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Chegg

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Chegg

Chegg, Inc., is an American educational technology company based in Santa Clara, California. It provides homework help, digital and physical textbook rentals, textbooks, online tutoring, and other student services, powered by artificial intelligence. The company has 6.6 million subscribers.

The company has been criticized for facilitating cheating by students.

The name Chegg is a combination of the words chicken and egg, and references the founders’ catch-22 feeling of being unable to obtain a job without experience, while being unable to acquire experience without a job.

In October 2000, Iowa State University students Josh Carlson, Mike Seager, and Mark Fiddleke launched Chegg's forerunner, Cheggpost, a Craigslist-style message board for Iowa State students.

Carlson teamed with Osman Rashid, an avid user of the site who recognized its potential to disrupt the textbook market. The company was incorporated in 2005 by Carlson, Rashid, and Aayush Phumbhra. At that time, it offered scholarship searches, internship matching, and college application advice. Some initial start-up funding was provided by Rashid.

In 2005, the founders purchased 2,000 textbooks and launched Textbookflix.com, based on Netflix's rental-based model, concentrating on renting textbooks to students.

In February 2006, Carlson left the company. Phumbhra and Rashid rebranded, launching Chegg in December 2007 with Rashid as CEO.

In 2008, revenues were over $10 million; revenues in the month of January 2009 alone surpassed that amount.

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