Google Buys Motorola Mobility for $12.5 Billion

Google Buys Motorola Mobility for $12.5 Billion – Google is taking a bold new step in its assault of the smartphone market by reaching a $12.5-billion deal to acquire Motorola Mobility, which will give the Internet search giant its own hardware patents.

Google is expected to pay $40 per share of Motorola Mobility, which has been a separate entity from its mother firm Motorola since the beginning of the year. The acquisition is seen as Google’s direct attempt to confront Apple Inc. in the smartphone market. However, some observers say the mammoth deal could ruffle the other smarphone makers already using Google’s Android system. “The danger is that other handset makers feel disenfranchised,” said Richard Windsor, a global technology specialist at Nomura Securities. “Motorola is the weaker player. This could actually collapse the entire community.”

Google Buys Motorola Mobility for $12.5 Billion

Reports say the acquisition, Google said in a statement, “will enable Google to supercharge the Android ecosystem” via Motorola.

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.”

Google Buys Motorola Mobility for $12.5 Billion