[credit provider=”Associated Press”]
We reached out to a mobile industry source to get his take on Google’s decision to buy Motorola.The verdict overall? Not good. Here are the key points:
- Motorola is considered the “worst” Android manufacturer out there. Samsung and HTC make better phones. Samsung is expected to sell 83 million Android phones this year. HTC is expected to do 50 million. Motorola will do something like 20 million. (Also of note, Motorola’s phone division is losing money.)
- It’s “nonsense” that Google is going to leave Motorola as a standalone company. You don’t pay $12.5 billion for something and then just let it operate freely. Especially when it’s considered the worst Android handset company.
- Motorola is “dysfunctional.” This is why it can’t operate freely. The company isn’t delivering great results as it is right now. It has 19,000 employees, it has operations in Sunnyvale, and those people are not on the same page as the people in Illinois.
- Google will have to divest Motorola’s phone business or make it better. That means it has to gut the business and fire people and do a lot of ugly stuff it doesn’t normally do. Why? The operations of Motorola will be a “boat anchor” on Google.
- This is just more tension for Google and its partners. Google was already playing its partners off each other, now it’s fully sticking its thumb in the eye of HTC and Samsung.
- It’s good to get patents, but how will Google treat those patents? Is it going to indemnify HTC and Samsung against lawsuits? Why help those companies? They’re rivals now.
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