Tuesday, August 16, 2011

GoogleRola? Moto-Google? THIS IS A BIG DEAL!

So, it sounds like Google wants to buy Motorola mobility for around $12.5 billion.  WOW!  This could be a HUGE event in the tech world that could potentially affect a whole lot of other companies and millions and millions of people.  Let's take a quick look at some of the possible things that could shake out.

First:  I believe that a big reason this is going on is to secure patents.  With all of the lawsuits going on Google needs to acquire a lot of meaningful patents to survive potential lawsuits coming their way.  I think that all of these patent lawsuits that are going on between these tech companies is a load of crap!  Why do they spend all of this time and money sitting in court when they could invest all of that time and effort in product development and just make a better product than their competitor.  Oh well, I guess that's not reality.

Second:  Google will have control of the manufacture and design of their own handsets.  Where does that leave Samsung, Sony, LG, HTC and others down the road.  It would seem that instead of supplying these other manufacturers with a free OS...Google is now directly competing against them!  What a sudden and weird turn of events.  I bet those other companies are scrambling right now to figure out what is going to happen next.

Third:  Part of the mobility division is the set top boxes that Motorola supplied to cable and satellite companies.  Would Google use this position to build Google TV into all of these STB's that are in millions of homes?  It might not be a bad thing for the end user but would Google be reaching too far?

I don't know if this purchase is going to get approved because there are so many players involved directly and indirectly.  But, it seems to be a trend lately, started by the AT&T and T-Mobile deal that is still pending.  Big companies are trying to get bigger so that they can't be brought down by some stupid lawsuit.  I am sure we will all be hearing more about this for quite some time.

What do you think?  Am I over reacting?  Is this not a big deal?  Are there other things that may be impacted that I didn't discuss here?

Brian

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