Court rules Google will get Motorola's $12.5B price back from Microsoft if it waits almost 7,000 years
This article discusses how much Return on Investment Google will get on its $12.5 billion purchase of Motorola. It would take Google nearly 7,000 years of SEP royalties from Microsoft for this acquisition to return a positive profit. This article goes into a lot of further depth about how this acquisition for Google didn't make as much sense for the price they paid. There was a lot of speculation that Google made this purchase for Motorola's patents and not their other assets.
This article featured the opinions of several other publications stating their opinions. Such as:
- AllThingsD: "Court Denies Motorola the Billions It Wanted From Microsoft for Standards-Essential Patents"
- ArsTechnica: "Court shreds power of Motorola’s standard-based patents"
- BBC: "US judge slashes $4bn Google royalty claim on Xbox" "Google's claim that Microsoft owes it billions in patent payments has been rebuffed by a US judge."
This case is particularly interesting because it brings to light the potentially poor idea to purchase Motorola to just win patent wars. I feel it goes to show what lengths some companies will go to for success.
YouTube Link: https://www.youtube.com/watch?v=9E_QxfJ6A6Y
It really seems to be a huge theme in the recent news that Google's Motorola purchase has gotten them nowhere. A recent string of defeats in Germany against a number of firms over push notifications, long texts and touch screen when getting a call seems to be cementing that idea pretty well.
ReplyDeleteWhat was at stake here for Google was billions of dollars. This was no joke for them, and they lost it. A huge win for Microsoft because they could have been faced with an annual fee of upwards of $4 billion thanks to Motorola Mobility, but to Google's dismay, this was quickly taken off the table.
ReplyDeleteI feel really bad for Google now. There acquisition of Motorola was grossly miscalculated, and it is very rare that it will pay off now. It will be interesting to see what strategies Google implements now,
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