Just a few short years after Google purchase Motorola Mobility, the company is dumping the cell phone maker. Many were questioning Google's decision after finding out the sale price is $2.9 Billion. After all, Google paid $12.5 Billion for Motorola just a few years ago. It appears that Google will be keeping the large patent portfolio they acquired with Motorola, and simply selling off the rest of the phone maker to Lenovo.
This deal brings Lenovo smack dab in the middle of the smartphone market in a huge way. Motorola's latest X phone is a success, and pushed the ball forward in terms of using your device handsfree. Lenovo will now compete with Samsung and Apple and it gives them a head start.
Google got the patent portfolio they wanted, along with engineering talent. With this deal they will not have to be a phone company.
Lenovo is paying about $2.91 billion for Motorola: $660 million in cash, $750 million worth of Lenovo stock and $1.5 billion in the form of a three-year promissory note.
Lenovo gets the Motorola brand and current and future products, such as the Moto X smartphone. It also gets more than 2,000 patents and the Motorola trademark portfolio.
Lenovo gets the Motorola brand and current and future products, such as the Moto X smartphone. It also gets more than 2,000 patents and the Motorola trademark portfolio.
This deal brings Lenovo smack dab in the middle of the smartphone market in a huge way. Motorola's latest X phone is a success, and pushed the ball forward in terms of using your device handsfree. Lenovo will now compete with Samsung and Apple and it gives them a head start.
Google got the patent portfolio they wanted, along with engineering talent. With this deal they will not have to be a phone company.