Featured: Google Reportedly Selling Off Motorola's Set Top Box Business

Featured: Google Reportedly Selling Off Motorola’s Set Top Box Business

August 30, 2012 - Written By Mike Stenger

Last August, Google acquired Motorola Mobility for the whopping sum of $12.5 Billion. This gave them their mobile division as well as their set-top box business which is in Millions of homes. The acquisition was finally made official earlier this year and there were some restrictions in regards to Android and keeping Google from giving Motorola special treatment.

Since the whole deal, we haven’t really heard too much about the set top box business. The fact is, Motorola has boxes in a large amount of homes and there were some really cool ideas floating around such as Google TV integrated into the cable boxes. Instead of requiring people to buy a pricey TV, instead they could simply hook up a new Motorola box to their existing TV and get all the benefits.

While that seemed like a great idea, it seems Google has other plans with the business. According to Bloomberg, two sources claim that they want to sell it off and has hired Barclays to find buyers. The business could fetch around $2 Billion and Motorola was said to have tried selling the Home business for over $4 Billion in 2009. Clearly, that didn’t end up working out.

The reason for Google selling it off could be from a number of reasons. Great innovation can be made in that field, but maybe the set top box business wasn’t up to their standards, or they’d rather other people deal with the hardware side while they deal with the software side. At the end of the day, Google is a software company and where they do best. Having others do the hardware makes a lot of business sense.