Lenovo the fastest growing PC manufacturer of the year 2013 and famous for it’s ThinkPad® line of computers has talked an enterprise step to acquire Motorola Mobility from Google.
The $2.9 billion sale doesn’t include patents and Google will keep over 17,000 patents and 7,500 pending patent applications, according to its announcement.
The tech giant Google will also retain Advanced Technology and Projects group led by former DARPA director Regina Dugan .
This loss of about $9.6 billion might not be as big as it looks since the patents Google keeps might be worth about $5.6 billion. This comes after Google bought Motorola Mobility for $12.5 billion in 2012.
Terms of the acquisition include Lenovo paying Google $660 million in cash and $750 million in stock, while the remaining $1.5 billion will be paid out over three years. The sale has to be approved by the US and China government, a process that could take up to a year.
What this means for Motorola?
Lenovo will keep the Motorola brand just as Lenovo kept the ThinkPad brand after it bought it from IBM. Lenovo might use Motorola for Mobile enterprise growth after failed talks to purchase BlackBerry since Motorola was an International brand, Lenovo’s Mobile department will definitely grow.