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Rosetta Stone (NYSE: RST) is proprietary language-learning software produced by Rosetta Stone, Ltd. Its title and its logo is a reference to the Rosetta Stone, an artifact inscribed in multiple languages that helped Jean-François Champollion to decipher Egyptian hieroglyphics.
The Rosetta Stone software utilizes a combination of images, text, and sound, with difficulty levels increasing as the student progresses, in order to teach various vocabulary terms and grammatical functions intuitively, without drills or translation. They call this the “Dynamic Immersion method”. The goal is to teach languages the way first languages are learned.

According to the company, Mr. Allen Stoltzfus had learned German through immersion while living in Germany, and found it relatively easy. In the 1980s, Stoltzfus began learning Russian in a classroom setting, but discovered it to be much more difficult. He wanted to simulate the German experience, and he decided to use computing technology to create a similar learning experience. He enlisted the aid of his brother-in-law, Dr. John Fairfield, who held a PhD. in computer science.
By 1992, CD-ROM technology made the project possible and they formed a company known as Fairfield Language Technologies in Harrisonburg, Virginia. Allen and John brought on Eugene Stoltzfus, Allen’s brother, as company President and CEO, and released their software product under the name Rosetta Stone. In 2003, the company came under new leadership with the announcement of Tom Adams as President and CEO, a businessman with international experience. The company changed names in 2006 to Rosetta Stone, Ltd., and with it came a change from an S Corp to a C Corp and the sale to investment firms ABS Capital Partners and Northwest Equity Partners. On September 23, 2008, Rosetta Stone Inc. filed an Initial Public Offering with the Securities and Exchange Commission.

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