Some of you may have forgotten that Lenovo even purchased Motorola Mobility from Google since it has taken close to a year to finalize – however, we can finally say ‘Hello” to Motorola, the new Lenovo Company. The initial purchase of Motorola Mobility by Google in 2012 for a whopping $12.5 BILLION shocked everybody – was Google going to get into the hardware business, like Apple? Then, less than two years later, Google keeps all of the Motorola patents and spins off the hardware business to China’s Lenovo for only $2.91 BILLION. Far be it from me to question Google’s motives – we know that they wanted the many Motorola patents, but almost $10 BILLION is a lot of money for patents.
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We also know that Google (and the Motorola name) got a lot more out of this deal than simply patents – in the short time Google owned Motorola, they reshaped the way customers think about a smartphone – more isn’t always better, and that good enough can really be a ‘good thing’ when sold at a reasonable price. By way of the Moto G and Moto E, Google spread the Android operating system around the globe at an unheard of rate…coupled with the Motorola name and a solid product that anybody could afford. Google/Motorola also built up a lot of Goodwill in their names and something that Lenovo can build upon.
I have always loved Motorola’s build and radios – no manufacturer has better reception – the name is All-American, like a hotdog or apple pie, so I was worried what was going to happen to them. Google was kind to them and together they started building some great products, and of all the companies to have purchased them, I think Lenovo was a great choice – they nurtured along the IBM ThinkPad when they bought it from IBM several years back, and I can tell you from personal experience (I’ve owned two) they did a great job….and I think they will do the same with Motorola.
Lenovo published the news on their blog today – not a “we took over Motorola” attitude, but more of a “we are so excited to be a part of this”…this does, after all, immediately catapults Lenovo to the number three smartphone manufacturer in the world. Lenovo lists their “take” on what this Motorola-Lenovo deal means…I wonder if they will be known as Leno-Moto? Here are the five things this means from their own website:
1. The new Motorola-fueled Lenovo will be a major player in the global smartphone industry – 2. Motorola and Lenovo have a shared history of innovation – 3. We also have a shared history in space – 4. The new combined Lenovo-Motorola product line is to die for – 5. Motorola fans are going to find they have a lot in common with Lenovo fansâ€”and especially ThinkPad aficionados.
Yang Yuanging, Chairman and CEO of Lenovo said, “By building a strong number 3 and a credible challenger to the top two in smartphones, we will give the market something it has needed – choice, competition and a new spark of innovation.” It is truly an exciting day for the smartphone world and I think we should be excited for the future of Motorola, a Lenovo Company. Please hit us up on our Google+ Page and let us know what you think of the Lenovo-Motorola future…as always, we would love to hear from you.