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Will Apple Lose Siri's Core Tech To Samsung?

An anonymous reader writes Apple bought Siri in 2010, but its core technology is owned by Nuance, maker of Dragon NaturallySpeaking. Now Samsung is looking to buy Nuance. From the article: "This past June, Nuance and Samsung began merger talks, but nothing came of it. At the time, the two companies said talks had 'slowed' due to 'complexities.' But they didn't say it was dead. Guess what? The talks are back on. The first hint came in June, after the company missed the quarterly projections. The Wall Street Journal then brought up the talks with Samsung and also noted the company had taken financial steps that could indicate a buyout was imminent. The company’s earnings report for June stated that Nuance was redeeming $250 million in 2027 convertible notes. By calling back the debt, that would save the future acquirer around $50 million from a debt-to-share conversion."

9 of 161 comments (clear)

  1. Tech Companies have become warring fiefdoms by Taco+Cowboy · · Score: 5, Insightful

    I have been in the tech scene for decades, and having have my "tech baptism" we always have that "community" feel to what we do

    That was decades ago

    Now, everything changed. Tech companies today are like warring fiefdoms. Instead of focus on innovation they wasted all their resources on making their competitors suffer

    Take this SIRI/Nuance -- Apple/Samsung saga for example ---

    Instead of innovate - Innovate - INNOVATE what we have here are "strategizing - scheming - blocking"

    Instead of innovation the tech companies are more interested in dog fights, and the one thing that I need to know is this ---

    Why are they doing all these?

    Is it because they no longer have the urge to innovate?

    Or is it because the corporate culture (the ROI mentality) that has taken over (in almost all the big tech companies that I know) and it is killing the tech field as we know it?

    This is a very unhealthy trend, very very unhealthy, and if we let them corporate guys taking over our tech industry sooner or later we will be facing the sad cold reality that one day, somebody else, maybe India or China or Russia, will become much more technologically advance than the West

    Please pay a visit to India or Russia or China, if you have the chance. Over there they still have a lot of people devoting their lives on innovation, because to them, it is the right thing to do

    --
    Muchas Gracias, Señor Edward Snowden !
    1. Re:Tech Companies have become warring fiefdoms by Savage-Rabbit · · Score: 4, Insightful

      Please pay a visit to India or Russia or China, if you have the chance. Over there they still have a lot of people devoting their lives on innovation, because to them, it is the right thing to do

      That will change...

      --
      Only to idiots, are orders laws.
      -- Henning von Tresckow
    2. Re:Tech Companies have become warring fiefdoms by Anonymous Coward · · Score: 4, Insightful

      Instead of innovation the tech companies are more interested in dog fights, and the one thing that I need to know is this ---

      Why are they doing all these?

      Is it because they no longer have the urge to innovate?

      Why are they doing this? It's because the low hanging fruit is gone. When every company makes general purpose processors in every device (cell phone, laptop, netbook, desktop, tablet), there is nothing to differentiate one device from any other device, at a fundamental level.

      So, instead of having device differentiation, manufacturers need to fight it out over the underlying technologies that support the software running on those devices. The new ideas, or leadership in the old ideas (i.e., Nuance and voice recognition), are where the fight is now because that's the only way to beat a competitor with truly differentiating features in your own products.

      - DB (posting as an anonymous coward).

    3. Re:Tech Companies have become warring fiefdoms by torkus · · Score: 5, Insightful

      The short answer? The stock market. No really, no tin-foil hats here.

      It's become a race to the bottom in order to push the stock prices up. It's not even ROI anymore. The balance sheet for a corporation has more in common with the matrix computers than your checkbook...but if the symbols line up just right you win (and your stock price goes up). Cut 10% of your workforce (even if they're actively earning money) and your numbers look immediately better. Stock price typically goes up.

      Why?

      Companies are run by their senior staff and board members; All of whom receive large stock-based compensation and/or typically have large holdings in the company. So laying off a bunch of hard working people or doing other shitty things even if your company is doing just fine...suddenly starts to make sense. If you own 12 million shares and cutting a department or two pushes up the stock price a buck you just make $12 million. The board is probably thrilled with you and increase your bonus this year by another 100k shares or something on top of it.

