Google’s Motorola Mobility deal generates concerns

Google’s Motorola Mobility deal generates concerns   Google's recent announcement of its plans of a $12.5 billion acquisition of Motorola Mobility has already become a matter of concern for analysts and for most of the phone manufacturers that depend on Google's Android software for running their handsets.

According to Stephen Elop, CEO of Nokia - which has joined forces with Google's arch-rival Microsoft for mobile phone software -, Google's decision to take over Motorola Mobility has made analysts apprehensive that the deal may result in Motorola getting preferential treatment over the other Android supporters, Samsung and HTC.

Addressing a Helsinki seminar, Elop said that the concerns of the analysts and the phone makers are apparently justified. He elaborated: "If I happened to be someone who was an Android manufacturer or an operator, or anyone with a stake in that environment, I would be picking up my phone and calling certain executives at Google and say 'I see signs of danger ahead'."

Elop further suggested that so far as Nokia is concerned, the Google-Motorola deal is more or less a reinforcement of the logic for Nokia's deal with Microsoft - that is, the importance of "the third ecosystem." Meanwhile, in the opinion of most analysts, Motorola's key attraction for Google was its portfolio of 17,000 patents, which will help Google compete better in the growing arms race over the intellectual property behind smartphones as well as tablet computers.