2013 was another boffo year for Google.
The company trounced financial analyst expectations in the fourth quarter of 2013 as revenue rose to $16.86 billion, 17 percent higher than the same period in 2012. The company's operating income, on earnings excluding one-time items, rose to $4.84 billion from $4.27 billion a year earlier.
Analysts expected earnings per share of $12.26 on revenue of $16.75 billion. While Google's earnings per share missed those expectations at $12.01, they were much higher than the $10.65 a year earlier. Revenue far surpassed expectations as well. … Read more
If there's any question about why Google sold Motorola Mobility, just look at its fourth-quarter results.
Motorola's results again weighed on Google's profitability, with the unit's operating loss actually widening to $384 million from $152 million a year ago.
Revenue, meanwhile, fell nearly 18 percent from a year ago to $1.24 billion, or 7 percent of Google's total revenue for the period.
Google late Wednesday made an unexpected announcement that it's selling Motorola Mobility to Chinese PC giant Lenovo for $2.91 billion, or less than a quarter of what it paid for the handset vendor just a couple of years ago. During the years Google owned it, Motorola lost money and market share, and the relationship caused tension between Google and the other Android vendors, particularly Samsung. It also led those other phone makers to develop their own software and services, rather than push those from Google. That amplified Android's fragmentation … Read more
Lenovo's move to buy Motorola Mobility from Google in a deal valued at $2.91 billion is likely to spur an Android ecosystem consolidation wave because smaller players aren't going to have the scale to compete.
The first casualty in this consolidation wave is likely to be HTC.
For Google, one advantage of selling Motorola to Lenovo for $2.91 billion is that it creates two big dogs in the Android ecosystem: Samsung and Lenovo. Lenovo has the scale to compete with Samsung eventually. Today, Lenovo is working on its supply chain efficiencies as it tackles emerging markets. … Read more
Google late Wednesday confirmed that it's selling Motorola Mobility to Chinese PC giant Lenovo for $2.91 billion, or less than a quarter of what it paid for the handset vendor in 2011. Motorola has brought nothing but troubles (and a lot of patents) to Google, with the company steadily losing money and market share. It also has caused headaches for other Android smartphone makers, especially Samsung.
Common wisdom tells you that unless we're talking about brand-new cars, selling something for just one-quarter of what you paid is a bad deal. It's even worse when the numbers are in the billions of dollars. But if we're talking about Motorola Mobility and Google, the "common" wisdom is wrong -- yet again.
In a surprise move Wednesday, Google unloaded Motorola Mobility's handset division and around 2,000 patents to Lenovo for what sounded like a fire sale price of $2.91 billion. Google had shelled out $12.5 billion, or about one-quarter of … Read more
Not that Lenovo was a shrinking violet until now. The company already was the world's biggest personal computer maker after moving ahead of Hewlett-Packard in the third quarter of last year. Not bad for a company which was an agent for imported computer products until it sold its first computer in 1990.
The breakout year came in late … Read more
If there's one thing Google is trying to achieve with Google Glass, it's normality.
It wants you to believe that it's nothing special for someone to walk down the street wearing odd glasses, with a camera attached.
Why, it's even trying to make the glasses look less odd for prescription wearers (with limited success).
Here's a scenario, though. You're walking down the street. In the opposite direction walks a man wearing Google Glass. He is constantly shouting: "Bang! Bang!" … Read more
To Lenovo CEO Yang Yuanqing, Motorola is a "treasure," and will be treated as such.
"It's our treasure," Yang said during a conference call with reporters Wednesday. "We plan to not only protect the Motorola brand, but make it stronger."
Following the announcement that Lenovo would pay Google $2.9 billion to buy the unit, Yang shed some light on where he plans to take the Motorola business -- at least for the foreseeable future, not too far. Yang said Lenovo would operate both brands where appropriate. In China and emerging markets such … Read more