So today Google announced they are buying Motorola Mobility for $12.5 Billion. This is one of the biggest purchases for Google, which will also enable them to have control not only on the software side (Motorola uses Android as their phones OS) but also on the hardware side. This comes at a moment when Google faces great competition from Apple, and with the new collaboration between Nokia and Microsoft.
The problem will be that Google as owners of Motorola will get into direcgt competition with HTC, Samsung and other hardware companies that use the Android platform, which are some of the major Google partners.
With the purchase of Motorola Mobility Google will acquire also over 17 thousand patents, which might play crucial role in the smart phone market.
The deal is expected to be completed by the end of 2011 if the two companies receive approvals from regulators from both side of the Atlantic.