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– Microsoft acquires Nuance Communications for $19.7 billion in cash
– The acquisition is aimed at bolstering Microsoft’s healthcare offerings and artificial intelligence capabilities

Microsoft has announced its acquisition of Nuance Communications for $19.7 billion in cash. The deal is expected to strengthen Microsoft’s presence in the healthcare industry and boost its artificial intelligence capabilities.

Nuance Communications is a provider of speech recognition and virtual assistant technology, with a focus on the healthcare sector. The company’s products are used by healthcare providers to streamline documentation and improve patient care.

Microsoft plans to integrate Nuance’s technologies into its existing healthcare offerings, including its Microsoft Cloud for Healthcare platform. This will allow Microsoft to provide a more comprehensive suite of services to healthcare providers, with the goal of improving patient outcomes and reducing costs.

The acquisition of Nuance is also seen as a strategic move to enhance Microsoft’s artificial intelligence capabilities. Nuance’s expertise in speech recognition and natural language processing will complement Microsoft’s existing AI initiatives, such as its Azure AI platform.

The deal is expected to close by the end of 2021, pending regulatory approval. Once finalized, Nuance will become a part of Microsoft’s Cloud and AI division, and Nuance CEO Mark Benjamin will report to Microsoft executive vice president Scott Guthrie.

Overall, the acquisition of Nuance Communications represents a significant investment by Microsoft in the healthcare industry and in artificial intelligence technology. By combining Nuance’s expertise with its own resources, Microsoft aims to accelerate innovation in healthcare and AI, ultimately benefiting both healthcare providers and patients.