Big news today in the world of Android and mobile devices in general. If you are just waking up and are reading the morning news while drinking some coffee to wake them then you probably run into this story about 50 times already. In case you haven’t though, Google has just acquired Motorola Mobile for $12.5 billion.
This is a huge deal regardless of the price Google is paying for it because this will greatly strengthen Android and Google with the some odd 17,000 patents Motorola Mobile has currently in their portfolio. With this acquisition, Google now will have all these patents under their belt. Patents are a big deal especially as of late considering the recent back and forth bantering between Google and rivals Mcrosoft/Apple/Oracle who attempted to team up and buy the Nortell patents before Google could do so.
Aside from the whole patent issue though, we could see some big chances to Motorola Android devices such as no more Motoblur user interface. Even though it has improved since it’s first appearance, it is still greatly disliked by most Android users who have a Motorola device. Another big change we could end up seeing is more Motorola devices with unlocked bootloaders. However, there will be a few things that won’t change.
Google will not be making all future Nexus devices come from Motorola. They will still be a ‘competition’ between all manufacturers so we will still see the Nexus line of devices come from different makers. This is great news as well considering the Nexus line has always been a more ‘showcase’ kind of line. Google will also continue to keep Android open even though they are technically now a device manufacturer, Google will still license out Android and any manufacturer interested in making Android devices.
This story is still developing and even though during most of the conference calls most news sites are having right now with the Google team, the biggest question being asked is about patents. However as more information comes to light we will be updating this post. You can check out the official Google Blog linked below for more details as well as the press release also located below. So what changes would you like to see with Motorola Android devices now that Google has their hands on them?
Google to Acquire Motorola Mobility
Combination will Supercharge Android, Enhance Competition, and Offer Wonderful User Experiences
MOUNTAIN VIEW, Calif. & LIBERTYVILLE, Ill. – Aug. 15, 2011 – Google Inc. (NASDAQ: GOOG) and Motorola Mobility Holdings, Inc. (NYSE: MMI) today announced that they have entered into a definitive agreement under which Google will acquire Motorola Mobility for $40.00 per share in cash, or a total of about $12.5 billion, a premium of 63% to the closing price of Motorola Mobility shares on Friday, August 12, 2011. The transaction was unanimously approved by the boards of directors of both companies.
The acquisition of Motorola Mobility, a dedicated Android partner, will enable Google to supercharge the Android ecosystem and will enhance competition in mobile computing. Motorola Mobility will remain a licensee of Android and Android will remain open. Google will run Motorola Mobility as a separate business.
Larry Page, CEO of Google, said, “Motorola Mobility’s total commitment to Android has created a natural fit for our two companies. Together, we will create amazing user experiences that supercharge the entire Android ecosystem for the benefit of consumers, partners and developers. I look forward to welcoming Motorolans to our family of Googlers.”
Sanjay Jha, CEO of Motorola Mobility, said, “This transaction offers significant value for Motorola Mobility’s stockholders and provides compelling new opportunities for our employees, customers, and partners around the world. We have shared a productive partnership with Google to advance the Android platform, and now through this combination we will be able to do even more to innovate and deliver outstanding mobility solutions across our mobile devices and home businesses.”
Andy Rubin, Senior Vice President of Mobile at Google, said, “We expect that this combination will enable us to break new ground for the Android ecosystem. However, our vision for Android is unchanged and Google remains firmly committed to Android as an open platform and a vibrant open source community. We will continue to work with all of our valued Android partners to develop and distribute innovative Android-powered devices.”
The transaction is subject to customary closing conditions, including the receipt of regulatory approvals in the US, the European Union and other jurisdictions, and the approval of Motorola Mobility’s stockholders. The transaction is expected to close by the end of 2011 or early 2012
Google and Motorola Mobility will hold a conference call with financial analysts to discuss this announcement today at 8:30am ET. The toll-free dial-in number for the call is 877-616-4476 (conference ID: 92149124). The call will also be webcast live athttp://investor.shareholder.com/media/eventdetail.cfm?eventid=101369&CompanyID=ABEA-3VZHGF&e=1&mediaKey=A21887C59EBAAC12F1BCF4D43C080953. The webcast version of the conference call will be available through the same link following the conference call.
About Motorola Mobility
Motorola Mobility, Inc. (NYSE:MMI) fuses innovative technology with human insights to create experiences that simplify, connect and enrich people’s lives. Our portfolio includes converged mobile devices such as smartphones and tablets; wireless accessories; end-to-end video and data delivery; and management solutions, including set-tops and data-access devices. For more information, visit motorola.com/mobility.