Microsoft is in talks to acquire AI and speech company Nuance Communications in a deal that would value the company at about $16 billion, Bloomberg reported Sunday. The Burlington, Massachusetts-based company’s technology helped launch Apple’s digital assistant Siri.
The two companies are discussing a price of about $56 per share, Bloomberg reported, a 23% premium over the stock’s close on Friday. The deal would be Microsoft’s second-largest acquisition ever, after its $26.2 billion deal to buy LinkedIn in 2016.
Like many tech companies, Microsoft has invested heavily in artificial intelligence in recent years. Last year, the company unveiled an enormous supercomputer for AI work that contained a 285,000 processor core. in 2018, the company acquired XOXCO, a startup that develops conversational artificial intelligence, aka chatbots.
Neither Microsoft no Nuance immediately responded to requests for comment.