A new report states that Google may be looking to sell off some of its Android hardware business, reports GSM Arena (via Wall Street Journal).
The report says Google has “identified a path for turning Motorola Mobility, its handset division, into a standalone maker that can develop its own devices. A Google executive briefed on the report said it would be difficult for Google to keep Motorola, which has a market cap of about $19 billion, as a separate company after it sold some smartphone licenses, giving the division more independence.”
The report says that when Google sells Motorola, it could use half of that money to fund another company, but the rest of the money could be used for other projects. It’s possible that this could mean Google would also sell its hardware development business, and perhaps some of its software development business (a separate report from Reuters mentions those two).
The WSJ report could be based on its own research, but at least one other report suggests Google is making an aggressive push to spin off the smartphone business, too. A blog post by the Consumer Electronics Association (CEA) states:
The consumer electronics industry has seen rapid growth over the past five years and has seen great momentum in Android. Google is aggressively pursuing new opportunities for Android and developing a platform that is designed to appeal to both mobile and Internet-enabled devices. Google continues its efforts to establish Android as the de facto mobile platform, and is seeking to build an infrastructure around the Open-Source Project (OSP) to drive development on Android.
The CEA added:
We believe that Google could use a significant portion of its Android cash hoard to explore the purchase of additional Motorola business assets and/or cash for its own portfolio of Android hardware, software products, and services – both in the U.S. and other markets, or through other investment strategies.
The Journal reports that it was also told by “multiple knowledgeable sources” that Apple was trying to woo Motorola into a new, smaller market, where it could do business independently with other companies.
The WSJ report did not say what it means that Motorola could be bought by Apple, but the report did say that it could be done as early as May 1 or May 5.
The WSJ report also says that Google was looking to move the smartphone business away from hardware onto software and search engine innovation so that it could diversify revenue. It also notes that Google is investing tens of millions of dollars in the mobile search businesses, and
rap classes nyc, how to practice rapping, how to know if you can rap, how to freestyle rap, rhymemakers