Evaluating a company's impact (the case of Duolingo)

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OUR APPROACH

Central to our narrative is the principle of double-materiality, which recognizes that a company's impact is twofold: it affects both the environment and society at large, and in turn, these external factors influence the company's financial and operational performance.

While traditional ESG assessments focus on the latter, we aim to examine companies' direct impacts on these factors. In pursuit of this, we introduce a unique scoring system that quantifies a company's impact.

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THIS WEEK’S COMPANY

Duolingo

This week, we dive deep into Duolingo’s environmental and social impact.

Duolingo is a leading education technology company that offers gamified, accessible learning experiences across languages, math, music, and more through its popular mobile and web platforms.

Some interesting facts:

• Duolingo has over 130 million monthly active users, making it the largest language-learning platform globally.

• Duolingo’s green owl, Duo, became a viral meme for its aggressive and funny “reminder” notifications, like threatening users for missing a lesson.

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COMPANY’S IMPACT

Duolingo’s overall impact score

Duolingo has a general impact score of +1.95 (on a scale from -5 to +5). Its impact is spread across four European Sustainability Reporting Standards (ESRS) topics, split between positive and negative analyses.

In the socio-economic sphere,

Duolingo is the world’s most downloaded language learning platform, offering over 40 languages to more than 130 million users globally. With free and low-cost access to language education, the company empowers individuals to improve communication skills, access global opportunities, and pursue education and employment. Its tools include Duolingo ABC for kids, Duolingo Math, and the Duolingo English Test—an affordable alternative to IELTS and TOEFL now accepted by over 5,000 institutions, including Harvard and Yale. Through its partnerships with nonprofits and programs like the Duolingo Access Program, it supports more than 10,000 low-income students annually across 200+ countries and provides language tools to displaced populations, including refugees and asylum seekers.

Environmentally,

the company has stated in filings and reports that it provides digital services only, has no manufacturing operations, and thus has minimal environmental impact—which it uses to justify the lack of disclosures.

_{*The impact score is current as of July 2025 and may be subject to changes as it is continuously updated.
**You can find details about the scoring methodology here and the information sources here.}

SCORES BY ESRS

Duolingo’s impact scores by ESRS topics

Positively (and by weight), the company scores the highest in S4 - Consumers and end-users (+2.45), followed by Own Workforce (+0.72) and G1 - Business Conduct (+2.41).

Negatively, the company scores the worst in E1 - Climate Change (-2.52). *Duolingo’s climate impact is assessed based on peer averages, although the topic holds low material relevance for Duolingo given its digital-only operations

*the analysis takes into account the weight and impact materiality of each topic

CONCLUSION

Materiality Map & Final Words

So, Duolingo’s key social and environmental impact lies in …

its role as the world’s most accessible language-learning platform, breaking down linguistic barriers for over 130 million users across 40+ languages. By offering free and low-cost education, partnering with nonprofits, and supporting low-income and displaced learners through initiatives like the Duolingo Access Program, it enables better communication, integration, and educational access worldwide.

On the environmental front, the company does not disclose any environmental data, indicating low transparency in this area.

Duolingo’s overall impact score of +1.95 reflects its meaningful contribution to inclusive, accessible digital education.

If you’d like to delve deeper into Duolingo’s impact, you can explore it here.

If you'd like to learn more about the scoring methodology, you can do so here.

Do you have a specific company you'd like us to cover? Send your suggestions to [email protected]

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