Bloomberg Línea — Digital language-learning platform Duolingo has acquired Gunner, a Detroit-based design and animation studio, and which is the Latin American startup¡s first acquisition since going public in July 2021.
The value of the transaction was not disclosed.
Since 2020, Gunner has worked with Duolingo on animation and design to produce the graphics and characters featured in both the main app and the children’s learning app. The studio also produces elements for the company’s branded marketing campaigns.
Companies often acquire their suppliers to move projects in-house and have greater control of the processes.
Animation as an engine of growth
The objective of the language-learning company with this acquisition is to make users’ stay in the app more playful, and boost the engagement of its 500 million users worldwide.
The startup founded in the US by Luis von Ahn and Severin Hacker is also looking to make the app more engaging in order to reach more users, Duolingo’s press office told Bloomberg Línea in an email response.
There has been a recent business impact as a result of animations in the Duolingo app. For example, the company claims that adding them to the checkout page of its paid version increased purchase conversions.
Likewise, subscriptions to the paid version increased, said Duolingo’s business director Bob Meese, when they launched an in-app animated promotion.
According to Duolingo’s latest revenue report, paid subscribers reached 3.3 million by the end of the last quarter, a 71% increase over the same period of last year.
The acquisition of Gunner will add 15 new designers, illustrators and animators to Duolingo’s existing design team.
