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Technology Stocks : e.Digital Corporation(EDIG) - Embedded Digital Technology -- Ignore unavailable to you. Want to Upgrade?

To: Walter Morton who wrote (4371)	5/19/1999 5:53:00 PM
From: Savant	Respond to of 18366

Medical transcription market news. This release indicates it is a $6 billion market in its own right. Even a portion of that could be significant. Intel has a stake in LHSP and so does MSFT. Intel of course has dealings with EDIG also. Excerpt... Lernout & Hauspie (NASDAQ:LHSP) (EASDAQ:LHSP) (L&H(tm)) announced today that it has signed an agreement to acquire substantially all the assets of the Fonix Healthcare Solutions Group (Articulate Systems) (NASDAQ:FONX). The move is expected to make L&H the leading provider of speech and language technology solutions to the medical market. The additional product offerings and resources obtained from this acquisition will allow L&H to expand its continuous speech product offerings from departmental-oriented solutions to those that address the total healthcare enterprise. The agreement will add the award-winning PowerScribe(R) Radiology and Emergency Medicine systems, its blue-chip customer base and its sales, marketing, client services and development staff to L&H's Industry Solutions Group. The acquisition calls for L&H to purchase the Fonix division for $24 million in cash, with an additional $4 million earn-out spread over two years based upon performance. L&H expects the transaction to be slightly dilutive for 1999 and accretive in the year 2000. The acquisition by L&H, a worldwide market leader in speech and linguistic technologies, products and services, is subject to approval of Fonix's stockholders. The transaction is expected to close by July 30, 1999. According to L&H executives, there is significant synergy between the two companies' healthcare offerings. PowerScribe and the L&H Clinical Reporter products use different, but complementary approaches to reduce costs and improve productivity for medical market reporting and billing practices. Additionally, the approach used by PowerScribe can be very easily localized, allowing L&H to leverage its expertise to quickly develop different language versions of the product for International deployment. L&H believes that by combining the two product approaches and applying its localization expertise, it can create a new solution that addresses the needs of the total healthcare enterprise, worldwide. "The combination of L&H Clinical Reporter, L&H Voice Xpress(tm) for Medicine and PowerScribe gives L&H a leading position in the radiology market and a winning solution that can reduce transcription costs for today's healthcare organizations," said Gaston Bastiaens, president and CEO of L&H. "According to industry analysts, medical transcription is a $6 billion market, representing one of the largest opportunities for speech applications today. Based on the strengths of our solutions and the clear market need to reduce costs, we believe L&H is in an ideal position to successfully target this opportunity and become the undisputed leader." Best, Savant