Duolingo

Pricing power is good and improving. Revenue mix is predominantly subscription, which grew 46 percent year over year in Q2 2025 to 210.7 million, aided by premium tiers such as Super and Max. ARPU is rising modestly as users trade up, while ads and DET provide ancillary monetization.

The business demonstrates capacity to expand take per user via tiering, bundles and family plans rather than broad price hikes. Risk factors include app store fee structures, competitive freemium pressure, and the possibility that AI-native alternatives could cap willingness to pay.