Google made a major splash yesterday, announcing that they bought Motorola’s mobile division for over $12.5 billion cash; the deal was announced by Larry Page on Google’s official blog. Analysts from armchairs to Wall Street have been weighing in on the deal and what it could mean for the future of Android. There seem to be three things that Google wants out of this deal.
1. Google wants patents.
Motorola has a lot of patents, being one of the first mobile phone companies. They have about 12,500 patents issued, with about 7,500 pending. There’s been plenty of legal wrangling over patents like these, now Google can safeguard Android even further by having control over these patents, and being able to license these to other Android manufacturers. Google wanting Motorola’s patents initially was one hypothesis laid down toward why Google mae this purchase, before eventually just deciding to buy the whole company.
2. Google wants to make money off of Android.
Google may be making money off of the deep Google integration in Android devices, either from licensing official Google apps and Market access, money from apps sold in the Android Market, and from mobile advertising, but the actual phones themselves are not bringing a lot in quite yet. By purchasing an actual Android phone manufacturer, and one that holds 29% of the US Android smartphone market, they can now make Android a viable financial proposition for themselves. The other handset makers may feel threatened by an official Google handset manufacturer, but Google seems open to at least leaving the option open for handset makers to continue to support Android. It would behoove Google to keep Android on as many devices as possible, as more users of the platform mean greater incentive for developers to support it.
3. Google wants to make a gPhone.
Sure, Google and Andy Rubin can deny that Motorola would be the manufacturer of the next Nexus phone, and that could possibly be true. However, thinking that Google won’t use their Motorola purchase in order to make a ‘pure’ Android experience the most popular devices out there seems foolish. The point of the Nexus devices are to be stock devices, pure Android experiences. They haven’t been the most popular of Android devices, though. Google could use Motorola’s relationship with the carriers to push their pure Android device. They could possibly pare down Motorola’s various devices to a core set of tablets and phones instead of the wide variety of random devices that currently dominate the Android market.