Lenovo Buys Motorola

A week ago, Lenovo purchased Motorola Mobility from Google. They purchased it for a steal at $2.91 billion.

This will be quite an amazing change for Lenovo. You see, Lenovo is not a big company when it comes to phones — at least in North America. Worldwide, they are number five. It’s interesting that Lenovo bought Motorola and not some other mobile phone company. Motorola is an amazing company and Lenovo will definitely take advantage of their expertise when it comes to the smartphone market.

There are two possibilities that may come out of this transaction:

1. Lenovo uses Motorola to compete in the North American market. This allows them to create an even larger technological monopoly and increase sales tenfold. The only thing they have to do is create a smartphone that can either make it or break it for the company. They need to do something revolutionary — a change in the ideal “smartphone.”
2. Lenovo uses Motorola their knowledge of the smartphone to create their own under their own name. From assumption, Motorola will continually build phones under their name, but if Lenovo decides to enter the North American market and they want to make a Lenovo smartphone that can compete, they will definitely need Motorola.

According to articles and extensive videos (including the one after this paragraph), Lenovo bought Motorola Mobility only. This doesn’t include all the patents that was included in the sale of Motorola in 2012. That could mean that Lenovo, Motorola and Google are becoming allies than enemies. Could Lenovo be working with Google? Maybe after this purchase, they can start thinking about other deals, like making a Chromebook with Lenovo as the manufacturer. Interesting, right?

Here’s the video:

He points out some great details about the deal that went on.

Let’s just hope for the best for all the companies in this situation because they are all great companies.

Keep Chewing!