THE GOOGLE INVESTOR: Financial Breakdown Of The Motorola Deal

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Ellis Hamburger, Business Insider

GOOG Up With Markets
Stocks are booming in early trading on European Central Bank President Mario Draghi’s comments to preserve the euro. Shares of GOOG are up with the rest of tech. Investors continue look for Android momentum and monetization of smartphones and tablets; direction for Motorola; the resurgence of Google TV; continued growth and monetization of YouTube; expansion of social network Google +; and progress in other initiatives (location-based services, mapping, Google Wallet, Google Music, etc.). The stock trades at approximately 11.2x Enterprise Value / EBIT.Financial Breakdown Of The Motorola Deal (ars technica)
Google paid $5.5 billion for Motorola’s patent portfolio alone, according to a filing with the Securities and Exchange Commission. The rest of the money, some $7 billion, accounted for items like the company’s cash on hand ($2.9 billion) and sheer “goodwill” ($2.6 billion). Of the $12.4 billion Google ultimately paid for Motorola, $730 million was paid for “customer relationships” and $670 million for “other net assets acquired” to round out the purchase price. “The goodwill of $2.6 billion is primarily attributed to the synergies expected to arise after the acquisition,” reads the SEC document.

Google Nearing EU Antitrust Deal (WSJ)
Google appears closer to avoiding a protracted battle with European antitrust regulators after officials said Tuesday they had reached a “good understanding” with the Internet search giant during discussions to address “concerns” over its business practices. A settlement between Google and the EU could provide a blueprint for how the company might manage similar antitrust probes in the U.S. and elsewhere. “Hopefully in the coming days or weeks we will have the first technical meeting,” said EU Antitrust Chief Joaquin Almunia. It is unclear what a settlement might look like.

Android Is Still Nowhere In Tablets (iDownloadBlog)
The iPad continues to dominate the tablet market, accounting for more than two out of three tablets sold during the second quarter of this year, according to Strategy Analytics. Specifically, the iPad rose from 62% in the year-ago quarter to 68% global market share. Global tablet shipments reached 25 million units, a 67% increase over the 14.9 million tablet units in the year-ago quarter. This means all of Apple’s competitors combined sold eight million tablets. Android captured 29% and Windows tablets just 1%.

Google TV To Get AirPlay-Like Functionality (GigaOM)
Google will bring AirPlay-like functionality to its Google TV platform, allowing users to play and control media directly from their Android tablet or handset. The functionality will first be available via Google’s YouTube app, but the company wants to eventually open it up to third-party app developers as well. Google now wants to offer Android owners similar features, and it has been testing out some of that functionality in the wild: The Nexus Q and YouTube.

How Much Is Your Gmail Account Worth? (Wired)
While the really big bucks may be built into your big data, your trusty Gmail account just got a price tag slapped on it and it may be worth more than you thought. Cloud backup company Backupify put together a calculator to help folks estimate the value of their cloud-based Google Gmail web mail accounts. So what’s the average account’s worth? About $3,600. Some highlights:

  • Your Gmail is worth $3,588.85, and increases by about $1,196 per year
  • You “spend” as much in Gmail every year as you do on your car
  • Your Gmail is worth five times as much as your laptop
  • Your Gmail represents over four weeks of wages
  • You store one old-school floppy disk (1.44 MB) of Gmail data every day

Kind of crazy.

Google Recruiting For Project Glass (Android Community)
Google has just started reaching out, letting “Glass Explorers” know that they’ll be a unique member of an elite crew that will “shape the future of glass.” Google will be sharing news and details on the coming weeks and months through the Project Glass Google+ site. Google also hints to the fact that they’ll be conducting Google+ Hangout sessions all via Google Glass.

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