NUANCE, APPLE, AND GOOGLE
This past November, the blogosphere was fast set upon glow when the criticism Apple co-founder Steve Wozniak finished in flitting settled which Apple had acquired the voice approval association Nuance. Wozniak fast came out and–corrected which comment, and–most believed which he had simply confused Nuance with the association he referred to right afterwards, Siri — the association which Apple essentially did take in Apr 2010. But as it turns out, Wozniak's comment, either he knew–it or not during the time, might not have been as off as it seemed.
Apple has been negotiating the understanding with Nuance in new months, we've listened from mixed sources. What does which mean? Well, it could meant an acquisition, yet which is seeking sincerely doubtful during this point, we hear. More likely, it equates to the partnership which will be critical to both companies and–could figure the destiny of iOS.
For those in the know, this shouldn't be as good surprising. Buried underneath all the strange boast about Apple/Nuance was the really critical fact: Siri relies upon Nuance record for the services. While they primary used Vlingo after launch, Siri fast switched to Nuance for the series of reasons — the single being which both came out of Stanford Research Institute, the alternative being which Nuance is usually deliberate to be better. They used Nuance up until the Apple acquisition, and–in fact, they're still regulating Nuance right now.
This counts because–as we initial reported in March, Siri record is approaching to be the large partial of iOS 5. By extension, which equates to which Nuance record will be the large partial of iOS 5. Well, unless Apple ditches them and–goes with an additional choice — yet again, Nuance is deliberate the best. The alternative large player here removing regard is Google. But well… Yeah.
The alternative choice is for Apple to set up the record themselves. and–some new pursuit postings indicate they might be meditative about that. But to get to where Nuance is currently it would take the long, prolonged time. Perhaps some-more importantly, it's good good known in the attention which Nuance binds pass patents for their record and–is really assertive in safeguarding them. Even Apple would have the tough time dancing around this if they did go it alone.
(As an engaging sidenote, we might consternation how Google has been means to rise their record whilst dancing around Nuance's patents?Well, it positively helps which Mike Cohen, an strange co-founder of Nuance who worked there for 10 years, went upon to emanate the voice-recognition record for Google. If any the single knows how to navigate those waters, he's the guy. and–it has worked.)
So because doesn't Apple usually punch the bullet and–buy Nuance? Well, for the single thing, the association is really expensive. Nuance is the open association whose batch usually so happens to be nearby the all-time highs. At the time of the strange Apple/Nuance talk, their marketplace top was around $5 billion. Now it's $6 billion. and–it would take extremely some-more than which for Apple to buy them.
Of course, as we're all good aware, Apple has the money to do that. With $60 billion or so fibbing around, the Nuance understanding would have the dent, yet Apple would still have some-more money than usually about any alternative association after such the deal. The bigger issue, it seems, is which Nuance have been really tough bargainers.
After Apple acquired Siri, they had to renegotiate deals with all of Siri's partners to safeguard the use remained alive and–vital. That was easy to do with most of them (companies similar to OpenTable, for example). But the single hold out. and–from what we hear, they're still land out. Guess who?
Nuance CEO Paul Ricci can be as tough of the adjudicator as Apple's own Steve Jobs, we hear. and–so there has been the standoff, and–negotiations have been ongoing for months.
Again, from what we're hearing, all sorts of possibilities have been still upon the table, together with an acquisition. But again, that's not as approaching as an expanded chartering agreement during this point. In shopping Nuance, Apple would rught away screw over multiform alternative competitors which use–the record and–it would accelerate their position. and–given what Google has been building, it seems doubtful which the supervision would have the large complaint with the buy.
It would additionally give Apple something they regularly enterprise when possible: finish carry out over the record upon their devices.
Nuance vs Apple vs Google
But those who know Apple, and–Jobs in particular, will know which they'll be darned if they're starting to overpay for something. and–they'd have to for Nuance. Much of Nuance's worth is subsequent from the chartering deals they have in place, and–if Apple paid for them, those deals would dry up. Apple would have to consider of it as the vital investment rsther than than the worth play.
So might be instead they do an expanded chartering understanding right away and–perhaps sensitively work upon their own things in the credentials — arrange of similar to what they did with Skyhook/Google for place services. (and–what they're right away believed to be upon the verge of we do to Google for maps.) But that's pristine conjecture upon my part.
Regardless, the actuality stays which Apple needs Nuance for what they're believed to be operative upon for iOS 5. and–while the OS isn't approaching to crop up until the fall, as we initial reported final month, it is approaching to be denounced or talked about with developers during WWDC subsequent month. You'd consider Apple would wish to have any understanding with Nuance to be finished by then.
and–the law is which Nuance needs Apple too. Not usually have been they additionally in jeopardy by Google, yet Nuance record is simply not really suggestive but apps which implement it similar to Siri. and–many of those apps have been looming theory where: iOS.
While Siri has been categorized by most as the voice approval service, that's not essentially the case. Technically, which component is upon Nuance's end. Siri have been the ones which do the cold things with the transcriptions Nuance creates. Nuance, of course, knows this and–has been perplexing to expand–their offerings in to the "brain" finish of things. and–it should warn positively no the single which they had attempted mixed times to take Siri prior to Apple in the future did.
That's not to downplay Nuance though. As the single source puts it, "voice approval finished good is essentially non-trivial, and–although it is usually 'input', we win or remove upon it."
In alternative words, both sides need any other. Nuance needs Apple. and–Apple needs Nuance.
"I consider voice approval is starting to turn some-more and–more the large partial of these machines. Apple's substantially meditative the same way," Wozniak pronounced rught away prior to he forsaken the Nuance explosve final November. From what we've heard, Apple is in truth meditative which way. and–so have been most others, together with categorical opposition Google. Nailing this upon the record side of things is starting to be very, really important.
So whilst Wozniak might have misspoke, he might have finished so with somewhat some-more believe than he let on. Expect to listen to the lot some-more about Apple and–Nuance soon.
Patrick 08 May, 2011--
Source: http://www.digdod.com/nuance-apple-and-google-1031697.html
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