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L&H finalizes Fonix purchase
L&H finalizes Fonix purchaseConsolidation continues in the speech-recognition sector. Lernout & Hauspie Speech Products has completed its acquisition of the Healthcare Solutions Group of fellow speech recognition firm Fonix, which has
L&H finalizes Fonix purchase
Consolidation continues in the speech-recognition sector. Lernout & Hauspie Speech Products has completed its acquisition of the Healthcare Solutions Group of fellow speech recognition firm Fonix, which has now exited the healthcare market. The deal combines Fonixs customer base, sales and marketing staff, and PowerScribe Radiology and Emergency Medicine speech-recognition products with L&H, which also features department-oriented medical-dictation products.
L&H paid $24 million for the Fonix business, plus future payments of up to $4 million over two years, based on performance. Fonixs Healthcare Solutions Group was formed last year following the companys acquisition of Articulate Systems and the PowerScribe business unit of the MRC Group (PNN 10/98).
Some 40 employees from Fonix are expected to become part of the L&H Healthcare Solutions Group, which will remain in Burlington, MA. Articulate Systems founder Ivan Mimica will assume the role of group vice president of Healthcare Solutions at L&H and will report to Anatoly Tikhman, president of L&Hs Speech and Language Applications division.
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