Microsoft finally gets EU antitrust approval 8 months after it acquired Nuance for $16 billion

Eight months after Microsoft acquired Nuance Communications for $16 billion, the European Commission (EU) on Tuesday granted Microsoft unconditional antitrust approval for artificial intelligence and speech technology company, according to a report from Reuters, citing a statement from the Commission. The deal has already received regulatory approval in the United States and Australia.

In concluding its investigation into the acquisition, The Commission said the deal would not significantly reduce competition in markets for transcription software, cloud services, enterprise communication services, PC operating systems, and other products.

“The proposed transaction would raise no competition concerns on any of the markets examined in the European Economic Area,” the Commission said.

As we reported back in April, Microsoft acquired the speech recognition company Nuance Communications in a deal worth about $16 billion. The deal is Microsoft’s second-biggest after its $26.2 billion LinkedIn acquisition in 2016. The Redmond-based company said the acquisition of Nuance would help it to accelerate its industry cloud strategy for healthcare.  In an announcement, Microsoft CEO Satya Nadella said,

“Nuance provides the AI layer at the healthcare point of delivery and is a pioneer in the real-world application of enterprise AI. 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 the growth of Microsoft Cloud for Healthcare and Nuance.”

In recent years, Microsoft has accelerated its efforts to provide industry-specific cloud offerings to support customers and partners as they respond to disruption and new opportunities. As part of these efforts, in 2020, the tech giant introduced Microsoft Cloud for Healthcare which aims to address the comprehensive needs of the rapidly transforming and growing healthcare industry.

Nuance would be Microsoft’s second-biggest deal, after its $26.2 billion acquisition of LinkedIn in 2016. Meanwhile, Reuters added that the two companies did not immediately respond to Reuters’ request for comment.

Founded in 1992 by Ronald Croen, the Burlington, Massachusetts-based Nuance delivers solutions that understand, analyze, and respond to people – amplifying human intelligence to increase productivity and security. Nuance currently supports 77 percent of U.S. hospitals and helped with the launch of Apple’sSiri virtual assistant.