Google Buys Motorola Mobility, $12B Deal

The search gaint Google is now heading towards telecommunications hardware business. Google Inc. is buying the Motorola Mobility company for approximately $12.5 billion in cash. The deal was announced today morning in Google press release.

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 CEO wrote in a blog saying it will "supercharge the android ecosystem". But, he clarified, Android will remain open. Market reasearchers says 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.

"Our acquisition of Motorola will increase competition by strengthening Google's patent portfolio, which will enable us to better protect Android from anti-competitive threats from Microsoft, Apple and other companies," said Page.

Motorola has a history of over 80 years of innovation in communications technology and products. It is the company with the honour of introduction of the world's first portable cell phone nearly 30 years ago. 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.

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Google Press release




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