Microsoft announced it will purchase Burlington-based Nuance Communications for $16 billion with an additional $3 billion in depth, multiple outlets, including CNBC report, bringing the total up to $19 billion. That price means Microsoft is purchasing the communication company for $56 per share.
Nuance Communications, located at 1 Wayside Road, specializes in voice recognition technology.
“Nuance leads innovation in conversational AI, making intuitive, award-winning technology that adapts to each business and every unique situation,” the company’s website states. “Our solutions don’t just hear and speak. They understand, analyze, anticipate, reason and resolve. They don’t just make life easier; they make it easy to achieve, and exceed, your goals.”
The acquisition is Microsoft’s largest purchase since it bought LinkedIn for $26 billion in 2016.
According to CNBC, Nuance will be working with the part of Microsoft’s business that serves businesses and governments. Nuance sells tools for recognizing and transcribing speech for doctor visits, customer service calls and voicemails.
“Nuance reported $7 million in net income on about $346 million in revenue in the fourth quarter of 2020, with revenue declining 4 percent on an annualized basis” CNBC report. “Nuance was founded in 1992, and had 7,100 employees as of September.”