Mobile Phones Reviews

Archive for the ‘Motorola’ Category

Adam Hurting presents a strong case on the blog where Forbes says that Google made a big mistake to buy Motorola. He argues that Google just did it to save Android, but instead I had to do was cut their losses, leaving Android.

We believe the chagrin of Adam has his reasons because of the difficulties that might arise. More than two thirds of large acquisitions cause a reduction in the value of the absorbing company, and most of them are less complicated than this. However, the central thesis of Adam says Android is not worth being saved, and that’s the part we asked.

Adam believes that Android, along with Google Chrome + and are examples of the struggles that Google has faced, because most are motivated by the leadership failed attempts to defend and expand the search and advertising business.

I agree to “defend and extend” strategy can be terrible, if the goal is to defend the major markets and minimize competition from others. About 25 years ago, Kodak sought to defend and expand its business of film, chemicals and paper in the face of digital photography; we can say is perhaps the clearest example of what we discussed. But there are plenty of others too. Polaroid also fell into the same trap with its instant film business. Arch Communications lost pagers billion buying companies in the nineties, and even as users were abandoning and replacing them with cell phones and emails.

“To defend and extend” is the right strategy, if used in the context of a growing market and to acquire a large potential gains. There are hundreds of billions of dollars spent on advertising and media promotions. In our opinion, Google has the right to take the same position and capture as much as possible.

Google’s Android strategy is a consequence of their assumptions about the future of mobile telephony, Alex Bara, one of the vendors Google executives described as:

“We focus on the mobile as an important part of our overall strategy. Mobile phones will soon have more reach than television, radio or the Internet.

The search has always been our business since many years. We make it easy to search as you go phones taking advantage of the location of each user.

Our strategy for mobile advertising is that we connect with people when they are using their device, whether you are looking for Internet browsing, watching videos or using some application. ”

In other words, the mobile is the growth of users and advertising, and Google wants desperately to bring his current success to new platforms. Android is necessary (though not sufficient) to allow that.

Imagine a scenario in which Google Android leaves. What part of almost 50% share of Android in the Smartphone market would move to Apple? How much would go to Microsoft? Other arch enemies in a world where smart phones were controlled by Steve Jobs. What would be the fate of Ad Mob Google, the industry leading mobile advertising networks? How Google would influence other important trends, such as NFC payments and social media?

It seems that the risk of abandoning Android would be too great, and perhaps fatal.

This does not mean, of course, that Google could not have done better with Android. It would be wrong to leave to Android. Ally is better than being in a constant battle; the phones have become a war in which Google will have to fight.