Google announced Monday an agreement deal to acquire Motorola Mobility Holdings, Inc. for a monster amount of $12.5 billion, 63% greater than the closing price of Motorola Mobility stock since trading closed Friday.
Google will continue to operate Motorola Mobility as a separate company while it remains a fully dedicated Android partner. Google says the acquisition will "supercharge the Android ecosystem and will enhance the competition in mobile computing."
In a blog post Monday Google CEO Larry Page explains that through over 80 years of innovation Motorola is one of the market leaders in the development of mobile computing. Motorola was also one of the first manufacturers to truly embrace Android in 2008.
Google says that the acquisition will not change their commitment to keep Android as an open platform. In addition, as the two companies will be run separate, Motorola will continue to be a licensee of Android. Google will also work with all Android partners just as they have done before.
"Motorola Mobility's total commitment to Android has created a natural fit for our two companies," said Larry Page, CEO of Google. "Together, we will create amazing user experiences that supercharge the entire Android ecosystem for the benefit of consumers, partners and developers."
The acquisition is now pending regulatory approval in many jurisdictions including the United States and European Union. The deal also awaits the approval of Motorola Mobility's stockholders, although their board of directors unanimously approved the deal. Google expects the transaction to be complete by the of 2011 or early 2012.

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