Apple Inc. (NASDAQ:AAPL) is rumored to be in discussions with Nuance about a deal that involves bringing advanced voice recognition abilities to iOS 5. Nuance is already direct partner with Apple subsidiary Siri. And Apple has been in negotiations for either acquiring Nuance completely or forming a partnership.
For what Apple is trying to pull off in iOS 5, it makes sense to either acquire Nuance or hire voice recognition software expects. However Nuance has patents that are related to voice recognition and they aren’t afraid to file lawsuits if necessary to protect them.
The problem with acquiring Nuance is that Apple would have to pay top dollar. Nuance is a public company that has a market cap of about $6 billion.