Google Completes Acquisition of Motorola Mobility, Layoffs Likely
May 22, 2012 11:47 AM
comment(s) - last by
Neither Google nor Motorola have confirmed the possible upcoming layoffs
Google has finally closed its $12.5 billion
acquisition of Motorola Mobility
, with China approving the deal just this past weekend.
Motorola is in a pretty tough spot right now. Earlier this month, the company reported a
fifth straight quarter of losses
, which included a net loss of $86 million USD for Q1 2012. In previous consecutive quarters, Motorola reported net losses in the low $80 million area. Motorola is having a hard time likely because of its inability to keep up with other Android-powered phonemakers like
Samsung and HTC
"I'm excited to announce today that our Motorola Mobility deal has closed," said Larry Page, Google CEO. "Motorola is a great American tech company that has driven the mobile revolution, with a track record of over 80 years of innovation, including the creation of the first cell phone. We all remember Motorola's StarTAC, which at the time seemed tiny and showed the real potential of these devices. As the company who made a big, early bet on Android, Motorola has become an incredibly valuable partner to Google."
Google also announced today that Motorola Mobility CEO Sanjay Jha has stepped down and Google executive Dennis Woodside will take over.
However, the deal closing may also mean layoffs for other Motorola Mobility employees in the near future. According to
, layoffs could be on the list of things to do after the deal closes.
But Motorola has already gone through restructuring since the announcement of the Google acquisition last year. When the announcement went public, Motorola had 19,000 employees. In fall 2011, about 800 employees were laid off.
Neither Google nor Motorola have confirmed the possible upcoming layoffs, but
noted that Google had previously ordered a 40 percent cut of DoubleClick staff when it acquired the company and its 1,600 employees. This could be a similar situation.
This article is over a month old, voting and posting comments is disabled
RE: Shouldn't compete with your customers
5/22/2012 4:10:53 PM
It's not about lawsuits. It's about showing preference to your own brand at the expense of your other customers. Do you think Samsung is happy that they will no longer get to be the "Google experience" phone partner?
"A politician stumbles over himself... Then they pick it out. They edit it. He runs the clip, and then he makes a funny face, and the whole audience has a Pavlovian response." -- Joe Scarborough on John Stewart over Jim Cramer
Motorola Bleeds More Cash as it Waits for Google to Save It
May 2, 2012, 2:02 PM
IDC: Apple and Samsung Steadily Climb as Nokia, HTC, and RIM Plummet
May 1, 2012, 2:53 PM
UPDATE: Google to Acquire Motorola Mobility, Gain Huge Patent Portfolio
August 15, 2011, 7:45 AM
AT&T Will Also Receive the HTC One (M8) for Windows
August 19, 2014, 9:27 PM
Sharp's "Edge-to-Edge" AQUOS Crystal Smartphone Coming to Sprint for $239 Off-Contract
August 19, 2014, 7:31 PM
After 34 Years With Microsoft, Steve Ballmer Parts Way to Focus on LA Clippers
August 19, 2014, 4:17 PM
HTC One (M8) for Windows Officially Announced for Verizon Wireless
August 19, 2014, 12:15 PM
Quick Note: ASUS Readies Smartwatch for IFA 2014, Shows Teaser Image
August 19, 2014, 9:30 AM
LG Already Gearing Up for G Watch Sequel Next Month
August 19, 2014, 7:54 AM
Most Popular Articles
Lumia 830 Gets Major Upgrades Including New 20.1 Megapixel Toshiba Sensor
August 15, 2014, 6:00 PM
With USB Type-C Spec Finalized, Reversible Cables Will Soon Be Upon Us
August 13, 2014, 8:46 AM
Windows Phone, BlackBerry Smartphone Market Share Falls to 2.5%, 0.5% Respectively
August 15, 2014, 9:44 AM
Update: Samsung Gets Official With 4.7”, Aluminum-frame Galaxy Alpha Smartphone
August 14, 2014, 8:56 AM
GM Concedes That the Cadillac ELR Doesn’t Really Compete with the Tesla Model S
August 15, 2014, 5:42 PM
Latest Blog Posts
Space Terrorism is a Looming Threat For the United States
Apr 23, 2014, 7:47 PM
Facebook Aims to Provide Internet to "Every Person in the World" with Drones, Satellites
Apr 1, 2014, 10:20 AM
Retail Mobile Sites Experience Outages in Light of Simplexity's Bankruptcy
Mar 14, 2014, 8:48 AM
Tesla vs. BMW: Who Has the Safer EV?
Feb 1, 2014, 2:56 PM
Justice Leaks Details of Next HTC One Two Flagship Phone
Dec 5, 2013, 4:04 PM
More Blog Posts
Copyright 2014 DailyTech LLC. -
Terms, Conditions & Privacy Information