Microsoft has made one more multi-billion greenback acquisition. Only a month after Microsoft’s $7.5 billion deal to purchase ZeniMax closed, the know-how big has now bought the AI firm Nuance at a value of $56 per share, which works out to $19.7 billion. Microsoft clearly sees numerous worth in Nuance, because it paid a 23% premium on the value of Nuance’s shares. The acquisition was an all-cash deal that’s anticipated to shut this 12 months.
Nuance CEO Mark Benjamin will stay CEO, and he’ll report back to Microsoft cloud and AI boss Scott Guthrie going ahead.
Microsoft has been working with Nuance since 2019, when it began utilizing Nuance’s know-how for healthcare. “By augmenting the Microsoft Cloud for Healthcare with Nuance’s options, in addition to the good thing about Nuance’s experience and relationships with EHR programs suppliers, Microsoft will likely be higher capable of empower healthcare suppliers by means of the facility of ambient scientific intelligence and different Microsoft cloud providers,” Microsoft stated.
In buying Nuance, Microsoft grows its footprint within the healthcare house to virtually $500 billion, the corporate stated.
Exterior of healthcare, Nuance’s AI and “buyer engagement options” cowl issues like digital assistants, interactive voice response know-how, and digital and biometric software program throughout a number of industries.
At $19.7 billion, Nuance represents considered one of Microsoft’s largest acquisitions ever. It is second solely to the $26.2 billion that Microsoft paid to accumulate LinkedIn again in 2016.