Microsoft confirmed its purchase of Nuance Communications, Inc., a cloud and AI software company known well for developing the Swype keyboard app over the years. The deal is valued at $ 19.7 million, making it the second-largest after Microsoft’s purchase of LinkedIn for $26 billion in 2016.
In a blog post, Microsoft announced the acquisition explaining that it is mainly for Nuance’s healthcare and enterprise AI experience. The tech giant has been making moves into the healthcare industry with its Microsoft Cloud for Healthcare platform, which launched in 2020.
“Nuance provides the AI layer at the healthcare point of delivery and is a pioneer in the real-world application of enterprise AI,” said Satya Nadella, CEO, Microsoft. “AI is technology’s most important priority, and healthcare is its most urgent application. Together, with our partner ecosystem, we will put advanced AI solutions into the hands of professionals everywhere to drive better decision-making and create more meaningful connections, as we accelerate the growth of Microsoft Cloud for Healthcare and Nuance.”
Other than healthcare applications, Nuance also provides AI expertise and customer engagement solutions across Interactive Voice Response (IVR), virtual assistants and digital and biometric solutions.
“Over the past three years, Nuance has streamlined its portfolio to focus on the healthcare and enterprise AI segments, where there has been accelerated demand for advanced conversational AI and ambient solutions,” said Mark Benjamin, CEO, Nuance. “To seize this opportunity, we need the right platform to bring focus and global scale to our customers and partners to enable more personal, affordable and effective connections to people and care.”
Before everyone starts drawing connections between this move by Microsoft and Bill Gates, it is important to know that nothing has been mentioned about what influence this purchase will bring to the ongoing pandemic.