Microsoft is making a deal to buy Voice Recognition pioneer Nuance Communications, which will cost the artificial intelligence firm about ১ 16 billion, according to people who have been briefed on the matter.
The deal will be Microsoft’s second-largest acquisition. The tech giant has been exploring several takeover opportunities over the past 12 months, including a method for social media. Tick tock, Pinterest and detached.
People briefed on the matter and said an agreement could be announced this week as both parties are close to finalizing the transaction. They warned that there was still a chance that the deal would fall apart
Nanance, based in Burlington, Massachusetts, was one of the earliest developers of speech recognition AI. Its technology was used to power voice responses in Siri, Apple’s virtual assistant.
The company’s voice recognition systems are used in a wide range of industries. Even after a few years of small acquisitions, it is trying to get its business back on track and has refused a few handfuls in the market to restore growth.
Its revenue has shrunk every two years and it has expanded or sold several business units, primarily rebuilding around hospitals and physicians ’cloud-based systems. The underlying share of healthcare contributed to the renewed contribution of its shares, which tripled from a low point last March, valued at about 13 13 billion.
AI is a leader in Microsoft natural language processing that incorporates such systems. Acquiring a nanowire will give it a way to sell to a huge number of new customers in healthcare, financial services and telecoms, among other industries. However, Nanance made কেবল 29 million in revenue last year alone after several years of losses, and its revenue fell more than a quarter after reaching over 2 2 billion in 2018.
Microsoft has been buying over the past few years as it has used its strong balance sheet to move more businesses forward. It has acquired the professional networking site LinkedIn For b 26bn in 201. Two years later it bought the code storage group GitHub .5 for 7.5bn, And six months ago it took over the private gaming company Genimax .5 for 7.5bn.
The Seattle-based tech giant, which specializes in business and government-used enterprise cloud computing services rather than consumers, has been able to raise a number of resources to avoid political backlash as Facebook and Google make it even harder to acquire large acquisitions.
Bloomberg first reported that the two companies were in advanced talks.