Google just bought Motorla (the American phone manufacturer) for $12.5 billion. It’s by far the biggest acquisition for Google (Doubleclick cost $3.1 billion and Youtube $1.6 billion).
This is a game changing announcement, since Google will produce hardware for the first time. It’s often said that the main reason for this acquisition was Motorola’s 20,000+ patents. Why not… I just don’t see Google having any trouble paying for the licences (or court trials).
What I see in this acquisition is that Google will start to actually build its own devices. The competition with Apple and Microsoft will reach a new level! Now Google will build its own phones and tablet (Motorola Xoom is the greatest iPad competitor).
With Motorola, Google is now one of the biggest android phone manufacturer. Nonetheless, Google clearly announced that its existing partnerships will remain the same. And it seems that Google’s partners aren’t pissed at all. Therefore we can imagine how it will affect the market.
Google will be able to build phone the way they want. Motorola phones will not have any additional skin as android phone manufacturer use to add. They will also have automatic update. Great news for android phone users, because the other brand (Samsung, HTC…) will have to keep up.
I think this partnership is really exciting!
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