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Russian (RU) Lawrence Nga, The Motley Fool
Sun, Jul 6, 2025, 11:10 AM 6 min read
In This Article:
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SoundHound AI offers integrated and proprietary AI solutions for more than 25 languages.
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It has huge global opportunities in the automotive and restaurant sectors.
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It is diversifying into other industries with different monetisation strategies.
SoundHound AI (NASDAQ: SOUN) might not enjoy the same hype as Nvidia or Palantir in the stock market, but this mid-cap voice AI company is quietly expanding its footprint across the globe. In doing so, it may be building something far bigger than most investors currently realize.
While SoundHound AI is best known for powering restaurant drive-thrus and car infotainment systems, there's far more to its growth story. From Asia to Latin America, it's tapping into one of the most significant, overlooked opportunities in AI: the shift to voice as the primary human-machine interface.
Among the most powerful yet underrated assets SoundHound AI has are its integrated and proprietary solutions for more than 25 languages. That's more than just a technical feat. In global markets, offering a voice AI interface that functions properly in native languages is a must-have. English-only won't cut it.
As companies continue to integrate AI into new physical systems, from vehicles to smart appliances, the ability to manage local language and cultural nuances will become a significant competitive advantage. That's precisely why SoundHound has been winning new contracts and partnerships.
In the first quarter of 2025, it partnered with Chinese tech giant Tencent to expand its footprint in the global auto market, building on its existing relationships in the industry with manufacturers such as Hyundai, Kia, Stellantis, and Samsung's Harman division.
SoundHound AI also renewed contracts with two Japanese multinational companies that offer services across numerous industries, and it signed a deal to provide a major Latin American resort developer with an AI agent concierge.
These partnerships point to something bigger: Demand for AI-powered voice interfaces isn't limited to the U.S. It's a global trend, and SoundHound AI is emerging as a leader in the space.
SoundHound AI's most significant and obvious opportunity lies in the global automotive industry, and it's not hard to see why. In 2024, new light vehicle sales reached 88 million units globally, and this number is expected to increase to 95 million by 2028. Automakers are racing to make vehicles more connected, voice-enabled, and intelligent -- and SoundHound AI is right at the center of that transition.
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