by Holly Shoemaker
On Tuesday, May 22, 2012, Google officially acquired Motorola Mobility for
$12.5 billion.
The acquisition is notable for Google. It is the company’s largest
transaction and helps the company change its image from a search-and-software
company to a consumer product’s maker.
Overview of the Acquisition
Google and Motorola first announced this deal in August 2011 and the news was
not without its critics. Antitrust commissions cited concerns that the combined
company would withhold patents from its competitors.
Google has confirmed that Motorola Mobility will operate as an independent subsidiary.
The completion of the acquisition now gives Google more than 17,000 patents,
with an additional 7,500 in the approval process.
Concluding Thoughts
Gaining additional patents will help Google with lawsuits, but the move is
not only patent related. Google already has to ensure it keeps good
business relationships with other smartphone manufacturers as the company has
deals with Samsung and HTC to design the new Nexus. Google understands other
company rely on its Android operating system.
In the end, the move reiterates the goal at the beginning – to move Google
beyond a search-and-software company. With the acquisition of Motorola
Mobility, Google, like Apple, has the ability to control software and hardware.
No comments:
Post a Comment