Monday, August 15, 2011

Six thoughts on Goog-Moto

Note: I posted an expanded version of this thought on TechCrunch.


Sanjay Jha: He is one of the best CEOs I’ve met.  A great addition to Google if he stays. 

Patents: I believe Google when they say that patents are the reason they got into this. They see themselves in a legal war. But why buy patents when they could buy the whole company:

Goog Strategy: This deal is not an endorsement of the Steve Jobs doctrine that the best way to make software is to control the hardware that runs it.
I think Google believes that, but only really for the hardware that runs its data centers. Google is to its core a cloud computing company. It sees hardware as little more than devices to run browsers of various sorts, which is a way to describe Android.

Cellphones: This doesn’t really change the dynamic in the market. It’s hard to see how much different Motorola’s Android lineup will be because of the deal. Moto already offers phones with the Google name and deep cooperation with Goog engineers. It’s not like Google’s Nexus lineup has been much of a hit.

Television: There is much more potential for impact in the living room. Moto is a very large cable box maker. Google TV has not caught on yet, and this could be the wedge to get it (a browser for the TV with a big search button) in millions of living rooms.

Future: I’ll bet that Goog spins off the manufacturing business within the decade. It’s just not what they do, and it’s not what they need in the long run. 

4 comments:

Mason said...

Is the cable-box division included in moto-mobile?

Eric Jackson said...
This comment has been removed by the author.
Saul Hansell said...

Mason: Yes it is. The conference call discussed it. (http://allthingsd.com/20110815/gulp-google-buying-motorola-mobility-for-12-5-billion/)

kmb40 said...

Great insights. I also felt that the set top box were the biggest and least discussed part of this deal. My explain why Google TV hasnt moved much since Google I/O.

@Mason Motorola Mobility does in fact include the name devices and then some.
See:
http://www.motorola.com/Consumers/XW-EN/Consumer-Products-and-Services
http://www.motorola.com/Consumers/US-EN/About_Motorola/Corporate_Overview (Last paragraph)