Wednesday, August 17, 2011

Implications of Google's acquisition

Google CEO Larry Page during the announcement of the Motorola Mobility deal mentioned that the anti-competitive practices of Apple and Microsoft forced them into the Motorola deal. Well, I wouldn’t deny and there are completely backing up statistics of Apple’s iPad sales for 2010 and 2011. Where would you position and innovate with the android? The Samsung tablet has been banned from stores in Europe for allegedly copying not only iPad’s hardware and software design and functions but also the packaging and other minor details. Apple went further to call that “slavishly copying”.

Google says that Motorola will run as it does today without preferential treatment. It’s hard to believe that all handset manufacturers see it this way which brings me to my next point. While Google was a pure play software company creating an open source OS hardware vendor across the world welcomed it as a means to upstage or remotely compete with Apple.

We should expect to see Android running on better hardware, optimized to enhance the user experience. While Google’s Nexus line of phones set the benchmark for how good an Android phone could be, we could expect to see a lot more from Motorola that raises the bar on Android smart phones. Furthermore, with a call on the hardware, optimists can finally see an android tablet that could potentially rival the iPad.

It also helps that Motorola has some 24,000 patents under its belt. All these events and situations led to the deal. So we can now see increased rivalry between the 3 major cell phone manufacturers who also own the platform those cell phones run on – Apple, Microsoft and Google.

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