Google's Buying Out Motorola For 12.5 Billion USD

While we don't normally talk about Android news, this Monday morning Google has made a particularly interesting announcement that affects their mobile Linux operating system as well as hardware. Google has just announced they will be acquiring Motorola Mobility at a price of around 12.5 billion USD.

Google's buying out Motorola Mobility to "supercharge Android." From a Google blog post, "Motorola’s total commitment to Android in mobile devices is one of many reasons that there is a natural fit between our two companies. Together, we will create amazing user experiences that supercharge the entire Android ecosystem for the benefit of consumers, partners and developers everywhere."

Google will be running Motorola as a separate business and they will remain a licensee to Android and still work with other mobile phone vendors. This acquisition is also a major win for Google and their patent portfolio as they continue on the defensive against Apple, Microsoft, and others. "The combination of Google and Motorola will not only supercharge Android, but will also enhance competition and offer consumers accelerating innovation, greater choice, and wonderful user experiences. I am confident that these great experiences will create huge value for shareholders."

There's also the press release where they announce the Motorola acquisition and its $12.5B price-tag that comes at a 63% premium. Google and Motorola hope to close the deal by late 2011 or early 2012.

Ending, here's a quote from Andy Rubin, "We expect that this combination will enable us to break new ground for the Android ecosystem. However, our vision for Android is unchanged and Google remains firmly committed to Android as an open platform and a vibrant open source community. We will continue to work with all of our valued Android partners to develop and distribute innovative Android-powered devices."