Google’s $2.9 billion sale of Motorola Mobility to Chinese PC maker Lenovo might seem like lousy business, given Google’s $12.5 billion purchase in 2012 and losses in the interim. But it leaves Google with a mobile research unit and a war chest of patents arguably bought at a very good price. And it gives a boost to Android in developing countries.
Google earlier sold off the Motorola Mobility Home unit for $2.35 billion (see “Why Google Wants Motorola”). With losses and other factors also considered, the cost to Google for the research lab and Motorola’s 17,000 patents represented a much better value than the $4.5 billion that Apple, Microsoft, and other tech companies paid two and a half years ago for 6,000 patents from Nortel Networks, a now defunct Canadian telecommunications maker.
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