The head of our global Mobile and Wireless Communications research comments below on Lenovo Group Limited (OTCMKTS:LNVGY) (HKG:0992)’s purchase of Motorola Mobility. To chat with Brent further, or another of our ICT analysts, contact me anytime.

Lenovo Google

According to Global Research Director Brent Iadarola:

“By unloading the Motorola handset division to Lenovo Group Limited (OTCMKTS:LNVGY) (HKG:0992) while holding key software patents, Google Inc (NASDAQ:GOOG) reinforced their commitment to Android neutrality among hardware partners, while retaining important investments in patent protection.

“The deal also:

– “Reinforces Google Inc (NASDAQ:GOOG)’s core philosophy that a common software platform crossing disparate hardware providers is superior to an end-to-end ecosystem approach (i.e., Apple and/or BlackBerry).

– “Alleviates the burden of keeping a costly hardware division afloat, which has increasingly been perceived, among many Android partners, as facilitating an unequal playing field for OS feature releases and integration.

– “Allows Google Inc (NASDAQ:GOOG) to continue to protect the Android operating system, while releasing Motorola Mobility to a company more readily interested in integrating/leveraging Motorola’s brand equity.”

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