Lenovo's wraps acquisition of Motorola from Google

Lenovo completes the acquisition of Motorola Mobility from Google for a consideration of $2.91 Billion. The purchase price will be paid in $660 Million cash, $750 Million Lenovo Stocks and a three-year promissory note to Google for the balance of $1.5 Billion. Motorola, a US based company, pioneered the invention of cellular devices and was the biggest player in the mobile industry prior to Nokia’s global market domination.

The acquisition makes Motorola Mobility a wholly-owned subsidiary of Lenovo. That being said, Lenovo now owns the Motorola brand, its existing portfolio of smartphones like the Moto X and Moto G, and its future product roadmap. As Lenovo’s current success is mostly credited to its position in China, the union will be quintessential for the growth and expansion of the Company in the US, Europe and other emerging markets.

Ranked at no. 4 worldwide on the third quarter global smartphone sales, Lenovo got a total of 16.9 Million Units, and is behind a notch from Xiaomi Corp., another Beijing-based company which boosted 17.3 Million of sales without even leaving Asia. Lenovo’s CEO Yang Yuanqing aims that Lenovo will be number three in the global smartphone market and will challenge both Samsung and Apple in the top 2 slots.