Microsoft and Motorola Solutions sign Android-Chrome OS licensing agreement

Microsoft continues to pursue companies that make and sell Android and Chrome OS devices to use their patents, including Dell which was announced a few weeks ago. Today, Microsoft revealed yet another such agreement, this time with a company that has some interesting ties to Google.

Microsoft's press release reveals that it has signed up Motorola Solutions to a patent agreement involving their Android and Chrome OS products. Terms of the deal were not revealed but it's likely that Microsoft will get a percentage of sales from each Android or Chrome OS device that Motorola Solutions sells.

Motorola Solutions and Motorola Mobility were once one company, Motorola Inc, but in January 2011, the two split up and in 2012 Google famously bought Motorola Mobility, which makes smartphones and tablets, for $12.5 billion. Motorola Solutions now makes enterprise tablets, but does not sell products to the general public.

Both Motorola companies are now in the middle of being sold. Motorola Solutions announced last week it will sell off part of its business to Zebra Technologies for $3.45 billion. Google will sell off Motorola Mobility to Lenovo for $2.91 billion. Both deals are expected to close later this year.

Source: Microsoft | Image via Motorola Solutions

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14 Comments

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The article said,
Motorola Solutions now makes TV set-top and DVR boxes for the major cable TV companies

That is incorrect. The set-top boxes went to Motorola Mobility which was sold to Google and then they sold it to ARRIS. Motorola Solutions sells things like 2-way radios, enterprise tablets, and wireless broadband infrastructure equipment.

I'm not sure, but IINM google is selling just the companies and not moto's patents; so the loss perhaps isn't as big as it seems. Still, what a failed opportunity at being a handset maker.

eddman said,
I'm not sure, but IINM google is selling just the companies and not moto's patents; so the loss perhaps isn't as big as it seems. Still, what a failed opportunity at being a handset maker.

And they call others patent trolls...

Google was after the patents plus Moto's special research division. They were not just after the patents and they have been doing a lot with what they got. Lot of research and new tech being developed.

neonspark said,
I really can't wait for Larry Page's book: how I burned 10 billion bucks on a moto!.

From what I've read, Google actually made a tidy profit from the whole affair. Plus they get to keep most of the patents which help to defend Android against attacks from Microsoft and Apple.

eddman said,
I'm not sure, but IINM google is selling just the companies and not moto's patents; so the loss perhaps isn't as big as it seems. Still, what a failed opportunity at being a handset maker.


In the end Moto's patents didn't do Google any good against MS.

simplezz said,

From what I've read, Google actually made a tidy profit from the whole affair. Plus they get to keep most of the patents which help to defend Android against attacks from Microsoft and Apple.

Profit prof·itˈ

noun
1. a financial gain, esp. the difference between the amount earned and the amount spent in buying, operating, or producing something.

verb
1. obtain a financial advantage or benefit, esp. from an investment.

They bought it for 12 Billion and change, but will sell it for 2 Billion and change. An approximate difference of 10 Billion.

10 Billion dollars...

If you earn $100k/year, then in a lifetime of 100 years, you will earn $10 Million. That of course, is quite nice a sum. But to get to 10 Billion would One Hundred Thousand years! 100,000 years!

So when Larry, Sergei, and friends lost 10 Billion on their purchase of Motorola's valueless patent portfolio, the didn't just lose that money, they lost one hundred thousand years of productivity!

How do you come up with "tidy profit"?

Your math is only true if they don't have the money to pay people currently. They do, so nothing is lost. It isn't like they are on a firing binge or hiring freeze because of this.

Hambone72 said,
........
Also factor in the $2.35 billion they gained from their transaction with Arris where they sold a chunk of Moto Mobility to them (cable boxes and home internet unit).

Your overall point of lost billions is still valid though.

Crimson Rain said,

And they call others patent trolls...

Tosh! Since Google acquired Motorola they've succeeded in applying a total of ZERO patents against competitors. Meanwhile, Microsoft has signed over 20 patent licensees from Android manufacturers.

Google were sold a pig in a poke by Carl Icahn. Page was dumb enough to fall for it and that deal will go down as one of the greatest sales cons in the history of great sales cons. Google look totally ridiculous now and if I was dumb enough to be a shareholder I'd be quite upset.

Major_Plonquer said,

Google were sold a pig in a poke by Carl Icahn. Page was dumb enough to fall for it and that deal will go down as one of the greatest sales cons in the history of great sales cons.
I'm sure Zuckerberg and his acquisition of WhatsApp lies somewhere on that list too.

AsherGZ said,
I'm sure Zuckerberg and his acquisition of WhatsApp lies somewhere on that list too.

No one can tell right now. However, at least for now, WhatsApp is rapidly growing.