Duolingo Update: Is the Moat Eroding?

Every time AI makes headlines in translation or education, Duolingo ($DUOL) sells off and I’m pretty tired of it. Whether it’s ChatGPT rolling out language tutoring, Apple hinting at real-time translation in headphones, or Google’s Gemini pushing into education, the narrative always comes back to the same question:

Is Duolingo’s moat eroding?

For me, the answer is no. In fact, I’d argue AI is a tailwind, and a large one at that, not a threat. And the company’s most recent results both operational and financial back that up. Let me break this down in detail.