Microsoft Confirms Powerset Purchase

Microsoft confirmed that it has agreed to acquire Powerset Inc., a San Francisco-based developer of a natural language search engine. The news was originally reported last week by VentureBeat, which places the sale-price at around $100 million.

 

Powerset raised $12.5 million in Series A funding in late 2006, at a post-money valuation of $42.5 million. It has since raised another $4 million in convertible note financing. Backers included Foundation Capital, The Founders Fund and individual angels like Esther Dyson. www.powerset.com