Microsoft gets nod from ACCC on Nuance acquisition – Software

The Australian Competitors and Client Fee has introduced it is not going to oppose Microsoft’s acquisition of speech recognition and transcription software program vendor Nuance introduced earlier this yr.

ACCC commissioner Stephen Ridgeway stated the 2 corporations don’t instantly compete in healthcare transcription software program since Microsoft doesn’t already present the identical choices.

“Microsoft doesn’t at present present this specialised expertise, and it seems unlikely to turn out to be a robust competitor to Nuance,” Ridgeway stated. “This transaction is subsequently unlikely to considerably reduce competitors within the healthcare transcription market.”

Microsoft introduced in April this yr that it was paying US$19.7 billion to accumulate Nuance, a specialist in speech recognition and transcription software program and buyer engagement software program. It was the corporate’s second largest acquisition on the time after shopping for LinkedIn in 2016 for US$26.2 billion.

The ACCC stated its investigation discovered that healthcare transcription merchandise aren’t at present broadly utilized in Australia however Nuance does face competitors from different distributors and will additionally find yourself competing with different massive tech companies trying to broaden in healthcare.

“We discovered that there’s robust current competitors in buyer engagement options. There are a number of comparable alternate options to Nuance, and obstacles to entry aren’t excessive,” Ridgeway added.

The regulator stated the deal wouldn’t allow Microsoft to forestall Nuance or Microsoft’s rivals from competing successfully.

“Microsoft provides software program in buyer relationship administration, productiveness, video conferencing and cloud computing which can be suitable with Nuance’s merchandise. Nonetheless, if Microsoft tried to restrict the entry of Nuance’s rivals to Microsoft merchandise, they might simply change to various suppliers or attain prospects in different methods,” Ridgeway stated.

“On the identical time, Microsoft wouldn’t have any incentive to restrict its rivals’ entry to Nuance’s medical transcription software program, as a result of the medical transcription market may be very small compared to the important thing markets that Microsoft competes in.

“The ACCC will proceed to pay very shut consideration to acquisitions by main expertise corporations. There was a sample of shopping for out potential competitors threats which the ACCC has expressed issues about lately, however this transaction shouldn’t be certainly one of concern to the ACCC.”

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