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Google sells off portion of Motorola business

20 Dec 2012
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Google has sold off a portion of the business it acquired from Motorola in 2011.

Networking hardware specialist Arris said that it had agreed to a $2.35bn deal in which it will acquire Motorola Home from Google. Specialising in set-top boxes, Motorola Home develops hardware for home entertainment and streaming video services.

"This transformational combination of two complementary businesses will create a leading end-to-end provider of today's video, data, and voice products and tomorrow's next-generation IP-based broadband products," said Arris chief executive Bob Stanzione.

"Ever-expanding consumer demand for bandwidth will continue to drive growth across cloud and network technologies we provide that enable innovative home entertainment products and services."

The move will help to rid Google of one of the peripheral businesses it acquired when it shelled out $12bn for Motorola Mobility. The company said that it made the deal in large part to add to its Android mobile platform, though Motorola's extensive patent catalogue was also cited as a factor in the deal.

While Google has been relatively quiet about its plans for Motorola Mobility, the company has vowed to operate as a separate entity.

Arris, meanwhile, estimates that its new acquisition will help the company raise its annual revenues by some $3.4bn.


"Acquiring Motorola Home builds on ARRIS' rich history, creating a global player with significant footprint, revenue and cash flow.  It also adds expertise in video and a larger presence in the home to our core strengths in voice and data, ensuring we are even better positioned to capitalize on and manage the evolution toward multi-screen home entertainment," said Stanzione.

"We look forward to working with the Motorola Home team as we integrate their complementary product portfolio and engineering expertise to accelerate best-in-class end-to-end solutions to a broader customer base and increase value for shareholders."

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Shaun Nichols

Shaun Nichols is the US correspondent for He has been with the company since 2006, originally joining as a news intern at the site's San Francisco offices.

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