Microsoft acquires Tellme for voice services

Software giant Microsoft Corp. announced it acquired voice-services company Tellme Networks Inc., which offers a variety of speech-recognition services for cellphones and other platforms. Microsoft said it will integrate the company’s offerings into its various desktop computer products as well as its nascent Live Search services, which are available on the Internet and cellphones.
The deal had been hinted at in various media reports earlier this week. The companies did not release financial details of the transaction, but media reports indicate the purchase price was as high as $800 million.
Founded in 1999, Tellme offers mobile search services via audio prompts on 1-800-555-TELL, and delivers information on businesses, driving directions, sports scores, stock quotes, weather, news, movie show times and more. Tellme also offers its speech-recognition technology out to various businesses for other applications.
Microsoft said it would add Tellme’s 320 employees to its Business Division, and that Tellme would continue to operate from its Mountain View, Calif., headquarters.
“We’ve made great strides in speech technologies, but have only scratched the surface of what is possible,” said Jeff Raikes, president of Microsoft’s Business Division. “The acquisition of Tellme will bolster Microsoft’s existing speech capabilities, bringing both immediate and longer-term value to our customers and partners.”
Specifically, Microsoft said it would use Tellme’s technology to offer speech-based unified communications, mobile search services and voice access to Microsoft products including Windows Vista, Microsoft Office and mobile applications such as Windows Mobile and Windows Automotive. Further, Microsoft developers will be able to use the technology for their own applications.
In announcing the deal, Tellme’s Web site featured the company’s corporate logo next to that of Microsoft’s, above the heading “Wow.”