Software Paraphrases Sentences: Microsoft tried something similar to this with their AutoSummarize feature in Word.
Cornell University researchers have tapped a pair of unlike sources—on-line journalism and computational biology — to make it possible to automatically paraphrase whole sentences. The researchers used gene comparison techniques to identify word patterns from different news sources describing the same event.
AutoSummarize, incidentally, has been a legendary failure. There are some funny examples out there of how badly it worked.