Google Buys Motorola Mobility… Why?
I guess you have heard that Google is going to buy Motorola for $12.5 billion, and this deal has arisen many questions. Of course, this was surprising, and no one had expected Google and Motorola to come up with such an announcement. Let’s now try to analyze why these two companies decided to merge into one.
When Motorola was divided into two parts, Motorola Mobility and Motorola Solutions, all geeks thought it was done to regulate the company’s deals — one part will work on mobile phones, the other will provide communication products and services to customers. Now we have all reasons to think the agreement between Google and Motorola was decided earlier.
I have been digging the net looking for some real explanations or assumptions why Google wants to buy Motorola Mobility, and I met many ridiculous conjectures. But let’s leave them alone and direct our attention to more weighty ruminations.
According to one opinion, Google wants to enlarge its activity by launching its own handsets (I mean the Nexus series) and Motorola will give it this opportunity. But we have no idea whether it will be done under the name “Google” (or something else), or it will keep the Motorola branding.
The second conjecture alludes the financial results of Motorola. Thanks to the Droid line handsets, Motorola got its first revenue during the last years, but it doesn’t show sustainable progress now… For example, the company’s revenue dropped from $10.6 billion to $4.89 billion in Q3 of 2010. So the source says Motorola’s in an impasse. Generally, Motorola is not in a good situation at the moment, so this can be a possible version.
Another assumption is based on the fact that Motorola has about 17.000 patents, and Google is in a blockade by several companies, so these patents can help Google get out of this situation.
Finally, I guess all geeks thought about the Nexus Droid when heard about Motorola and Google merger. But unfortunately, we can’t be sure about it and we have to wait until this deal is closed by the end of 2011/beginning of 2012.
Category: News




















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