May 21, 2012

Google Plans To Acquire Motorola Mobility

Google + Motorola Mobility
The mobile wars continue.  Google in and of itself an empire.  It is the dominate search engine over Yahoo and Bing.  Google has many extensions of their company from Google PayPass, AdWords, Ad Sense, Offers, and they are even in the mobile market with their Android phones.  Their recent purchase of the Android Market was the talk of the internet when Android users couldn't find their Android Market (because Google changed it to "Google Play").  So what is next for Google?

In order for Google to gain a competitive advantage in the mobile marketplace, it definitely needs to figure out how to out smart Apple.  Apple has had incredible success with its line of iPhones and with its upcoming release of the iPhone 5, Google needs to come up with a plan and fast.  Well, Google planned to acquire Motorola Mobility roughly 9 months ago and the Chinese government decided to "sleep on it."  And, after "sleeping on it" for 9 months, they decided to give Google the go-ahead on the acquisition.  

Google is willing to shell out a total of 12.5 billion dollars for Motorola Mobility, but not for their phones.  Google wants the 17,000 "treasure trove" of patents, says Mashable. May say that this merger will significantly improve Google's competitive advantage and their ability to compete with Apple.  They will be able to utilize any or all of these patents after the acquisition.  What does this mean for Apple?  Should they watch out or is Apple already leaps and bounds ahead of Google?

No comments:

Post a Comment