Google to Acquire Motorola Mobility

The company's largest acquisition ever gives them the hardware to complement its Android software.

When Google does something big, they really do things big.

Today CEO Larry page announced that the Mountain View-based company will acquire Motorola for $12.5 billion, the largest wireless-equipment deal in at least a decade, according to Bloomberg News.

"Motorola’s total commitment to Android in mobile devices is one of many reasons that there is a natural fit between our two companies," Page said in Google's Official Blog today, about the company's biggest purchase to date. "Together, we will create amazing user experiences that supercharge the entire Android ecosystem for the benefit of consumers, partners and developers everywhere."

Page emphasized Google's commitment to the open source platform that has been at the foundation of the relationship between the mobile hardware developer and Google's Android operating system.

"In 2008, Motorola bet big on Android as the sole operating system across all of its smartphone devices," said Page. "It was a smart bet and we’re thrilled at the success they’ve achieved so far."

Since then more than 150 million Android devices, in a network of 39 manufacturers by 231 carriers in 123 countries have been activated worldwide, according to Google.

To be sure, the acquisition puts Google–which doesn't create handsets–in direct competition with the Apple iPhone, Microsoft and other hardware makers, all in .

Kevin Smithen, a telecommunications analyst at Macquarie Securites Group in New York, called the patent war "an intellectual property arms race" in the Bloomberg article.

Page alluded to this in his statement today. He explained that the "acquisition of Motorola will increase competition by strengthening Google’s patent portfolio, which will enable us to better protect Android from anti-competitive threats from Microsoft, Apple and other companies."

That Motorola will now join the Google team came as a welcomed surprise to the Mayor of Libertyville, IL, where the handset company has its corporate headquarters and where they will likely stay, reports Libertyville Patch.


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