Google Gets While the Going is Good
[Commentary] At first glance it appears that Google was desperate to be rid of a business that has been a dead weight on its profit. Motorola has become a much smaller business under Google, but still lost $248 million after adjustments in the third quarter. Google's core business has been strong enough to counter this, as the company has maintained overall earnings-growth percentages in the double digits. Motorola was an odd fit among Google's other big bets, including YouTube and the recently announced deal for Nest Labs. The impetus to buy Motorola was to gain a big collection of wireless patents. Google thought these could help shield it from Apple's legal guns as it built up the rival Android smartphone platform. But they have proved to be of questionable value since Apple targeted its lawyers at Samsung instead. Capitalizing on Lenovo's growth ambitions allows Google to at least cut its losses -- and maintain peace among its Android partners. Not the right price, but certainly the right time.
Google Gets While the Going is Good Google’s Motorola Sale Underscores Primacy of Patents (Bloomberg - patents)