Lenovo buys Motorola mobility unit for £1.8 billion

Google strategically purchased Motorola in 2012 for £7.9 billion to make Android-powered smart phones and utilise their patent portfolio to fight patent attacks aimed at their Android platform. This week Google announced the sale of Motorola’s mobility unit to PC manufacturer Lenovo for £1.8 billion. Google will keep the 17,000+ strong patent collection, whereas Lenovo gets the phone-making unit itself and Motorola’s strong brand (needed to tackle the US market). It is safe to assume Motorola will continue to create Android phones, but an additional Windows Phone line which has synergy with Lenovo’s laptops would make a lot of sense too. If Lenovo was to split up its new phone unit into commercial and business offerings, they would be in a unique position to offer businesses, security and productivity focused smartphones. Could this be the move that sees Blackberry being squeezed out of corporate contracts completely?

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