Google Now Owns Motorola Mobility: 10 Things It Should Do With It

 
 
By Don Reisinger  |  Posted 2012-05-22 Email Print this article Print
 
 
 
 
 
 
 

NEWS ANALYSIS: Google has officially purchased Motorola Mobility for $12.5 billion after a prolonged government antitrust review. But now that Google has the mobile firm, what should it do with it to get the most out its massive investment?

Now that Google has officially paid its $12.5 billion to take over Motorola Mobility the fun starts for the search giant. It can focus its efforts on improving Motorola Mobility, seeing once and for all what it€™s now taking over and hopefully find ways to unlock value that the company€™s former management just couldn€™t.

Moreover, Google can set out to justify to its shareholders why paying so much cash for a mobile firm really makes so much sense. It will be a challenge that should reveal how smart Google€™s top executives are as investors and managers.

However, as Google considers its plans for Motorola Mobility, the company must be careful. Leaving the mobile firm alone is, of course, not a good idea, but trying to do too much is also a mistake. At this point, Google must make decisions with scalpel-like precision to ensure that its shareholders don€™t end up questioning its acquisition. Five years from now, Google should endeavor to have its shareholders look back at the acquisition and say that it dramatically improved both Google and the mobile marketplace it€™s competing in.

Read on to find out what sort of things the search company should do with Motorola Mobility to unlock its value and justify its high price.

1. Deliver tablets

Although Motorola was one of the first Android vendors to deliver a tablet with its Xoom slate, the company hasn€™t made a mark in that space. The time has come for Google to help Motorola make that mark and deliver tablets. To not do so would be a mistake.

2. Distance itself to appeal to vendors

One of the biggest concerns regulators had with the acquisition is the possibility of Motorola and Google getting too close and hurting other Android vendors. The smart move for Google would be to maintain just the right amount of management distance between the companies and show that it€™s not giving Motorola any preferential treatment.

3. Remember patents

One of the main reasons Google acquired Motorola was to have access to its patent portfolio. With those patents, Google can do a much better job of protecting itself against Oracle, Apple and others and maybe even help its Android partners better defend themselves. It€™s a big opportunity for Google.

4. Think about Motorola€™s software prowess

Although Motorola was using Android in its handsets, the company was able to modify the operating system with its own software skins. Google should keep that in mind and do its best to take advantage of Motorola€™s software expertise. Who knows what its developers could come up with?



 
 
 
 
Don Reisinger is a freelance technology columnist. He started writing about technology for Ziff-Davis' Gearlog.com. Since then, he has written extremely popular columns for CNET.com, Computerworld, InformationWeek, and others. He has appeared numerous times on national television to share his expertise with viewers. You can follow his every move at http://twitter.com/donreisinger.
 
 
 
 
 
 
 

Submit a Comment

Loading Comments...
 
Manage your Newsletters: Login   Register My Newsletters























 
 
 
 
 
 
 
 
 
 
 
Rocket Fuel