Wireless world hears call of voice recognition software
Tue Mar 27 16:56:00 EST 2001
By Cyntia Barrera Diaz
NEW YORK, March 27 (Reuters) - Buying or dumping stocks
while driving to a ski resort? Looking for a map to guide you
to the nearest diner on your first visit to a new city? With
just one voice command on your cellphone?
The next generation of wireless infrastructure based on
voice recognition will bring more user-friendly applications to
every-day devices like cellphones and handheld computers on
what many are already dubbing the next Internet-like
revolution.
''All these devices (and) there's one clear problem: There's
no room for a keyboard in them,'' said Michael Phillips, chief
technology officer and co-founder of SpeechWorks International
Inc. (NASDAQ:SPWX), a leading maker of voice-recognition software,
in a recent interview with Reuters.
''Speech as an output and input modality makes a lot of
sense. The key is to use speech in conjunction with other
modalities at the same time: Speak and get a map, for example,''
he said.
THE SPOKEN WEB
Speechworks, with funding from the U.S. Defense Advanced
Research Projects Agency (DARPA), responsible for the
development of the principles of the Internet, has been working
on the research of speech-based multimodal access to content on
wireless devices over the last six months, Phillips said.
The company is currently working with Compaq Computer Corp.
(NYSE:CPQ), the No. 1 PC maker, on how to extend the capabilities
of its iPAQ pocket PC. SpeechWorks has also joined efforts with
Auvo Technologies and LOBBY7, both developers of software for
wireless Internet access.
''Before there's a widespread commercial adoption (of the
new technology) there may be commercial applications in more
limited areas, like a telematics device in a car,'' Phillips
said referring to the integration of in-car computer services
with satellite navigation and mobile phone networks.
''This new generation of wireless devices is going to start
to increase the interest and demand for speech as an
interphase,'' or communication vehicle between the user and his
or her PDA or cellphone, he added.
SpeechWorks is not alone in the race for developing the
fastest and easiest-to-use voice-operated technology that runs
over Internet-protocol.
PUTTING VOICE EVERYWHERE
Rival Nuance Communications Inc. (NASDAQ:NUAN) is also
developing new applications that will help companies get
tighter control of internal and external communications, as
well as to reduce costs.
Last week, Nuance announced an agreement with Cisco Systems
Inc. (NASDAQ:CSCO) that will incorporate its software into the
networking giant's AVVID products, expected to launch in the
second quarter of 2001.
AVVID -- short for architecture for voice, video and
integrated data -- provides companies with software for
Internet telephony, and network security control and
management.
''Think about the implications from the enterprise
perspective -- dial by voice, access voice mail without having
to touchstone, have access to portal services,'' said Steve
Ehrlich, Nuance's vice president of marketing.
''The speech recognition market is where the Internet was
maybe 12 years ago,'' he said. ''The growth potential is really
significant: at the minimum, what you are trying to do is to
replace every touchstone system out there.''
SOFT ECONOMY TONES DOWN IMPACT
Despite the promising future of this sophisticated
technology, analysts said it may be a while before this has a
strong impact on SpeechWorks and Nuance results, given the U.S.
economic slowdown that is leading technology companies to delay
investment decisions.
''Over time, voice will get layered by almost everything
that touches the Internet,'' said John Corcoran, an analyst with
CIBC World Markets. ''But in this economic environment ...
business is under pressure and the picture is uncertain.''
Nuance shares have recently been battered on the market.
Losses were particularly heavy two weeks ago after the Menlo
Park, Calif-based company warned of disappointing first-quarter
earnings. On March 16, Nuance set a fresh year-low, dragging
SpeechWorks lower in its fall.
''If it's raining, everyone gets a little wet,'' Corcoran
said. ''At the end of the day (voice-recognition wireless
access) will gain significant penetration. It's just that, with
the economy slowing, that adoption curve will take longer.''
SpeechWorks shares slipped 3/16, or 2.1 percent, to
$8-13/16 on Tuesday, more than 90 percent below its 52-week
high of $108-1/2. Nuance shares were off 43 cents, or 3.5
percent, at $12.01, also more than 90 percent off its year high
of $182.
