updated 04:55 am EST, Wed November 24, 2010
Nuance shares rise then fall slightly on report
Apple co-founder Steve Wozniak has said that he was "totally wrong" about an apparent acquisition of Nuance Communications by Apple according to a report. Nuance specializes in speech-recognition technology and could potentially be a target for acquisition by Apple as voice-to-text functionality has started to feature on competing handsets such as the LG Optimus 7. In an e-mail to Reuters Wozniak wrote "I thought I'd read about it but obviously got it all wrong".
Nuance shares spiked to a two year high after a video of Wozniak making the claim was posted by TVDeck.com. After hitting a peak of $19.19 on Tuesday, Nuance shares shed 3.5 per cent to $17.72 after Wozniak retracted his claim.
Nuance currently licenses its technology to a number of Apple's competitors. Much of its inherent value as a company would be lost in any acquisition by Apple as it would stop the income stream coming from licensing Nuance's IP.
However, Apple and other companies like Microsoft have been known to acquire companies and shutter them without any signs of their IP appearing in their shipping products simply to stifle competition.