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Home Gadgets EU antitrust regulator seeks input on Microsoft's $16 billion Nuance deal

EU antitrust regulator seeks input on Microsoft’s $16 billion Nuance deal


EU’s antitrust regulator is taking a deeper look into Microsoft Corp’s $16 billion deal for transcription expertise firm Nuance Communications Inc, asking clients and opponents to attract up a listing of issues, in keeping with a questionnaire from final month seen by Reuters.

The beforehand unreported outreach is probably the most intensive by an antitrust authority because the firms introduced the acquisition in April, in keeping with an individual conversant in the matter.

Microsoft declined to remark, and Nuance didn’t reply to a request for remark.

After minimal overview, the U.S. Division of Justice in June and the Australian Competitors Fee in October mentioned they’d not contest the deal. The businesses filed for approval from the European Fee’s competitors bureau final month, and the regulator has till Dec. 21 to clear the deal or open a much bigger investigation.

The businesses had anticipated to shut the deal by the top of this yr, however mentioned final month the timeline may slip to early subsequent yr.

The questionnaire asks whether or not Microsoft and Nuance are opponents and whether or not a tie-up may have an effect on shoppers and rivals, together with whether or not Microsoft may favor Nuance over competing providers.

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Nuance primarily sells transcription expertise that’s well-liked amongst docs and name facilities that need to automate note-talking. Analysts view the deal as bolstering Microsoft’s presence within the healthcare market, and bringing it new voice and medical knowledge to coach synthetic intelligence choices in well being, speech and biometric safety.

Like different large tech firms, Microsoft for years has grown its enterprise by acquisitions, reminiscent of in promoting and video gaming. However within the final decade, Microsoft has prevented the goal that just lately has dogged its opponents Alphabet Inc’s Google, Fb Inc, Apple Inc and Amazon.com Inc, all of that are dealing with antitrust lawsuits and investigations on quite a few points.

Steven Weber, a College of California Berkeley professor learning the intersection of expertise and well being care, mentioned potential issues concerning the pending deal may embody Microsoft forcing its Workplace suite on Nuance clients by bundling them collectively.

Nuance has mentioned it serves 77% of U.S. hospitals.

A key to its success has been has making certain in offers with clients that it may use their knowledge to advance its voice recognition programs, in keeping with former chief government Paul Ricci and one other former worker.

As an illustration, a Nuance contract with Augusta College Medical Heart, obtained by Reuters this yr by a public data request, reads, “Buyer shall present Nuance entry to voice and textual content knowledge…and grants Nuance a perpetual, royalty-free license to repeat, use and analyze such knowledge for speech recognition analysis.”

Large cloud distributors reminiscent of Amazon and Microsoft sometimes don’t have unfettered entry to clients’ knowledge for analysis and improvement. However the alternative to accumulate these relationships and knowledge explains Microsoft’s curiosity in Nuance, the previous workers mentioned.

Different suppliers of well being transcription applied sciences embody 3M Co and Philips.

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