Name: Microsoft in advanced talks to buy Nuance for about $16 billion, announcement could come Monday
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Microsoft in advanced talks to buy Nuance for about $16 billion, announcement could come Monday

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Key Points is in advanced talks to acquire speech-recognition company , a person familiar with the discussions told CNBC on Sunday. A transaction could be signed as early as Sunday and announced as soon as Monday, the person said.The plans illustrate Microsoft's recent efforts to expand through deals. Microsoft buying the U.S. operations of video-sharing app TikTok last year, and last month it the $7.5 billion acquisition of video game maker Zenimax.6 hours agoNuance would be more aligned with the part of Microsoft's business that serves businesses and governments. Nuance derives revenue by selling tools for recognizing and transcribing speech in doctor's visits, customer-service calls and voicemails. The company reported $7 million in net income on about $346 million in revenue in , with revenue declining 4% on an annualized basis. Nuance was founded in 1992, with 7,100 employees as of September.Microsoft first approached Nuance in December, the person said, and is willing to pay about $56 per share for Nuance, the person said. That would give Nuance an equity value of about $16 billion, representing a 23% premium over the stock's Friday closing price of $45.58 per share. reported on Microsoft's plans to buy Nuance earlier on Sunday. Microsoft declined to comment. A Nuance representative didn't immediately respond to a request for comment.At $16 billion, Nuance would be Microsoft's second largest acquisition, after the $27 billion purchase of LinkedIn in 2016.Buying Nuance could expand Microsoft's capabilities in voice software. Microsoft already has tools that developers can use to enable applications to transcribe speech into written words, and it incorporates speech recognition into its own products, such as the Bing search engine and the Teams communication app.WATCH: Stock market cage match: Traders pit Apple and Microsoft against one another

Key Points is in advanced talks to acquire speech-recognition company , a person familiar with the discussions told CNBC on Sunday. A transaction could be signed as early as Sunday and announced as soon as Monday, the person said.The plans illustrate Microsoft's recent efforts to expand through deals. Microsoft buying the U.S. operations of video-sharing app TikTok last year, and last month it the $7.5 billion acquisition of video game maker Zenimax.6 hours agoNuance would be more aligned with the part of Microsoft's business that serves businesses and governments. Nuance derives revenue by...

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Microsoft in advanced talks to buy Nuance for about $16 billion, announcement could come Monday

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