Google shocked us all yesterday when it announced it was acquiring Motorola Mobility for $12.5 billion. We certainly didn’t see that coming, but we could have just as easily replaced Google with Microsoft. According to GigaOM, Microsoft had eyes for Motorola Mobility as well.
Motorola Mobility apparently had other potential buyers other than Microsoft and Google. Microsoft and Google just happened to be the two front runners.
Microsoft was interested in purchasing Motorola Mobility to gain ownership of its thousands and patents and patent applications. Microsoft could have done some real damage to Android with those patents, so Google had to make Motorola Mobility a high-dollar offer it couldn’t refuse.
Motorola Mobility also chose Google because Google is going to keep Motorola’s hardware division going. Microsoft apparently only wanted the patents.
The acquisition is meant to “supercharge” and protect Android. If for any reason regulators deny Google’s proposal, Google will owe Motorola Mobility $2.5 billion.