1

"Combining our analytics expertise with the experience and technology of Nuance, we can transform the way

that healthcare professionals accomplish everyday tasks by enabling them to work smarter and more

efficiently." -- Dr. John E. Kelly III, senior vice president and director of IBM Research

Emily Gedert

Frank Sowa

July 7, 2012

© Copyright 2012 All Rights Reserved.

should acquire

Team One:

2

Organizations that redefine their

value to meet the enormous rapid

changes, and great challenges

of the 21st Century ...

... that collaborate for better

outcomes ...

Will Succeed!

Where will you be?

Let’s Build a Smarter Planet!

Ideas for a Smarter Planet.

3

Every once in a while a revolutionary

concept comes along that changes

EVERYTHING!

These are ideas that change the world.

1968

Batch mode

to Time Sharing

1984

Mouse leads

Text to

GUI

1993

Hypertext leads

Networking to

World Wide Web

and Information

Searches

1999

IEEE 802.11a

Shift from wired

networks to

wireless

2004

Adoption of

Smartphones

and shift from

web to mobile

2012

Speech

Recognition

leads GUI to

VUI

Ideas for a Smarter Planet.

4

Ideas for a Smarter Planet.

End-to-End solutions Instrumented. Intelligent. Interconnected.

In this decade of smart, our concept of connectivity to our planet is undergoing

a monumental shift. No longer are we a global society connected by just an

Internet, today, the Internet of Things has surpassed the Internet of people.

The velocity of change is speeding up!

5

Create a Voice-driven user interface

(VUI) to build a better planet.

Ideas for a Smarter Planet.

Voice-driven health recording Voice-activated user interface

Voice-driven conferencing

Voice-driven search engines

IBM Power7

Voice-activated data core

6

Nuance Dragon Software and IBM Watson

Ideas for a Smarter Planet.

Dragon speech recognition software is

the ultimate voice-driven user interface

on the market today. It’s simple to use.

You talk, and it types, and it learns as

you go.

Dragon quickly and easily captures

thoughts and ideas -- and when

connected to IBM’s Watson Q&A

supercomputer, it is unparalleled in

how it can capture, data mine, and spit

out results in seconds.

This combination is so powerful, that in

three-seconds it can pan the entire

Encyclopedia Britannica for the right

answers. In three minutes it can scan

through the entire Library of Congress.

7

Nuance Communications Inc.

Income Revenues Operating Margins

8

The Competition

Both IBM and Nuance tout

that their leadership roles in

market dominance and in

intellectual properties in

their respective areas limit

competitors to only

companies large and diverse

enough to sustain a

competitive position.

Thus, their competition is

limited to top-tier leaders of

the industry.

9

Research & Development

Where is speech recognition going?

• 1956 -- “artificial intelligence” coined

• 1958 -- prediction “within 20 years,

machines capable of doing any work a man

could do”

• 1974 -- prediction wrong -- labor force

still 86% human (today 86% machines)

• 1987 -- “expert systems” whose intelligence

was derived by observation, revives AI

• 1996 -- AI shift to focus logistics, data

mining, business analytics, process

optimization, and medical diagnostics.

• 2007 -- Smart-AI new focus with shift from

object observation to sound and speech

recognition -- semantics and linguistics

By 2030, singularity -- machine capacity will exceed human capacity

(What will humans do?)

10

Growth Projections after acquisition:

The acquisition of Nuance

Communications will place

IBM at the forefront of the

voice-driven user interface,

and globally again in the

lead in research and

development in speech

recognition.

IBM will see a 400% increase

on its $6-8 billion purchase

price of Nuance.

11

Some of the Anticipated Risks: (SWOT Analysis)

Threats

12

To see more visit our website:

http://jimbandemily.com/MISST.html

Thank you for your consideration today:From the members of Team One

offices in pittsburgh, pa. and cleveland, oh.

13

Presentation Credits:

Logos, Copyrights, Trademarks, Service Marks Fair Use in Not-for-profit Classroom Presentation

Euribia Consulting LLC and their respective logos are trademarks of a fictitious company established by Team

One of the INFR-521-1 (June 2012) Muskingum University MISST graduate degree program. All work is the

original authorship of either Emily Gedert, or Frank Sowa and copyrights remain in tact -- Copyright © 2012.

All Rights.

This collection of works for INFR-521-1 constitutes Fair Use usage within Section 107 of the US Copyright Act.

All other distinctive site logos, marks and graphic elements on this, presentation, and within theWeb site,

and/or printed materials are trademarks of their respective organizations and are subject to applicable

copyright, and trademark protections. The authors herein warrant, promise, and guarantee that nothing within

this collection of works for INFR-521-1 shall be construed in any manner to violate an exclusive right granted

in Section 106 of the US Copyright Code, and usage falls within the protections granted under Title 17 of the

U.S. Copyright Act.

All other company, product, and service logos, marks and names may be trademarks or service marks of the

companies and organizations mentioned. All trademarks and registered trademarks are used to benefit,

without intent to infringe on, the holder of the mark. All material herein has been used as part of a classroom

activity at Muskingum University, summer of 2012, and is protected for its non-commercial use under the

statutes of Title 17, of the U.S. Copyright Act.

11