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Earlier this month, we reported on UK regulators potentially starting an investigation into Microsoft’s $19 billion deal to purchase Nuance. While that investigation is ongoing, the European Commission has given Microsoft the all clear.

Microsoft announced the deal to buy Nuance back in April.  Nuance is an artificial intelligence company that leads conversational AI solutions for cloud-based ambient clinical intelligence. Among the healthcare products the company offers are Dragon Medical One, Dragon Ambient eXperience, and PowerScribe.

Microsoft has been in partnership with Nuance Communications since 2019, co-developing ambient sending and conversational AI systems. However, the Competition and Market Authority (CMA) in the UK is concerned about the deal. Nuance is used in over 75% of hospitals in the US and also by the NHS in the UK.


Green Light

After a quick discovery mission, including listening to feedback from competitors, the EC says it does not think Microsoft’s acquisition poses a threat to competition in the European Economic Area (EEA).

“Based on its market investigation, the Commission found that the transaction, as notified, would not significantly reduce competition in the transcription software, cloud services, enterprise communication services, customer relationship management, productivity software and PC operating systems markets.”

Regulators in the United States and Australia have already greenlit the deal. That means Microsoft is likely to close the purchase in 2022 if UK regulators decide to also give a green light.

As the company comes under Microsoft’s wing, Redmond says current Nuance CEO, Mark Benjamin, will remain at the helm. He will work directly under Microsoft Executive Vice President of Cloud & AI Scott Guthrie. Microsoft expects the deal to be finalized by the end of 2021.

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