Less than three years after Google bought mobile phone manufacturer Motorola – it has sold the company to Chinese firm Lenovo.
The search engine paid around £7.5 billion for the firm but has only managed to get £1.8 billion from the sale to Lenovo. It means that, although Google isn't short of money, it has made a substantial loss by buying and then selling the smartphone maker. The move also sees the American company admit defeat and resign to the fact that it couldn't make a success of Motorola's handsets.
However, there could be good news yet for the search-engine giant. As part of the deal, Google has kept ownership of the "vast majority of the Motorola patent portfolio," which is thought to amount to around 10,000 patents.
Google's chief executive Larry Page said: "Lenovo has the expertise and track record to scale Motorola Mobility into a major player within the Android ecosystem. This move will enable Google to devote our energy to driving innovation across the Android ecosystem, for the benefit of smartphone users everywhere."
Posted by Samantha Green