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Frost & Sullivan Names ScanSoft Leader in Asia Pacific Speech Recognition Market for Second Year

PEABODY, Mass., and SYDNEY, Australia - For the second year running, Frost and Sullivan, an industry research firm, has recognized ScanSoft, Inc. as the market leader in the Asia Pacific speech recognition technology software market.  The SpeechWorks Division of ScanSoft represented 37.6 percent of the Asia Pacific market in 2003, a 7.2 percent increase from its leading position in 2002, according to Frost and Sullivan's annual Asia Pacific Interaction CRM Market report. "ScanSoft remains the top vendor for network-based speech recognition solutions," said Audrey William, Industry Manager of Frost and Sullivan Technology Practice (Asia Pacific).  "Speech technology has been gaining momentum and acceptance in markets where labour costs are relatively high, such as Australia, Hong Kong, Japan, New Zealand and South Korea.  These markets have a compelling case for the adoption of network-based automatic speech recognition solutions.  Businesses that have not taken up speech technology will feel competitive pressures to do so over the next 12 months as challengers start seeing cost savings and competitive advantages by rolling out these projects."

According to Frost and Sullivan, the Asia Pacific Speech market, still at its nascent stages of development, is worth US$7.1 million in 2003 Automatic Speech Recognition (ASR) license revenues with a compound annual growth rate (CAGR) of 34.0 percent throughout the forecast period (2003 - 2010)[1].  Financial services and telecommunications carriers are likely to represent the largest growth potential.  Government, healthcare and the travel sectors are also likely to gain momentum across the region.

The report predicts that demand for speech recognition solutions is likely to increase rapidly around 2005 and 2006 due to the improving investment climate and a growing recognition of the value proposition of speech technologies.



[1] Market sizing in the Asia Pacific iCRM Report (May 2004) looks at product license revenues only. All other revenues associated with professional services, integration and maintenance are excluded from the study.

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