Microsoft Advancing Talks to Acquire Apple's Siri AI Developer, Nuance Communications, for $16B

Microsoft is reportedly "in advanced talks" with Nuance Communications, which is known for helping Apple develop the artificial intelligence for its virtual voice assistant, Siri. The reports have suggested that Microsoft is trying to acquire Nuance at a $16 billion buyout to get the company from its original management and incorporate its technology for the big tech.

Microsoft Plans to Acquire Nuance Communications

According to a recent insider leak that is familiar with the news via Reuters, Microsoft is already in an advanced level of negotiations and talks with Nuance Communications with the planned acquisition. While there are no specific technology or reasons as to why Microsoft wants to acquire Nuance, the deal between the two has surprisingly progressed.

Initial reports by Bloomberg suggested that the deal was shaky and could break off at any time, but the source that was familiar with the matter told Reuters otherwise. The leak has divulged that an announcement might soon come this week, revealing the deal or sale that has occurred between the two technology companies.

Nuance Communications

While Nuance Communications is not that much of a "household name" or known in the common tongue, it is a prominent artificial intelligence company that has contributed a lot to the development of voice assistants. One of the very first mainstream and mass-produced AI systems that have dawned smartphones, Apple's Siri, was a product of Nuance.

Reuter's report indicated that Nuance Communications has helped Apple in the voice recognition feature of the artificial intelligence, to determine the command and interpret it for the phone to respond and do its bidding. Apart from that, the company has also developed software for other industries including the healthcare industry, and vehicle manufacturing.

Microsoft Acquisitions Over the Past

Microsoft has had a few outstanding acquisitions on its record, with one of the country's "Big Tech" aiming to get bigger and expand its territories outside of the software development industry and towards others. 2020 alone has been a shining moment for Microsoft, especially as it presented its interest in acquiring TikTok from ByteDance.

While this acquisition did not take place or continue, Microsoft was supposed to get the operating rights of the Chinese short video application and stakes over the US, UK, Canada, and Australian regions.

On the other hand, the $26.2 billion acquisition of LinkedIn last 2016 is by far Microsoft's largest amount that it had paid to get another company. If the acquisition of the AI technology company, Nuance Communications, take place, it would be Microsoft's second-largest corporate buyout in its history.

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Written by Isaiah Alonzo