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Larry Page says ‘ Motorola will be better served by Lenovo’

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Google announced they would take over Motorola Mobility for a massive $12.5 billion in August of 2011. At the time the company stated that “Our acquisition of Motorola will increase competition by strengthening Google’s patent portfolio, which will enable us to better protect Android from anti-competitive threats from Microsoft, Apple and other companies.”

Now a couple years later, with the Moto X and Moto G being built in the United States and sold around the world, Google has sold off the Motorola handset division to Lenovo. While this transaction came as a surprise to many, the $2.91 billion deal still needs to be approved by regulators in both the United States and China.

On the company blog, Google’s CEO Larry Page said that while the “Motorola team have done a tremendous job reinventing the company,” this new direction of Moto “is an important move for Android users everywhere.” Page noted that one of the deciding factors was that “the smartphone market is super competitive, and to thrive it helps to be all-in when it comes to making mobile devices. It’s why we believe that Motorola will be better served by Lenovo.” That’s a pretty honest statement, even if Google lost money on the Moto handset division. “This move will enable Google to devote our energy to driving innovation across the Android ecosystem,” said Page.

While this transaction came as a surprise to many, the $2.91 billion deal still needs to be approved by regulators in both the United States and China. The good news for those devoted Moto users is that Lenovo intends — key word is intends — to keep “Motorola’s distinct brand identity.”

At one time Lenovo was rumoured to purchase BlackBerry, but it now seems that they believe their money would be better off with Motorola’s design and Google’s Android OS.

Page ended his note declaring that “it’s business as usual.”
Perhaps we’ll see a Motorola Nexus device by Lenovo soon…

Source: Google (2)

  • rgl168

    I hope that Motorola can keep the momentum going regarding their Android update effort. They did a good job so far with Moto X and G updates, and I hope this won’t be lost under Lenovo.

    • thisiscjay

      Annnddddd I will be selling my Moto X this week. Fingers crossed the US government blocks this crap…

    • IJustGotaTan

      The sky is falling, the sky is falling!

  • KrispyInTO

    Larry you backstabber, now all motorola phones will have backdoors for the Chinese government.

    • Ali F.

      Already almost all devices and apps have backdoors for USA. Now who makes wars more? US for sure, so why should we trust Americans more?

    • canuck07

      People have been drinking too much US kool-aid.

  • Oscar Wong

    what about project ara?

    • Adam Watts

      Oh I forgot about that! Damn… Hopefully google still pursues this on it’s own, or with some hungry partner. HTC?

  • Tom

    I’m normally distrustful of mainland Chinese brands, but Lenovo is one of the few that’s proven itself to be a quality brand. Plus there’s the good PR their CEO gets for giving his bonus to his employees…

    Better Lenovo than Huawei, at least.

  • solidpig

    I honestly prefer Moto to be under Google’s wing instead of Lenovo. Google never made that much of an effort to fully integrate Moto; I suppose this was their plan from the beginning.

    It’s a that Moto is being tossed around like this. Here’s hoping the acquisition is rejected and Google is forced to continue Moto in a good path. I feel if Google really tried, they could bring more to Moto than Lenovo could ever offer.

    • HelloCDN

      This was a publicity stunt plus a valuable patent acquisition, and I wouldn’t be surprised that Google already has a deal with the government after their PR move “made in USA” for Moto X.

    • fez

      the problem is google as the creator of Android can only favor it self for so much before pissing off other companies who are creating devices for it. This, depending on the terms of the deal could mean that Google will be able to push the direction of the smartphone and inturn Android using Lenovo’s development allowing to create nexus like devices. Plus don’t forget all the patents they gained from the initial investment and the deal they now have with blocks under the project Ara.

      Personally I love my MotoX and think it’s one of the well thought out devices in the last few years. To top this Motorola as a company has done some brilliant work under the google umbrella using the resources available to it.

    • Adam Watts

      That’s true. It put them in a tight spot. Acquiring Motorola raised more than a few eyebrows. But it’s still too bad it’s come to this. I liked what Google was doing with the Motorola brand.

    • rgl168

      I guess it kind of like the relationship of Microsoft and the OEMs with the Surface initiative added to the mix, with Whitman (HP) came out to say that Microsoft is now an “outright competitor”.

  • wes

    I wonder if this will impact the Nexus line, and if so, how? Since there have been rumors that the Nexus line will be axed as of 2015.

  • Ryan Hall

    Not a big deal. Nowadays smart phones are definitely not hi-tech stuff. The point is if you want to make money you have to lower the cost. Lenovo might be the one that can still make money from such hardware. So there is no point to spend a lot more money on something being called “cutting-edge” products, like Apple and Samsung. Open them, you find the same craps…

  • Maxime Godin

    Correction: Google announced they would take over Motorola Mobility for a massive $12.5 billion in August of *2011*

  • Jonathan Schmitt

    This could be good, but could be bad too. I have a Lenovo laptop and will never look back to a mac or HP system ever again. Lenovo will definitely want to capitalize on this opportunity, especially since Motorola, with the X and G, just became an excellent competitor.

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