Just a few months after the deal closed, Google is reportedly already planning to break up Motorola Mobility and sell off some parts, according to a memo from Light Reading Cable.
In the memo, LRC editor Jeff Baumgartner writes that Google is planning to sell of the set-top box unit, in particular, as the bidding process would get started in September with hopes for a deal completed by the end of the year:
Multiple industry insiders and people in cable M&A circles confirm that Google has not yet started the formal sales process for the Home division, which makes and sells cable modems, set-tops, video processors, edge QAMs, cable modem termination systems (CMTSs) and video navigation software. However, there's strong consensus that Google will put Motorola on the block, though there's some variance on when the process will officially get underway. Barclays Capital is rumored to be the banker Google has hired for the sale.
This is disconcerting (and unlikely) for a few reasons, most of which center around Google TV. Here's why Google probably won't (or at least shouldn't) get rid of this important division of Motorola just yet.
The $12.5 billion merger closed this spring after Google ... [Read more]
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