In the August of 2011, Google and Motorola made technological headlines around the world. Google, one of the most dominant forces in the mobile OS sector, bought Motorola Mobility, a mobile phone manufacturer, for 12.5 billion dollars in stock and cash. Motorola had already been using Google’s ‘Android’ operating system before, but now, Google plans to make Motorola a dedicated Android partner. In my point of view, this is an excellent transaction by both companies. Motorola was faltering and losing market share to its competitors. By having Google buy them out, it allows them to be connected and to be integrated with one of the most popular mobile OSes on the market. Google, on the other hand, were facing patent lawsuits and by buying Motorola, it significantly strengthened it’s IP portfolio. However, Google’s other android partners cannot be pleased. Google partners with a number of other manufacturers so that they load Google’s OS onto their phones. By having Google buy Motorola, this is a threat to the manufacturers’ future strategy as Google may give Motorola additional benefits over its competitors or have Motorola release the best and brightest. In general, this acquisition engages Motorola and Google in a beneficial, mutualistic relationship.
http://www.engadget.com/2011/08/15/google-acquiring-motorola-mobility/
http://news.cnet.com/8301-19882_3-20092679-250/google-motorola-patents-of-mass-destruction/
http://www.techbucket.org/2011/09/google-gets-motorola-mobility.html