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Google to buy Motorola

Google has bought Motorola Mobility, for $12.5bn -- about £7.6bn. Mobility is the part of Motorola that makes phones. Google says the acquisition will "supercharge" Android.

Motorola is certainly no stranger to Google's mobile OS. It's the company behind devices such as the Motorola Milestone and the first Honeycomb tablet, the Motorola Xoom. So the purchase does make a degree of sense.

Breaking the news in a blog post, Google CEO Larry Page said, "Together, we will create amazing user experiences that supercharge the entire Android ecosystem for the benefit of consumers, partners and developers everywhere."

Sounds adorable. But Motorola has never actually made a truly must-have Android gadget -- could there be another reason behind Google buying Motorola Mobility?

Patent palava 

Google's Android operating system has recently come under attack from other companies such as Apple, which claims the robot-powered OS infringes on its patents. As Page notes in his blog post, in acquiring Motorola, Google will add a whole slew of patents to its roster, giving it legal ammunition in the fight against Android's enemies.

"This acquisition is primarily about acquiring Motorola's sizeable patent portfolio," reckons Nick Dillon, devices and platforms analyst at Ovum.

"The move raises concerns for Android handset manufacturers," Dillon adds, "as the acquisition will mean that Google will move from being a software provider to become a hardware vendor."

Android rift?

That means Google will likely be pushing out products that are in direct competition with its Android partners -- companies such as Samsung and LG. "If Google provides preferential access to the Android code to its own hardware division, this would place other vendors at a disadvantage and may lead them to question their commitment to the platform, potentially pushing some towards other platforms," Dillon said.

In other words, if Motorola is seen to get too much special treatment from Google, it could cause a rift among companies that build Android devices.

Google has gone as far as collecting quotes from the CEOs of Android-lovin' companies to show that there's no ill feeling harboured. HTC CEO Peter Chou said the acquisition "demonstrates that Google is deeply committed to defending Android, its partners, and the entire ecosystem". Big cheeses from other companies echoed the sentiment.

The purchase, which is likely to be completed by the end of 2011 or early 2012, means we may see Google-branded Android phones and tablets built by Motorola coming out before too long. That has happened before -- the Google Nexus One was built by HTC, and the Nexus S was constructed by Samsung.

What are your thoughts? Let us know what you think of the purchase and what it means for other companies in the comments below, or on our Facebook page.

Comments 10

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Green's avatar

Green 15 August, 2011 13:09

"Supercharge" presumably meaning dramatically increase Google's relative market share on paper by buying out a competitor.

Anonymous's avatar

Anonymous 15 August, 2011 13:44

Stick that up yer bum Steve Jobs!

Tom Carter's avatar

Tom Carter 15 August, 2011 13:59

We live in the time of the super-corperation.

Anonymous's avatar

Anonymous 15 August, 2011 14:46

The Android Will Squish the Apple into Cider

Anonymous's avatar

Anonymous 15 August, 2011 14:47

Did Google buy Motorola to get its patents or was it worried about Windows?

Jha candidly said that Motorola is "completely open to the notion of Windows as a platform," despite the fact that all of the company's focus is currently on Android. Android is "the ecosystem that we're proud to be a part of," he said.

"We're not leading the charge with Windows 8, but as we become comfortable that that's a viable ecosystem...we might consider it," Jha said.

The executive added that getting the same kind of preferential treatment and deal that Nokia would strengthen his company's interest. "If our position could be made to be somewhat equivalent [to that of Nokia], that would be an interesting option for us to consider."

Anonymous's avatar

Anonymous 15 August, 2011 14:51

Google offered statements from the heads of HTC, Sony and LG welcoming the deal, but Samsung's congratulations were notably absent?

ace9988's avatar

ace9988 15 August, 2011 16:22

Atleast now google can deliver phones from motorola that would be open to developers rather than locked and the key thrown away...as with the atrix and droid x have been in the past (before they got rooted...which was VERY difficult)

Nick Hide's avatar

Nick Hide 15 August, 2011 18:10

@Anonymous 15 August, 2011 14:51 - Google's quotes page has been updated with one from Samsung. Surprisingly, it also "welcomed Google’s deep commitment to defending Android".

ace9988's avatar

ace9988 15 August, 2011 18:12

interesting how nokia shares jumped up with the news of this.... fueling the rumours that nokia would be taken over by microsoft.

Ian Lorenc's avatar

Ian Lorenc 16 August, 2011 06:52

I'll be very surprised if we make it to the end of the year, without Nokia being gobbled up.

I'm still wondering how this will work. Will Moto now produce Google branded handsets only, Google branded alongside Moto or exclusively Moto still with preferential priviliges?

I can see Samsung and HTC being relatively non-plussed, but LG and some of the emerging manufacturers? I'm not sure.

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