Discussion in 'Android News' started by dgstorm, Aug 15, 2011.
You don't spend $12.5 billion to continue business as usual.
I think you got it backwards.
They're going to continue developing the OS as they see fit, but now we have a manufacture that will be actively building phones exactly to best OS specs. Most manufactures have still been trying to use their old business model of piecemeal, planned hardware upgrades that follow their own profit forecasts, not driven by the technology. With this acquisition, that's abut to change unless they want to be left behind.
The first change happened when apple released, the second when android released, and now this is the final push to get them to disgaurd that antiqued, anti-customer business model.
You guys are looking at this all wrong. Google will not shoot themselves in the foot. The IP Portfolio is worth more then what Moto Mobility profits per year. Yes, I'm sure Moto devices will start shipping with updated versions of Android, and I do see big changes for Moto as a separate company, but they are hardly the biggest device manufacture for android (not globally anyways). Google wants everyone in the world to have their search engine, Android is just another way to make that happen. The more Google services people use, the more money they generate.
Here are some fun facts for you:
Google made $30Billion last year.
MotoMobility made $12Billion.
Now this was not profit, just pure gross, but I promise you, Google turned a much higher profit
Don't worry about it, Google is not in this for the money, they want the patents, and they want to save the sinking ship (yes, moto is sinking) that launched Android to the masses.
I'm not sure where either the "LoL" or the iPhone reference are relevant to my comment. The business casebooks are filled with examples of companies that have been forced to divest businesses that their major customers view as competitive. For example, not too long ago a major supplier of hospital equipment was forced to sell its free-standing surgical centers, because the surgical centers competed with the same hospitals that were the customers of the supply business. Perhaps you could clarify your disagreement with my comment.
You don't spend $12B on one entity and allow it to play on the same level playing field with everyone else that is currently running and will continue to run your operating system. When you control the hardware AND software of one entity, you don't just sit back and allow it to "compete" with all the other devices that are also running your software. No, you design from the ground up so that your hardware/software combo devices far outperform the software-only entities.
Why continue to develop with the intentions of giving consumers a possible ideal situation where they purchase another manufacturer's device and allow them to get the profits from that when you can make your own devices so streamlined and optimized with the OS and hardware working flawlessly in your own devices to the point where your devices are the only logical Android purchase to make. The number of Android phones out there would be the same, but instead of splitting the profits of all smartphone sales, you get them all to yourself.
You don't spend $12Billion and expect to not do that. $12Million, ok, then you were just purchasing patents. $12Billion? No, you're out to change the game.
Bring on the change!
The new battle is Apple v. Google/Motorola. All of the other players have been marginalized.
What does this even mean? It's driving me nuts trying to figure out what you're talking about here.
Well...yall do make a point...lol
if i wanted to email someone in corporate google or whoever i would need to, to ask about future plans with motorola, how would i get in contact with them? i cant seem to find any email addresses.
I think you under estimate the value of the patent portfolio.
Apple and Microsoft desperately want to stop Android/Google because they see the danger. The acquisition of Motorola Mobility allows for the continued growth of Android and allows for Google's extremely successful and profitable strategy to continue unhampered into the future.
I am sure things will change a bit at Motorola over time, but I think Google would just be happy to have the patent portfolio and have a moderately profitable subsidiary in Motorola Mobility or even strip the patent portfolio and sell what's left of Motorola.
What some are forgetting is that because of it's meteoric growth, Android has fallen under increasing attacks. Lawsuits from Microsoft and Apple were a big problem for companies making Android handsets, and to increase profits Motorola was considering suing other Android phone manufacturers for licensing fees. These things were all likely to cause a slowdown in the proliferation of Android. Google has stepped up to the plate, and IMHO made a very smart move to protect itself and it's partners and done a great service to consumers by helping to allow growth and innovation to occur instead of the stagnation that would be caused by Apple and Microsoft's drain on the smartphone sector by continued lawsuits looking for draconian licensing fees and/or injunctions prohibiting sales of their competitor's products.
"Protect its partners?!?" Are you kidding? All those "partners" are now competitors. There was NOTHING altruistic about this acquisition. BeardFace is correct: the game has changed. Apple v. Google for the World Phone Heavyweight Championship!
I read this too recently. I dont know if it was just read or interpreted wrong...but that was something I thought was strange. Its a coincidence I read that last week...and now this.
You make a good point too with this post.
No one is correct ...lol. None of us wont know whats gonna happen until a few years go by, if we start to see changes or if things stay the same. I see good point being made on both sides.
In the meantime...we all can play livingroom analyst....wish I could get paid for it...
I'm going to go off on a tangent here, just for the heck of it really.
I no longer believe that Microsoft or Apple are worried about the phone world to be honest. Sure, the iPhone has a huge following as it has always been seen as the "it" item by the masses in America. But honestly, Micro has never done terribly well in the mobile phone department, and Apple only in the past few years.
Besides, we might as well face it: America will, at least for the foreseeable future, herd to Apple and their phone/mp3/tablet products like a fat kid to a chocolate factory. Unless the acquisition of Moto by Google is followed by a strong ad campaign for future devices that manages to some how toss Apple out on its ass, all the "cool kids" will want iWhatever. I almost think that Android should start doing a smear campaign like most politicians do when trying to get elected. "Apple would have you believe that your interests are their top priority, but did you know.... Android for 2012."
What these two companies' main interest circulates around (OK, this is more so Microsoft than Apple, but still) is computers, specifically laptops as we get on in years. However, tablets are rapidly changing that. The iPad sells phenomenally well at a rather whack-job price while only being a stepping stone, and more of a play thing and novelty item than any real computing powerhouse. Android is starting to change that though by really opening up with tablets, and the rumored quad-core devices for later this year and next year can conceivably replace most laptops, especially as we push further and further into cloud services. True, the standard (or rather, not so standard) gaming rigs will still outshine any tablet. But to the average Joe? A tablet is going to be able to do most everything he needs it to do. Pair a tablet to a Bluetooth keyboard, mouse, speakers, and maybe a printer and BAM!, no more "clunky" laptops, "giant"/"loud" desktops or loose wires needed. With all that in mind, it's easy to see why Apple is gunning so hard for the Galaxy tab and now Moto Xoom. If they can shoot the two major Android phone/tablet players down...they may be secured for a few more years. Microsoft, sadly, has yet to make a truly profitable foray into this field.
End of my two cents.
Planned obsolescence, stepped, planned upgrades paths.
You think a D3 really is worth it's price in parts at MSRP $459.99?
The tech cycle in phones has long since lagged behind other industries. It took Apple to break the mold, but most manufactures are still following the "release an ok device every 6 months and market it as top of the line tech", rather then trying to push the envelope.
Google itself has said it's had a hard time getting manufactures to create hardware best able to run Andy. It's because it cut into their large profits / business model.
I do agree with this, it took the IPhone to give a good kick in the ass to companies like Motorola to develop something truely great (OG Droid). Then they go back into what failed them by doing the smallest incremental upgrades (D2, DX2)
Separate names with a comma.