Nuance is going to split off its auto division into a separate, listed company called Nuance Auto. The company wants to focus more on the medical and business sectors, while the automotive segment will have more room to develop its artificial intelligence (AI) platform.
As we define this new era for Nuance, we are strongly focused on building a global, conversational AI business, capable of long-term sustainable revenue growth and profit growth. We’re moving to cloud-based, intelligence-based solutions and we’re spending resources to achieve maximum success in our fast-growing core markets,” said Nuance CEO Mark Benjamin at ZDnet.
At the CES 2018 in Las Vegas, Nuance Communications already presented a series of new solutions based on communicative artificial intelligence. The solutions enable new experiences within the connected car, the smart home and connected devices.
The voice recognition software manufacturer sold its $400 million document imaging business to Kofax just last month. According to ZDnet, Nuance is also currently working on the settlement of the Subscription Revenue Services business, as the company claims that it is not essential to Nuance’s AI forces. There would also be talk of the manufacturer wanting to cease its consumer-focused device business.
Integration of infotainment systems
According to Nuance, the car branch achieved a turnover of 279 million dollars in the fiscal year 2018. The software, which the company sells to car manufacturers, is integrated into multiple infotainment systems. Nuance estimates that it can be found in over 200 million cars from brands such as Audi, BMW, Daimler, Ford, GM, Hyundai, SAIC and Toyota.
Earlier this week, Nuance also announced its quarterly results. The company recorded a net loss of more than 33 million dollars, 12 cents per share. Non-GAAP income was 38 cents per share on sales of nearly $533 million, an increase of 14 percent over a year ago.This news article was automatically translated from Dutch to give Techzine.eu a head start. All news articles after September 1, 2019 are written in native English and NOT translated. All our background stories are written in native English as well. For more information read our launch article.