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Google-Motorola deal could drive Samsung and HTC to Windows Phone

by Dan Worth

15 Aug 2011

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Google's shock $12.5bn acquisition of Motorola Mobility could have huge benefits for Microsoft by forcing companies such as Samsung and HTC, which favoured the Android platform, to switch allegiance to Windows Phone.

IDC analyst Francisco Jeronimo told V3 that, while the move gives Motorola the financial power and reach of Google, other manufacturers may be wary of sticking with Android.

"The deal means that Google will now be competing directly with the likes of HTC, Samsung and Sony Ericsson, and this could force them to focus more strongly on other platforms, most notably Windows Phone," he said.

"Samsung and HTC are already playing with other platforms, so this could help reinforce that push."

However, Pete Chou, chief executive of HTC, welcomed the deal as it will help to protect Android in the face of ongoing legal battles.

"We welcome the news of today's acquisition, which demonstrates that Google is deeply committed to defending Android, its partners and the entire ecosystem," he said.

The chief executives of Sony Ericsson and LG offered prepared statements welcoming the deal, but notably there was no comment from Samsung, the biggest seller of Android handsets.

The deal could also help Google to enhance its patent portfolio in the wireless and mobile space, but Jeronimo said that, although Motorola owns a huge number of mobile patents, they will not end Google's current legal issues.

"Motorola does have a wide selection of patents as its mobile phone technology dates back as far as the 1970s. It won't mean that Google won't face legal challenges, but it will give it a better chance of negotiating," he said.

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