Babbel CEO Arne Schepker explains how AI can enhance learning and discusses Babbel's impact on students, jobs, and cultural connections.
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00:00Will AI end foreign language education as we now know it?
00:05A recent story in The Atlantic magazine suggested that's exactly what's happening
00:10as we all lean in to chatbots to translate for us.
00:13Babbel offers more than 60,000 lessons across 15 languages taught by more than 200 experts.
00:21And Arne Schepker is the Babbel CEO. He joins us now.
00:25I would say, hola, sir, because that's the only other language I barely speak other than English.
00:31How many languages can you say hello in?
00:35Oh, good question. So you would need to swap out the sir for a senor, first of all.
00:42And then I speak four languages and I've struggled with number five.
00:46Solid. Well done. OK, so let's get back to the question I just laid out there in the introduction.
00:51What is the impact of artificial intelligence on Babbel's business and foreign language learning in general?
01:00Yeah, I mean, Babbel has already revolutionized language learning through technology.
01:05Once we were the first app in the space, the first online pure digital solution before Babbel,
01:10you were learning language with a book, with a teacher, with a CD-ROM maybe.
01:17So we've done it before and any technological advancement is a fantastic opportunity for us
01:22because obviously we're using AI to generate content faster.
01:28We're using AI to become more efficient and innovate faster.
01:31We're using AI to become more relevant for you as a learner and walk you through what you need to learn and to customize the journey for you.
01:40So we see only opportunities.
01:42And then obviously, you know, there's 500 chatbots out there right now.
01:46We're working on one that actually is conducive to language learning and will get you speaking even faster,
01:53which is really what we want our learners to do.
01:55So that narrative that it is killing foreign language learning is incorrect.
02:00Are you pushing back on that?
02:01And are you seeing an increase since AI tools have been utilized?
02:07Yeah, so when ChatGPT first was launched, this was December, one and a half years ago,
02:13we actually did see a slight increase because all of us humans around the world were testing the product for,
02:21you know, does it speak French? Does it speak English? Does it speak German?
02:24And so we saw a slight increase.
02:26We haven't seen a drop since in demand or in subscriptions to Babel.
02:30Quite to the contrary, we're doing really well.
02:31So we see no impact on AI.
02:33I think we have to differentiate between translation or what I would call transactional use cases.
02:40So I'm giving directions in a cab.
02:42Those were never the reasons why anyone came to Babel.
02:46Like we're a relatively high quality digital learning tool.
02:49We actually get you speaking.
02:50So we're training your brain to do something.
02:53We don't just solve one problem and then we walk away.
02:57Let the translators do that.
02:58We're a learning company and learning is still a human problem to solve.
03:02Yeah. Where is the bathroom?
03:04It's not why people turn to Babel.
03:06They turn to that to really engross themselves in a culture in most cases.
03:10So if you could put a little more color on the tools you guys are using that utilize AI on Babel, on the app.
03:19Yeah, I think I've mentioned the areas before, right?
03:22So conversational training is one.
03:24Content is another.
03:26The pathing, leading you through your customized and personalized learning journey.
03:31That's the key areas.
03:32And then obviously internal efficiencies.
03:36So I think there was a big story by Amazon, how they use it even in their coding.
03:43We also do that.
03:44And it just takes out some of the less fun work when you're a software developer.
03:50And how does back to school season impact foreign language learning?
03:55Yeah, this is one of the best seasons for us as Babel because a lot of people come back from their summer break having thought about their career, for example.
04:05So it's back to work.
04:07You think about your career.
04:08You think about how to train your teams.
04:10You see your kids go back to school and they might be learning a language and you're like, oh, let me brush up on my Spanish.
04:16And you're back from a break.
04:18And funny enough, it's the stimulus of having been on a break and in a country where you don't speak the language is stronger to get you to learn a language than before going to the country.
04:30So we actually see a run on language learning every single September.
04:34Another trend that we're seeing explode over the last couple of years has been international travel, in particular to more remote destinations because of the crowds where English is probably less common.
04:46How is this real dramatic increase in travel increased foreign language learning?
04:54So, as I said, the stimulus is stronger when you actually return from your trip.
05:01Travel has always been a strong motivation for us.
05:03It also stayed a strong motivation during the pandemic, even though we couldn't travel.
05:07So we started learning a language in the hopes of being able to travel again in the in the future.
05:13So definitely one of the biggest motivators that we that we see ahead of work, probably in line with love and family and relationships.
05:22And I'm not sure if you followed it, but immigration took an odd twist in the US presidential debate last night.
05:28While we won't get into that, the dramatic increase in illegal immigration, how has that led to, like, probably more demand in those speaking Spanish, whether it's teachers or translators?
05:44Yes, I won't get into the political debates.
05:47We teach everyone languages who has a use for it.
05:52So we obviously see a large need in the in the US, especially for businesses to train their workforce.
06:01So we get landscaping business who want their teams to be able to converse better.
06:06We get warehousing companies or production sites who actually say for health and safety reasons, I need my teams to be able to communicate in emergency situations or in dangerous situations.
06:17So Spanish to English and English to Spanish is one of the strongest use cases that we see in our business to business part of our proposition.
06:27And a more fun one is actually a sports teams.
06:29So we have a number of major league baseball teams, for example, who are using Babbel to learn Spanish or English and make sure that the teams can can bond more strongly.
06:40That's a really interesting point, because in particular in baseball, a dramatic rise in the Latin players.
06:46And that's real difficult when you cannot speak to your teammates.
06:49That's part of the bonding process.
06:51And successful teams really can communicate.
06:54And finally, I'm just curious, do you know what are the most popular languages being learned today on your apps?
07:02Yeah, it depends on the country.
07:03In the in the US, it's most certainly English by a by a large margin.
07:08In all non-English speaking countries, it's obviously English first.
07:12And then it depends a bit on what the neighboring countries are, you know, French, Italian, German all come right right after them.
07:21Do you see events like the Olympics, per se, or soccer tournaments in Latin America?
07:26Did those lead to increases in the popularity of, say, French?
07:33A bit, a bit.
07:34I think the Paris Olympics, for example, did a did a great job showing us how travel and connecting with one another, cross-cultural communication can can enrich our lives.
07:45So we we see we see a slight increase, but nothing compared to the back to work, back to school, back from vacation spike that we're now seeing in September.
07:55Sure. Willing to guess the World Cup coming here to the United States will probably lead to a dramatic increase in those learning English in the year ahead.
08:03Arne Schepker is the CEO of Babbel.
08:05Much appreciate you coming on with this on Cheddar, sir.
08:07Thanks so much.
08:09Thank you, Dave.