Google Buys ‘Android Partner’ Motorola For $12.5 Billion Options

[Charcoal]

What -the-wah?

From TechCrunch:

Google just announced that it is acquiring Motorola Mobility. The search and online advertising company is buying the company for approximately $12.5 billion (or $40 per share), in cash.

Here’s the other important part of the press statement (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.

In a blog post, 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”.

Crazy insane move, IMHO.
Will be interesting to see what comes out of it.

I think it'll be very telling of where Google is headed in the future in regards to the rest of it's business.
Will they still try to be an innovative company, or start to become more cautious? (as it seems they might have lately)

[robzy]

That seems to suggest that Oracle hasn't scared Google away from Android.

Rob.

[Mac Dude]

That seems to suggest that Oracle hasn't scared Google away from Android.

Rob.

Though they are trying to hide the evidence ;)

Oh, and an interesting story on Motorola

This post has been edited by Mac Dude: Aug 15 2011, 10:05 PM

[smadge1]

Official Google Blog
http://googleblog.blogspot.com/2011/08/sup...to-acquire.html

[The Fuzz damn yo...]

Just saw this myself. Hell of a thing -- Google's finally getting into hardware. Can't wait to see how Android vs iPhone shapes up over the next couple of years. Google clearly wants more control over how their OS is deployed, and this will let them dictate which features get picked up in the market. With one dedicated hardware platform to drive areas of focus, other manufacturers may well be forced to keep pace.

As for Google becoming more conservative: they should be. An interesting article here about wartime/peacetime CEOs (and, by extension, companies) that specifically references Google: http://www.businessinsider.com/peacetime-c...time-ceo-2011-4

[.:Cyb3rGlitch:.]

First thing they need to do is get their own designers in there, Motorola phones tend to be large and ugly.

[.:Cyb3rGlitch:.]

Anyone here with stock in Motorola? Wanna shout us drinks?

[Virtuoso]

This puts a Google subsidiary in direct competition with the other hardware vendors who support Android. Those other hardware vendors will be concerned - and potentially thinking twice - about their future support/reliance on Android. They will realise that Motorola will have inside knowledge of new Android features and be able to bring those features to market ahead of them. They will seriously think about diversifying away from Android in order not to get caught in total reliance on a company they're now competing with. That will in turn potentially weaken the ecosystem around the Android operating system.

Even putting that aside, I'm not convinced this is a smart business move for Google. The consumer hardware business is tough, and completely outside their experience. It requires totally different skills in manufacturing and distribution ... things which couldn't be more different to their centrally operated search/advertising business.

For a company which is already pulling itself in a hundred directions at once, I think Google are biting off more than they will be able to chew, while pissing off a part of the very ecosystem which Android relies on for expansion and success.

This post has been edited by Virtuoso: Aug 16 2011, 04:31 AM

[Periander]

Probably a bad business decision; but I do want whatever they come up with...

[A Hitman]

How many patents do Motorola Mobility own?
That's the only reason I can see for this move.

EDIT: Answered my own question http://www.thestreet.com/story/11205479/1/...y-vs-apple.html

This post has been edited by A Hitman: Aug 16 2011, 06:49 AM

[twinair]

First thing they need to do is get their own designers in there, Motorola phones tend to be large and ugly.

You going to move this to the right section, or just sit there with your feet up and your finger in your bottom?

[.:Cyb3rGlitch:.]

First thing they need to do is get their own designers in there, Motorola phones tend to be large and ugly.

You going to move this to the right section, or just sit there with your feet up and your finger in your bottom?

I see your vast intellect has yet to consider the report button.

This puts a Google subsidiary in direct competition with the other hardware vendors who support Android. Those other hardware vendors will be concerned - and potentially thinking twice - about their future support/reliance on Android. They will realise that Motorola will have inside knowledge of new Android features and be able to bring those features to market ahead of them. They will seriously think about diversifying away from Android in order not to get caught in total reliance on a company they're now competing with. That will in turn potentially weaken the ecosystem around the Android operating system.

I'm willing to bet $50 that this decision has no negative effect on their major partners. Google bought Motorola for their patents so they could directly intervene in legal issues of their partners. Motorola was the best decision for this, because:

1. They weren't playing nice with the other Android vendors
2. They have a lot of patents
3. They're the only all-Android manufacturer (Samsung and HTC also make WP7 phones, which no one really buys)

Even if they decide to move elsewhere, where do they go? The failing WP7 which is funded by Android licences? Back to Symbian? Bada OS?

[twinair]

First thing they need to do is get their own designers in there, Motorola phones tend to be large and ugly.

You going to move this to the right section, or just sit there with your feet up and your finger in your bottom?

I see your vast intellect has yet to consider the report button.

You posted this thread, then locked it, because there was already one in the green room.
I apologise for assuming that as a mod, you would know better.

[A Hitman]

Even if they decide to move elsewhere, where do they go? The failing WP7 which is funded by Android licences? Back to Symbian? Bada OS?

How about MeeGo?
And I don't see WP7 going anywhere, any time soon at least.

[smadge1]

WP7 could have been a hit if they introduced all the touted features upon release...

[TinBane]

WP7 could have been a hit if they introduced all the touted features upon release...

And didn't try and shoe-horn people into using silverlight for native applications?

And didn't run ads touting features that have been on android and iOS phones for yonks.

[mark84]

Even if they decide to move elsewhere, where do they go? The failing WP7 which is funded by Android licences? Back to Symbian? Bada OS?

webOS?

Google have been on a bit of an IP purchasing run of late haven't they? I would've thought this purchase is primarily to secure themselves in the mobile market against everyone suing each other.

[twinair]

How many patents do Motorola Mobility own?
That's the only reason I can see for this move.

EDIT: Answered my own question http://www.thestreet.com/story/11205479/1/...y-vs-apple.html

Bingo.

It's about world domination....part of Google's 300 year business plan.

[.:Cyb3rGlitch:.]

First thing they need to do is get their own designers in there, Motorola phones tend to be large and ugly.

You going to move this to the right section, or just sit there with your feet up and your finger in your bottom?

I see your vast intellect has yet to consider the report button.

You posted this thread, then locked it, because there was already one in the green room.
I apologise for assuming that as a mod, you would know better.

Believe it or not, moderators can get distracted too.

This post has been edited by .:Cyb3rGlitch:.: Aug 16 2011, 01:03 PM

[twinair]

First thing they need to do is get their own designers in there, Motorola phones tend to be large and ugly.

You going to move this to the right section, or just sit there with your feet up and your finger in your bottom?

I see your vast intellect has yet to consider the report button.

You posted this thread, then locked it, because there was already one in the green room.
I apologise for assuming that as a mod, you would know better.

Believe it or not, moderators can get distracted too.

So who's the intellectually handicapped one?