Microsoft’s proposed $16bn purchase of artificial intelligence and speech technology firm Nuance Communications has been called in by UK anti-trust regulator the Competition and Markets Authority (CMA).
The CMA will consider whether the deal could result in lesser competition in the UK market.
The deal was announced by Microsoft this April, and is expected to widen its presence in cloud services for the healthcare market. The transaction was approved by the Nuance board, and now already has full approval from regulators in both the US and Australia.
Market regulators at the European Union are expected to rule on the deal next month. If passed by all the regulators, the acquisition would be Microsoft’s second-biggest after its giant $26.2bn capture of LinkedIn in 2016.
Apple used Nuance to help develop its Siri virtual assistant. Nuance is said to deliver services to around three-quarters of US hospitals.
When the deal was announced, Microsoft CEO Satya Nadella, said: “AI is technology’s most important priority, and healthcare is its most urgent application. Together, with our partner ecosystem, we will put advanced AI solutions into the hands of professionals everywhere to drive better decision-making and create more meaningful connections, as we accelerate growth of Microsoft Cloud for Healthcare.”
The CMA said it was considering whether the acquisition “may be expected to result in a substantial lessening of competition within any market or markets in the UK for goods or services”.
“To assist it with this assessment, the CMA invites comments on the transaction from any interested party,” the CMA said.
They have until 10 January to respond in the consultation.
Concerns from those involved in the markets that Nuance is involved in could include whether Microsoft would favour Nuance over its competitors, or unfairly bundle Nuance’s technology in the services it provides.
from UC Today https://ift.tt/3IQJooW
0 Comments