Loora: Transforming English Tutoring with AI

By Gil Canaani and Shaneel Parekh, Hearst Ventures

Hearst Ventures is delighted to announce our recent investment in Loora. Based in Tel Aviv, Loora is a developer of an AI-based, English-language tutoring app that mimics a human tutor. The app offers real-time, interactive conversation with a feedback loop to help its users improve pronunciation, vocabulary, and fluency. Loora’s subscribers are English as a Second Language students who seek to raise their English proficiency, predominantly for work-related purposes.

English is the international language of business. Reaching near-native level English is a priority for the 1.5 billion English learners worldwide as cited by the British Council. Unlike broader language apps such as Duolingo and Babbel which cater to beginner learners, Loora targets young professionals who seek to refine their English for career advancement. It is a cost-effective alternative to traditional, expensive tutoring. Users also often engage with Loora as a conversational companion, integrating the app into their daily lives for a range of discussions.

With its network of media assets, Hearst sees tremendous value in B2C subscription services that combine entertainment and skill acquisition. The Hearst Ventures portfolio includes investments in learning platforms such as Simply, known for SimplyPiano and SimplyGuitar, as well as LAIX LingoChamp, an English learning application focused on the Chinese market.

The rise of Generative AI and LLMs has brought a wave of revolutionary products that seemed like science fiction until recently. In this innovative era, Hearst Ventures seeks opportunities to back companies leveraging AI to transform industries and launch novel services.

We’ve been impressed with Loora’s founders, CEO Roy Mor and CTO Jonathan Levin, experts in Machine Learning and NLP, for their rapid technology development and significant user growth. In 2023, Loora saw an 8x increase in ARR and a 2x rise in user retention. After two and a half years of observation, we are convinced that now is the right time to pursue the investment. We are excited to join leading investor QP Ventures and current backers Emerge and Two Lanterns Venture Partners and we are ready to help Loora scale new heights.