The SEC filing for Google's acquisition of Motorola has gone public. The bulk of the $12.4 Billion paid for the company was the $5.5 Million paid specifically for the “patents and developed technology” that Motorola held. The rest of the money paid breaks down in an interesting fashion: $2.9 billion was attributed to cash acquired, $730 million was for customer relationships, $670 million was for “other net assets acquired,” and $2.6 billion was for “goodwill.”
That last bit caught our eye too. What sort of "goodwill" will be worth $2.6 Billion dollars? Google answered this for us later on in the filing. They said the good will could be “primarily attributed to the synergies expected to arise after the acquisition.” Interesting, these seems like a very forward thinking statement. Could they have plans for Motorola in the future that no one knows about? This seems highly likely.
Interestingly, the SEC filing shares a summary of the real reason that Google decided the Motorola buyout was a good deal. Here's the quote,
Quite true. It will be interesting to see what "synergies" Googorola comes up with in the future...We face intense competition. If we do not continue to innovate and provide products and services that are useful to users, we may not remain competitive, and our revenues and operating results could be adversely affected.