Sunday, 11 September 2011

ViSa Blogging: Daily Blogging: Technology: Did Google Buy Motorola For $12.5 billion?

Motorola, Inc. was an American multinational telecommunications company based in Schaumburg, Illinois, which was eventually divided into two independent public companies, Motorola Mobility and Motorola Solutions on January 4, 2011, after losing $4.3 billion from 2007 to 2009. Motorola Solutions is generally considered to be the direct successor to Motorola, Inc., as the reorganization was structured with Motorola Mobility being spun off.

Motorola designed and sold wireless network infrastructure equipment such as cellular transmission base stations and signal amplifiers. Motorola's home and broadcast network products included set-top boxes, digital video recorders, and network equipment used to enable video broadcasting, computer telephony, and high-definition television. Its business and government customers consisted mainly of wireless voice and broadband systems used to build private networks and public safety communications systems like Astro and Dimetra. These businesses (except for set-top boxes and cable modems) are now part of Motorola Solutions.

Motorola's wireless telephone handset division was a pioneer in cellular phones. Known as the Personal Communication Section (PCS) prior to 2004, it pioneered the flip phone with the StarTAC in the mid-1990s, and it enjoyed a resurgence with the RAZR in the mid-2000s before losing significant market share. Lately it has focused on smartphones using Google's open-source Android mobile operating system. The first phone to use the newest version of Google's open source OS, Android 2.0, was released on November 2, 2009 as the Motorola Droid (the GSM version launched a month later, in Europe, as the Motorola Milestone). The handset division, (along with cable set-top boxes and cable modems) has since then been spun off into the independent Motorola Mobility.

Google Inc. is an American multinational public corporation invested in Internet search, cloud computing, advertising technologies, and search engines. Google hosts and develops a number of Internet-based services and products, and generates profit primarily from advertising through its AdWords program. The company was founded by Larry Page and Sergey Brin, often dubbed the "Google Guys", while the two were attending Stanford University as PhD candidates. It was first incorporated as a privately held company on September 4, 1998, and its initial public offering followed on August 19, 2004. At that time Larry Page, Sergey Brin, and Eric Schmidt agreed to work together at Google for twenty years, until the year 2024. The company's mission statement from the outset was "to organize the world's information and make it universally accessible and useful", and the company's unofficial slogan – coined by Google engineer Amit Patel and supported by Paul Buchheit – is "Don't be evil". In 2006, the company moved to its current headquarters in Mountain View, California.

It has been estimated that Google runs over one million servers in data centers around the world, and processes over one billion search requests and about twenty-four petabytes of user-generated data every day. Google's rapid growth since its incorporation has triggered a chain of products, acquisitions, and partnerships beyond the company's core web search engine. The company offers online productivity software, such as its Gmail email service, and social networking tools, including Orkut and, more recently, Google Buzz and Google+. Google's products extend to the desktop as well, with applications such as the web browser Google Chrome, the Picasa photo organization and editing software, and the Google Talk instant messaging application. Notably, Google leads the development of the Android mobile operating system, used on a number of phones such as the Motorola Droid and the Samsung Galaxy smartphone series', as well as the new Google Chrome OS, best known as the main operating system on the Cr-48 and also, since 15 June 2011, on commercial Chromebooks such as the Samsung Series 5 and Acer AC700. Alexa lists the main U.S.-focused google.com site as the Internet's most visited website, and numerous international Google sites (google.co.in(14) and most visited site in India, google.co.uk etc.) are in the top hundred, as are several other Google-owned sites such as YouTube (Alexa:3), Blogger (Alexa:6), and Orkut. Google also ranks number two in the BrandZ brand equity database. The dominant market position of Google's services has led to criticism of the company over issues including privacy, copyright, and censorship.

On August 15, 2011, Google announced that it would acquire Motorola Mobility for $12.5 billion subject to approval from regulators in the United States and Europe. In a post on Google's blog, Google Chief Executive and co-founder Larry Page revealed that Google's acquisition of Motorola Mobility is a strategic move to strengthen Google's patent portfolio. The company's Android operating system has come under fire in an industry-wide patent battle, as Apple and Microsoft have taken to court Android device makers such as HTC, Samsung and Motorola. This purchase was made in part to help Google gain Motorola's considerable patent portfolio on mobile phones and wireless technologies to help protect it in its ongoing patent disputes with other companies, mainly Apple and Microsoft and to allow it to continue to freely offer Android.





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