technology. Every Friday morning, Duolingo employees meet to "experiment on how to get more efficient to use AI," van Ahn said.

Duolingo CEO Luis von Ahn Promises to Keep Human Staff Amid A.I. Push

Luis von Ahn insists Duolingo's A.I. push is about productivity and growth, not layoffs. Duolingo CEO Luis von Ahn has some explaining to do. Earlier this year, after the language learning app circulated an internal memo about prioritizing A.I. in hiring and phasing out contractors, the company was quickly cited as an example of how A.I. is eliminating jobs across industries. In reality, Duolingo has no plans to replace full-time staffers with A.I., von Ahn clarified in a recent interview with the New York Times. The confusion, he admitted, was his fault for not providing "enough context." Sign Up For Our Daily Newsletter Sign Up Thank you for signing up! By clicking submit, you agree to our <a href="http://observermedia.com/terms">terms of service</a> and acknowledge we may use your information to send you emails, product samples, and promotions on this website and other properties. You can opt out anytime. See all of our newsletters "This was on me," von Ahn of the backlash. "Externally, as a publicly traded company some people assume that it's just for profit. Or that we're trying to lay off humans. And that was not the intent at all." Co-founded by von Ahn in 2011, Duolingo is best known for its popular language learning courses. The company went public in 2021 and is currently valued at $16.7 billion. Its active monthly active users have grown 24 percent in the past year to 128.3 million as of August. Much of that momentum has been fueled by Duolingo's pivot to A.I. The company has rolled out new features such as an OpenAI-powered video call tool that lets subscribers practice conversations with a fictional character. The Pittsburg, Pa.-based company has long leaned into new technologies and automation, but recent advances in A.I. have turbocharged its ambitions, according to von Ahn. "Something like 95 percent of people don't want to talk to another person in a language that they are not very comfortable with," he told the New York Times. "The nice thing is, you don't feel judged by a computer." A.I. has also boosted the company's productivity. Tasks that once took years can now be completed in weeks, said von Ahn, who in April announced plans to make Duolingo an "A.I. first" company. The memo outlined goals such as using A.I. to handle work previously done by temporary contractors, evaluating how employees incorporate A.I. during performance reviews and limiting headcount growth to roles that cannot be automated. Still, von Ahn stressed that the contractor phaseout does not apply to full-time staff. "We've never laid off any full-time employees. We don't plan to," he said. While acknowledging that A.I. will reshape jobs, he argued it won't replace humans but rather help them achieve more. To that end, Duolingo holds weekly sessions for employees to experiment with the technology. The rise of A.I. has also introduced new challenges. Language learners can now practice conversations directly with chatbots, creating fresh competition for Duolingo's model. Yet von Ahn is confident that the company's distinctive brand -- marked by playful messaging, viral marketing and an active social media presence -- gives it an edge. "Just having conversations in French on something like ChatGPT gets pretty boring after a while," said von Ahn. "The thing that differentiates us for learning a language -- or learning anything -- is the engagement."