      So the same game applies to stuff like patents and apps and whatnot. It's all about swinging the bigger dick and look like you're running your competition out of business. Doesn't matter if you do or not. Doesn't matter if you put a bunch of people out of work. Doesn't matter if you have a stupid. Stock price goes up? Execs win.

      Granted most other people lose in the process. Buy hey, we don't count.

      --
      You can get rich if you own a politician, but you have to be rich to buy one in the first place.
  2. Which company? by wonkey_monkey · · Score: 4, Insightful

    The first hint came in June, after the company missed the quarterly projections.

    In an article about two companies possibly merging (and the possible ramifications of said merger for a third company), "the company" ends up being just a bit ambiguous.

    --
    systemd is Roko's Basilisk.
  3. Samsung Already works with Apple, what changes? by KingOfBLASH · · Score: 3, Insightful

    I find it funny how this article implies that because Samsung might now own the technology behind Siri, Siri is in trouble.

    Samsung is a REALLY big company with lots of different divisions. One of those, the phone division, is in stiff competition with apple. Another one of those, the chip division, has apple as their best customer.

    Apple will continue licensing siri technology. Yes, they'll probably look for alternatives (the same way they are looking for an alternative to the Samsung chip fabrication).

    But whether or not they're successful, all that will happen is two really big companies will continue having divisions that work together, and divisions that are in competition.

    It's a non story.

  4. Tech Companies have become warring fiefdoms by cardpuncher · · Score: 5, Insightful

    Actually, nothing has changed.

    The BUNCH vs IBM, Amdahl vs IBM, LANManager vs Netware, Word vs WordPerfect, Excel vs Lotus 1-2-3... The first big anti-trust case in IT was against IBM in 1969.

    It may be seem different to anyone who arrived on the scene at a point in time when tech took its first Internet turn and there was enough virtual turf in cyberspace for everyone to have a piece of the action. However, most of those claims are now staked, so this is merely a return to business as usual.

  5. Screaming "innovate more" is not a solution by sjbe · · Score: 5, Insightful

    Instead of innovation the tech companies are more interested in dog fights, and the one thing that I need to know is this --- Why are they doing all these?

    Because they have to. It has nothing to do with their desire (or lack thereof) to innovate. Once you are an established player part of remaining a successful company is competitive strategy. Some products simply cannot be rapidly innovated. Coca-Cola isn't going to come up with some new miracle drink. Apple is not likely to reinvent the personal computer. Those are mature businesses and they have to be tended to and protected. The notion that every problem can be solved and every business can be run if we are just more innovative is incredibly naive. Even if you do have some incredibly innovative new product it is going to be copied within days and you will be out of business if you cannot protect that new product. To do otherwise is irresponsible and a one way ticket to bankruptcy.

    For Apple or Samsung or Microsoft to grow at even a modest 5-8% rate they would have to create as much new business as the entire revenue of EBay *every year*. You think it is easy to create a new company the size of eBay each any every year? When you become big enough there simply are not that many new lines of business that are big enough to really move the needle. It is unbelievably difficult

    Please pay a visit to India or Russia or China, if you have the chance. Over there they still have a lot of people devoting their lives on innovation, because to them, it is the right thing to do

    I have been to China and India. There is no religion of innovation over there any more than there is lack of it here in the US. There are a bunch of people who are working hard to find economic opportunities, just like here. A lot of the effort over there is largely aimed at copying industry from other parts of the world with the advantage of cheaper Chinese labor rates. Sure there are a few companies doing some pretty nifty new stuff, but their economy is in no way centered around innovation. Most of it is engaged in contract manufacturing for export. They don't design the products, the just make or copy them. Nothing (generally) wrong with that but China is not driving product innovation in any big way yet. One day maybe but not today.

  6. Re:Siri! What does Betteridge say about this? by pauljlucas · · Score: 3, Insightful

    Seriously, do you really think that Apple would allow one of its flagship technologies to be compromised by another company?

    Like Google did with Maps? Like Motorola did with the PowerPC? Like Microsoft did with Internet Explorer? Nah, Apple would never let things like that happen.

    --
    If you reply, do so only to what I explicitly wrote. If I didn't write it, don't assume or infer it.