Google- Motorola Deal: Bad for Android, overall??

  • Replies:5
Louis Hong 4
Louis Hong
  • Forum posts: 20

Aug 16, 2011, 10:11:37 AM via Website

I think this deal creates a bad environment for smartphone innovation. With Google now dominating the scene, they can push their weight around too easily. I am skeptical that Google's partnerships with other companies will remain unharmed. Perhaps the decision will even weaken other OEM's commitment to the Android platform moving forward.

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Steven Blum 23
Steven Blum
  • Forum posts: 882

Aug 16, 2011, 10:12:51 AM via Website

You're right. But hopefully other smartphone manufacturers will realize that the bid is not about creating a preferential relationship between the two companies, but about securing Motorola's 12,000 patents to guard against future lawsuits.

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Android Addict 9
Android Addict
  • Forum posts: 111

Aug 16, 2011, 10:15:12 AM via Website

Jesus! Do you really think they just spent 12.1 billion *just* to secure patents. I mean, that could be true but it would be insane. This is the company, mind you, that refused to bid over 900 million on Nortel patents just a short five months ago. Do you think the nuclear patents race has become so heated that they'd pay nearly 12x the amount just to secure patents? I'm not saying you'r wrong, just saying it's all INSANE.

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Peter Long 10
Peter Long
  • Forum posts: 74

Aug 16, 2011, 10:21:13 AM via Website

Why is it insane? It's smart. Welcome to 2011, if you make technology you will be sued. I highly doubt Samsung and HTC are happy about this deal, though they're smiling through gritted teeth. Don't worry too much about innovation, though. Google knows that a highly competitive smartphone scene is needed to advance Android and increase the amount of advertising they can sell to consumers. Don't forget, Google is still in the ad business----reach is their primary concern.

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Marcel Jennings 7
Marcel Jennings
  • Forum posts: 56

Aug 16, 2011, 10:23:41 AM via Website

Prepare for the FTC, Apple and Microsoft to sue all at once in 5...4....3...2....

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Peter Long 10
Peter Long
  • Forum posts: 74

Aug 16, 2011, 10:28:00 AM via Website

@Marcel... No doubt Apple and Microsoft will try to sue but it won't be easy. To prove that the deal is anti-competitive will be hard since this is a vertical acquisition, when on company acquires are customer or supplier, as opposed to buying a rival in a horizontal deal that would eliminate competition. Vertical acquisitions tend to be viewed more leniently.

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