Nortel has acquired DiamondWare, a provider of high-definition, proximity-based 3D positional voice technology, for $10 million.

Long used in gaming environments and in U.S. military tactical intercom systems, DiamondWare’s technology uses wideband, stereo capability and custom spatial positioning to create real-time interactions in 3D virtual worlds and meetings, online gaming systems and multimedia applications.

For example, if several people in a meeting are speaking at the same time, DiamondWare’s technology allows each individual to hear other participants in relation to how far away they are in the virtual space. Participants also can engage in private conversations.

Nortel will use the technology in its carrier and enterprise portfolios to enhance its multimedia, voice conferencing and VoIP solutions.

It’ll also be used in advanced research projects that are part of Nortel’s Incubation Program such as “web.alive.” The project is a 3D Web networking solution that allows users to socialize and conduct business in a virtual environment with life-like visual and audio features, within the security of their own corporate networks.