Monday morning, Google announced a $12.5 billion acquisition bid for Motorola Mobility had been accepted. The news, which both parties pointed to as an eventual impetus for greater innovation, has been interpreted many different ways by industry experts.
According to CNET contributor and tech industry expert Jay Greene, patents are at an especially high premium within the mobility market. Earlier this month, Google's $4.5 billion bid for the Nortel patent Portfolio was denied thanks to a joint effort by Apple and Microsoft. The primary motivation for outbidding Google has been speculated by many, but most believe it was solely to prevent Google from improving its IP portfolio.
With Motorola now essentially an internal hardware development shop for Google's wildly popular Android operating system, the company also owns Motorola's IP portfolio.
Greene also points out that the prices for IP portfolios have skyrocketed in recent months as larger companies have been aggressive in pursuing available patents.
Google success as an OS developer, however, has set the company up to be the premier mobile company moving forward. Even with the consistent buzz generated by Apple's iPad, comScore recently reported Android is the world's No. 1 mobile operating system.