Microsoft in talks to buy AI firm Nuance Communications for about $16 billion

Nuance's voice recognition technology helped launch Apple's assistant Siri

Microsoft Corp is in advanced talks to buy artificial intelligence and speech technology company Nuance Communications Inc at about $16 billion, according to a source familiar with the matter.

The price being discussed could value Nuance at about $56 a share, the source said, adding that an agreement could be announced as soon as Monday.

Bloomberg News, which first reported the deal between Nuance and Microsoft, said talks are ongoing and the discussions could still fall apart.

Ticker Security Last Change Change %
MSFT MICROSOFT CORP. 242.60 +3.60 +1.51%
NUAN NUANCE COMMUNICATIONS, INC. 52.69 +0.23 +0.45%
AAPL APPLE, INC. 124.92 +2.15 +1.75%

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Burlington, Massachusetts-based Nuance whose voice recognition technology helped launch Apple Inc's assistant Siri, makes software for sectors ranging from healthcare to the automotive industries.

The deal with Nuance would be Microsoft's second-biggest deal, after its $26.2 billion acquisition of LinkedIn in 2016.

Microsoft and Nuance did not immediately respond to Reuters' request for comment.