SoundHound AI (NASDAQ: SOUN) shares were strong last week after the company announced robust second-quarter revenue growth and an important deal.

While SoundHound reported strong Q2 results, the news was overshadowed by the acquisition the company announced ahead of its earnings release. It will acquire enterprise artificial intelligence (AI) software company Amelia for $80 million in cash and equity, as well as the assumption of Amelia's debt and future earn-outs if certain revenue milestones are met.

Amelia is known for its conversational and generative AI platform that helps with customer service, employee onboarding, and back-office tasks. The acquisition will help SoundHound move into other industry verticals such as financial institutions, insurance, retail, and healthcare. The company said the deal will also unlock a lot of new cross-selling and upselling opportunities, as well as new avenues for monetization.

Continue reading

Source Fool.com