Google Buys Motorola Mobility

[lomatopo]

Not sure what this means for Android...

Google agreed to acquire Motorola Mobility Holdings Inc. for $12.5 billion in cash, a deal that would allow the Mountain View, Calif., company to build its own phones and bulk up its patent portfolio as it challenges Apple's iPhone with its Android mobile operating system.

http://online.wsj.com/article/SB10001424053111904253204576510712016434054.html

http://dealbook.nytimes.com/2011/08/15/google-turning-into-a-mobile-phone-company-no-it-says/

http://www.reuters.com/article/2011/08/15/idUS372198947920110815

[jybkk]

According to various sources, the main objective is to get hold of the 17000 patents Motorola holds in order to give ammunition to google to fight back recent patent-troll attacks.

The patent system is broken. Anybody can patent anything with very vague description then 10 years later argue that it applies to the current technology... so the only way to be protected is by having a great number of such vague patents too that can be used to counter-sue.

This is not about innovation but about lawyers. Think a bit like nuclear escalation during the cold war.

I mean, when you see that Apple basically managed to patent the rectangular shape a few years ago... and is trying to use this now to block competitors, there's definitely something wrong with the system.

[lomatopo]

According to various sources, the main objective is to get hold of the 17000 patents Motorola holds in order to give ammunition to google to fight back recent patent-troll attacks.

The patent system is broken. Anybody can patent anything with very vague description then 10 years later argue that it applies to the current technology... so the only way to be protected is by having a great number of such vague patents too that can be used to counter-sue.

This is not about innovation but about lawyers. Think a bit like nuclear escalation during the cold war.

I mean, when you see that Apple basically managed to patent the rectangular shape a few years ago... and is trying to use this now to block competitors, there's definitely something wrong with the system.

Yes, most reviews suggest as much. Although this also may be a feint from InterDigital, for their patent trove? Steve Jobs is probably off-line right now. When resurrected/transplanted he's going to be pi$$ed.

There is already some talk of spinning the Motorola HW of to Huawei or ZTE. Samsung and HTC were up significantly in trading today so maybe the Robot lives?

I'm half expecting to see Apple file a patent for the "Human thumb and forefinger, and any movements associated with such, including picking of the nose", while Google files a patent for "The middlefinger".

[nikster]

According to various sources, the main objective is to get hold of the 17000 patents Motorola holds in order to give ammunition to google to fight back recent patent-troll attacks.

One objective, but hardly the main objective. While this is a lot of patents, $12Bn is a shit ton of money. Largest acquisition Google ever made. The patents are supposedly not that strong (according to experts).

Another reason might be a desire to do what Apple does and design the whole widget - hardware, and software.

And I am thinking Google might also see it as an investment in addition to the above - Moto was perhaps undervalued, and Google will probably have no trouble selling it on at a profit a few years down the road. It's a big bet of course. Google's definitely all in in the mobile game.

PS: BTW sure, everyone agrees that the patent system is horribly broken. Its sole purpose was to protect the small inventor from the big corporations and that has now been turned upside down. Amazingly enough the patent office makes money on every patent they issue - which kind of explains the lax attitude towards obvious invention, prior art, and even downright silly stuff. An IBM guy patented the technique of playing with a cat using a laser pointer, for example. There's many other equally idiotic patents in there. And no matter how idiotic they are, they're very hard to defend against in court.

[lomatopo]

The Man Behind Android's Rise

By AMIR EFRATI

At the core of Google Inc.'s $12.5 billion Motorola deal is Silicon Valley engineer Andy Rubin, who in six years has reordered the wireless market and positioned the Internet giant as a central player in it.

Mr. Rubin, 48 years old, has changed Google's organizational structure and become one of the most powerful people at the company. Under his leadership, the operating system known as Android has become the most widely used software on smartphones—surpassing the creations of Apple Inc. and Nokia Corp.—and powering tablets from many companies.

Mr. Rubin's success has enabled Google's search engine and digital-advertising business to spread rapidly through the mobile world. He has also played a role in recruiting talent to Google, including Andy Hertzfeld, a former Apple programmer who helped develop Google+, the company's new social network.

When Google co-founder Larry Page became CEO in April, Mr. Rubin was promoted to be one of 18 senior vice presidents. His star has continued to rise, culminating in his personal involvement in Monday's deal for Motorola Mobility Holdings Inc., said a person familiar with the matter.

more...

[lomatopo]

Google deal with Motorola may shake up smartphone market

By David Sarno, Los Angeles Times

August 17, 2011

Google Inc.'s $12.5-billion agreement to buy mobile handset maker Motorola Mobility Holdings Inc. will probably trigger a shake-up — and shake-out — in the smartphone market.

As Google prepares to take on Apple Inc. and its iPhone, remaining handset makers may be forced to realign their allegiances, cutting deals to put new operating systems on their phones or buying firms themselves to gain valuable technology patents.

While Google wants to build its own devices to compete with the iPhone, it also wants control of Motorola's 17,000 patents to protect itself against patent infringement claims.

Competing software and handset makers may think they also need to bolster their patent arsenals, analysts said, because successful lawsuits can lead to huge damage awards and court orders halting sales of infringing devices.

"We could see more consolidation out of this, whether it's for patents or technology," said Shaw Wu, an analyst at Sterne Agee. The companies are "trying to position themselves for the next 10 years, and they want to make sure their businesses are not disrupted."

That could mean stronger firms such as Microsoft Corp. or Samsung Corp. snapping up patent-rich cellphone manufacturers that have fallen behind in the marketplace such as Nokia Corp. and BlackBerry maker Research in Motion Ltd.

more...

[rogerdee123]

Google is a software company. They have never manufactured anything.

[Crushdepth]

I think they've been dragged unwilling into the Patent Wars. It's a bit sad, really.

[nikster]

I think they've been dragged unwilling into the Patent Wars. It's a bit sad, really.

It's indeed sad that patents now cause companies to spend $Bns on IP rather than spending that money on better products. Or charity. Anything. Even worse the amounts these guys are going to spend on lawyers... woo hoo.

Google was founded on a patent, by the way. Without patents, Yahoo and others could have simply copied their search and they'd never have grown as big as they're now. There were several years when Google was so much better than any of the other search engines it wasn't even funny. The page rank patent had a lot to do with Google's rise.

[Puccini]

Larry Page: "I need a new phone, can someone buy me Motorola?"

Employee: "Done."

Larry Page: "Great, which model have you bought?"

Employee: "Model…?"

Source: www.facebook.com/9gags/posts/10150265701386840