Google Acquires Motorola Mobility
Wednesday, August 17, 2011
Google announced that it is acquiring Motorola Mobility. The search and online advertising company is buying the company for approximately $12.5 billion, in cash. Here’s the other important part of the press release (the why, and what happens to Android now):
The acquisition of Motorola Mobility, a dedicated Android partner, will enable Google to supercharge the Android ecosystem and will enhance competition in mobile computing. Motorola Mobility will remain a licensee of Android and Android will remain open. Google will run Motorola Mobility as a separate business.
Google co-founder and CEO Larry Page writes that Google has acquired Motorola not only because of its strength in Android smartphones and devices, but also for being a “market leader in the home devices and video solutions business.” It’s also a move to build up the company’s patent portfolio, he adds, as it will “enable us to better protect Android from anti-competitive threats from Microsoft, Apple and other companies”.
According to Motorola Mobility’s website, the company holds approximately 14,600 granted patents and 6,700 pending patent applications, worldwide, as of January 2011. Big question now is: how will HTC, LG, Samsung, Sony Ericsson, Acer, Lenovo and other Android device makers respond to this news?