Enterprise Mobility: Google`s Bid for Motorola Mobility: 10 Implications for the Future

By Clint Boulton  |  Posted 2011-08-15 Print this article Print
Google Finally Opens Its War Chest

Google Finally Opens Its War Chest

Google has acquired dozens of companies over the last two years, and perhaps 100 over its lifetime, but never has it shelled out so much cash. The $12.5 billion bid represents roughly 30 percent of Google's current cash and securities total. It's a bold move, akin to what most analysts might have expected from Apple.
Google Aug. 15 stunned the world by agreeing to purchase Motorola Mobility for $12.5 billion in cash. Google is tapping into its $39 billion in cash reserves to acquire the first phone maker to strongly support Google's Android mobile operating system. Android has been besieged on all sides by Apple, Microsoft and others with stakes in the smartphone market. Apple and Microsoft have both sued Motorola for patent infringement, claiming the OEM's smartphone designs and features mimic technology they patented. Motorola has a multitude of its own patents under its belt. While acquiring Motorola's patents may not help Google with the existing suits, it could deter future Android lawsuits. Google CEO Larry Page summed it up best in a blog post: "We recently explained how companies including Microsoft and Apple are banding together in anti-competitive patent attacks on Android. ... 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." In this slide show, eWEEK walks readers through other significant details about the implications of this deal to Google, Motorola and the mobile industry.

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