Friday, February 14, 2014

Google & Motorola: A Match in Heaven

Google, a stalwart since it first was established, bought Motorola in August of 2011. The acquisition cost Google a cool $12.5 billion dollars and allowed Google to have access to all of Motorola's strengths - including its mobile technology, its patents, and a wide variety of other proprietary technology. This deal for Google was a right one as it strengthened its mobile technology, which is seen as competition to the technology of other tech stalwarts, Apple and Microsoft. In addition to buffering their own operating system and mobile technology, the purchase gave Google the rights to all of Motorola's  intellectual property, one that rivals the acquisition that companies Apple and Microsoft did for Nortel's patents.

Many people argue that the reason for buying Motorola was to retain the expansive intellectual property patents that had been acquired by Motorola through the years. This gave Google significant power in the patent war against Microsoft and Apple, companies who have also been arming themselves in the wake of impending patent war litigation. The estimated amount of patents that Motorola had acquired was close to around 17,000, which fairs nicely in comparison to the amount that Apple and Microsoft acquired through the Nortel deal. Although this deal seems to put Google in good standing, there are also tensions that emerged as a result of this with Samsung. This is due to the fact that Samsung, a company which employs Google's OS saw the acquisition of Motorola as a competitor to themselves.

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