Microsoft and Cerence Collaborate on Voice-Activated Work Assistant for Vehicles

Cerence and Microsoft are teaming up to create a voice-first work assistant for cars. The partnership aims to bring advanced AI technology to the automotive industry, enhancing the user experience and providing seamless integration between the vehicle and other devices. The collaboration combines Cerence's expertise in automotive AI with Microsoft's cloud-based technology and software applications. The joint effort is expected to revolutionize the way people interact with their cars, making it easier and more efficient to access information and control various vehicle functions.

Cerence Inc. (NASDAQ: CRNC) and Microsoft are partnering to develop a voice-first mobile work AI agent that integrates with Microsoft 365 Copilot, aiming to enhance automotive user experiences. The collaboration combines Cerence's expertise in automotive AI with Microsoft's cloud-based technology and software applications.

The AI agent, running on Cerence xUI™, will enable hands-free access to Microsoft 365 services such as Teams, Outlook, and OneNote through voice commands. This integration is designed to minimize driver distraction by providing a seamless and context-aware user experience. The agent will adapt its functionality based on whether the user is driving, riding in an autonomous vehicle, or parked, thereby reducing the need for manual input and visual engagement.

Cerence AI has been working with Microsoft since early 2024 to deliver automotive-grade implementations to millions of vehicles. The collaboration has already benefited automotive OEMs like Renault, Volkswagen, Audi, Cupra, Seat, and Skoda. Cerence AI has developed and optimized CaLLM™ Edge, an automotive-grade, embedded small language model (SLM), in collaboration with Microsoft. This model leverages Microsoft's Phi-3 family of SLMs and Cerence's extensive automotive dataset to handle various automotive use cases.

The new mobile work AI agent addresses the increasing prevalence of distracted driving, which is linked to slower reaction times and increased accidents. By enabling professionals to manage their days while on the move, the agent helps maintain driver safety. The integration with Microsoft Intune will turn the car into a managed, trusted device, providing compliant access to enterprise tools in the Microsoft 365 suite.

The collaboration is expected to create a premium, loyalty-building differentiator for automakers, allowing them to scale the Microsoft 365 Copilot experience across vehicle tiers and target markets. Cerence's flexible xUI platform is designed to support a wide range of vehicle segments and OEM architectures, making the agent suitable for both premium flagships and mass-market platforms.

Cerence AI and Microsoft will showcase the mobile work AI agent at IAA Mobility 2025 in Munich, Germany, from September 8 to 10. The event will feature a panel discussion titled "What you Really, Really Want? New Ways in Customer Centricity" on September 9.

For more information about Cerence AI, visit [1] https://www.stocktitan.net/news/CRNC/cerence-ai-develops-mobile-work-ai-agent-integrating-microsoft-365-f0roj5pkcnrd.html and follow the company on LinkedIn.

References:
1. [1] https://www.stocktitan.net/news/CRNC/cerence-ai-develops-mobile-work-ai-agent-integrating-microsoft-365-f0roj5pkcnrd.html
2. [2] https://www.marketscreener.com/news/cerence-ai-develops-mobile-work-ai-agent-integrating-microsoft-365-copilot-into-cars-to-enable-safe-ce7d59dedb8af525