Monday, 15 August 2011

Google Goes Soup-To-Nuts On Android With Bid For Motorola

Google’s surprise $12.5 billion bid for Motorola Mobility this morning is a bold attempt to move the needle for Google on several fronts. Google is going all in, dipping into its $39 billion of cash to make its biggest acquisition ever. The deal signals that mobile will be one of Google’s main growth drivers and that growth will come from entering new markets, specifically mobile hardware. With the acquisition, Google gains a portfolio of 17,000 patents and another 7,000 patents pending globally, an area where it is a currently a laggard. But more than anything, it signals how crucial it is for Google to control the Android experience from soup to nuts.
There may now be 150 million Android phones and phones running the Android operating system command the largest smartphone market share, but Android the most popular single smartphone by far is still the iPhone. Buying Motorola is an acknowledgement on Google’s part that it must control the experience from software to hardware if it hopes to unseat Apple. → Read More

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