Former Duolingo Executives Launch Startup to Address College Affordability Crisis

A team of former executives from the language learning app Duolingo is establishing a new startup, Outsmart Education, with a focus on enhancing the affordability and accessibility of college education. The startup, led by co-founders Daniel Falabella, Gina Gotthilf, and Jorge Mazal, recently secured a $13 million seed funding round from investors such as Khosla Ventures, Karman Ventures, Latitud Ventures, and Lightspeed Ventures, as well as angel investors including Lenny Ratchinsky and 20Growth. 

The funding will go towards hiring and product development. Outsmart Education arose from Mazal's personal challenges with financing his education in the U.S. The startup remains in stealth mode and has not disclosed its specific plans, but has garnered significant support from backers. The initiative comes at a time when the cost of college education is soaring, with the average tuition and fees at private colleges rising by 5.5% and public schools by over 2% for the 2024-2025 school year. Americans collectively owe around $1.6 trillion in student loans, underlining the urgency of addressing the college affordability crisis.

Outsmart aims to revolutionize access to higher education, and despite operating in stealth mode, its founders have demonstrated strong capabilities, having gained substantial experience in previous roles at prominent companies such as Duolingo, Dropbox, Tumblr, and more. Mazal envisions Outsmart as surpassing existing higher education options in terms of access, affordability, and personalization. The startup enters a landscape where numerous companies strive to make college education more affordable and accessible, from platforms comparing tuition fees to those offering inexpensive online schooling and matchmaking services to help students choose the best college for them.