Tuesday, September 23, 2025

TransPerfect Acquires Unbabel for Language AI

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TransPerfect, the world’s largest provider of language and AI solutions for global business, announced its acquisition of Unbabel, a recognized leader in language AI. While financial details of the deal were not disclosed, the acquisition marks a significant milestone in advancing enterprise-grade AI translation and multilingual customer experience solutions.

Founded in Lisbon in 2013, Unbabel has been at the forefront of translation AI innovation. The company’s mission centers on breaking down language barriers and enabling businesses to build trust through consistent, high-quality multilingual experiences across marketing and customer service. A graduate of the prestigious Y Combinator accelerator whose alumni include Airbnb, Coinbase, Reddit, Stripe, and Instacart Unbabel has become a driving force in redefining communication for global enterprises.

At the core of Unbabel’s innovation is TowerLLM, the first large language model (LLM) designed specifically for translation. Trained on years of proprietary data, TowerLLM delivers unmatched accuracy and adaptability, surpassing general-purpose LLMs. Additionally, Unbabel created COMET, now the industry benchmark for measuring machine translation quality.

The integration of Unbabel’s TowerLLM and COMET into TransPerfect’s GlobalLink® technology portfolio reinforces the company’s leadership in AI-powered content solutions for global businesses.

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“Unbabel is a pioneer in developing AI models for use in translation. We see combining tech stacks as a major win for our shared clients and we will continue to drive efficiencies through innovation,” said Phil Shawe, President and Co-CEO of TransPerfect.

The acquisition not only enhances TransPerfect’s AI-driven product portfolio but also expands its research and development capabilities. With Unbabel’s proprietary LLMs and team of leading AI researchers, TransPerfect clients will gain access to next-generation multilingual communication tools tailored for enterprise needs.

“Over the past 12 years, Unbabel has redefined how the world communicates across languages through world-class research and pioneering AI. I want to thank the brilliant Unbabel team whose breakthroughs including TowerLLM and COMET have set new standards for multilingual communication. Now, within TransPerfect, these technologies and the people behind them will have an unparalleled platform to scale and deliver even greater impact,” said Vasco Pedro, Co-Founder and CEO of Unbabel, who will continue in his role to oversee the integration.

Legal counsel on the transaction was provided by Baker Botts and DLA Piper ABBC – Portugal for TransPerfect, and Orrick for Unbabel.

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