This news is probably going to shock a lot of people out here. The search engine giant – Google – has acquired Motorola’s smartphone business for $12.5 billion.
At the moment, there is not much information available about this deal, and why Google decided to purchase Motorola mobility, out of the blue. However, after this deal, we can expect Google to start manufacturing its own handsets, unlike now.
Motorola was among the first smartphone manufacturers to bet big on Google’s open-source mobile OS. The Motorola Droid played a major role in making Android popular in the U.S. Motorola was also the first company to launch an Android 3.0 Honeycomb based tablet. The relation between both the companies have been very strong right from the early days of Android.
The official blog-post from Google regarding this deal states that they will continue to run Motorola as a separate business unit. Readers can find the whole blog post here.
One reason behind this buy-out can be the huge amount of patent that Motorola owns, which might help the big G in the patent war. The patent portfolio of Google is definitely going to get a huge boost thanks to this deal! This buy-out can also mean that from now onwards, all the Nexus branded phone from Google will be made by Motorola.
Hopefully, this also means that we will see some much better handsets coming out from Motorola’s stable after this deal. Ideally, Motorola will start making reference hardware for future versions of Android as well.