Google sells Motorola to Lenovo for 2.9 billion

   

'Motorola' A Lenovo Company' 

  Google Inc. entered the smartphone business by acquiring 'Motorola' the biggest smartphone player of the United States of America way back in 2011.Now it has made plans to quit its smartphone business and just stick to the software aspect i.e Android.
A tweet from the official Google handle on Twitter confirmed that this news wasn’t a hoax.
It purchased Motorola for a hectic amount of $12.5 billion which came as a shocker to the mobile industry in 2011.Due to the fact that Google was facing huge quarter losses thanks to Motorola and it was reportedly asked by its investors that what was Google doing to cut down its losses.

Now yet again it has shocked the mobile industry by selling Motorola's smartphone business for $2.91 billion .Now the question arises why did Google put up its $9.59 billion at stake?Actually if you think it the other way round the deal won't prove devastating Google as it sold Motorola 's set top box division for $2 billion and in fact it has got hold of Motorola's near about 2000 patents which it would be licensing to Lenovo too.Talking about Lenovo it has maintained its trend of acquiring big firms as it got hold of IBM's Thinkpad business in 2005 and it then emerged as the leading PC maker of the world , now yet again the world has the same expectation that it would enhance the market value which was made by Motorola in the previous years  by the Motorola brand and Motorola Mobility’s portfolio of innovative smartphones like the Moto X and Moto G and the DROID™ Ultra series.

Now it is expected by Lenovo that it would keep the Google's dream alive by pricing Motorola’s handsets at insanely low prices, just like it does with the Nexus series. It would be interesting to see whether Lenovo continues that tradition of low pricing though it has no reason to do so as Google’s vision was to bring in as many users on the Android ecosystem even if it didn't earn a single penny of a handset it sold.Also it would allow Lenovo to compete with the big rivals such as Samsung and Apple in long term.