| BY THE APPLE GIRL
Last week, Google acquired Motorola Mobility division for $12.5 billion or $40 per share (when Motorola shares were going at $28). Recently Google has been crying about losing out on the Nortel patent auction to Microsoft and Apple, who won the patents for $4.5 billion and raised the barrier to entry into the mobile market.
With Apple and Microsoft already suing Android phone manufacturers already, the Google’s Nortel patent loss is a harbinger of only more suing to ensue. Google had to do something to combat this and made a gutsy move to invest $12.5 billion in cash to buy Motorola Mobility.
The Motorola acquisition brings with it 19,000 employees, revenue of $11 billion and assets of $6 billion. More importantly, Google now owns 17,000 patents and an additional $7,500 filed patent applications.
Maybe Google will learn how to integrate a certain hardware with its Android software and copy Apple’s path to success 😛 Maybe Google will only cling on to Motorola software engineering and not the hardware branch. It’s also possible that other Android hardware manufacturers feel alienated with Google now owning a hardware division.
In any case, S&P has downgraded Google believing the purchase to be a bad move for Google. A lot of speculation, I would hate it if Apple lost a competitor! 😛
| BY THE GOOGLE CHIC
It’s a gutsy move by Google for sure to acquire a hardware company but I think it’s a smart move! Forget S&P’s downgrade of Google. With the moves they’re making these days Moody seems more reliable to me 🙂
One thing that I’ve always said about Apple products is that their hardware is slick. Hopefully, Google can now get innovative and come up with slick designs to give Apple a run for their money!
I do have to agree with AppleGirl on one point ;P. A smart move that Google made by acquiring Motorola is that Google acquired all of Motorola’s patents which I’m sure will be useful in the future.
As for all the other manufacturers out there currently producing Android devices, I think this will be good motivation for them to step up their game. Personally, I think Samsung doesn’t need the motivation since they have some of the best devices out there like the Samsung Tab 10.1 and the Samsung Galaxy S II 🙂