Google deal could hit HTC, Samsung

2011-08-16 11:50

kalahari.com

  • The Google Story
    Read and find out all about Inside the hottest business, media and technology success of our time Now R157.00
    buy now
Seoul - Asian handset vendors such as HTC and Samsung Electronics could face pressure after Google Inc swooped in to buy Motorola Mobility Holdings Inc for $12.5bn to help protect its fast-growing Android mobile operating system.

The acquisition of the company will transform the mobile landscape and give Google one of the industry's largest patent libraries.

Wall Street quickly anointed Microsoft a winner in this deal, with Windows potentially benefiting if the acquisition alienates the 38 other phone makers that rely on Google's Android.

"The deal will make most Android players realise how dependent they are on Google and how quickly Google's plans can change their businesses," said Francisco Jeronimo, an analyst at research firm IDC.

"Samsung, HTC, and Sony Ericsson may now look at other platforms as a way to diversify the risk of being so dependent on one platform."

Sincerity

Google's Android partners such as Samsung, HTC and LG Electronics officially said they welcomed a deal that will aid their own legal battles, but some analysts questioned the sincerity of those claims, noting that rival companies would now be unlikely to heavily promote Android since it would benefit a direct competitor.

Android held a 43.4% share of the smartphone market at the end of the second quarter, ahead of Nokia's 22%, as per Gartner data. Apple ranked third with 18%, the data showed.

"Increasing their Windows Phones portfolio may now be a need in the long term... This acquisition may be the catalyst for companies to reduce their dependence on Google's platform to face future market challenges," Jeronimo said.

Asian handset manufacturers are increasingly turning to the free Android system, which is popular with operators and consumers in cut-rate markets.

The deal stoked immediate speculation that Nokia and Research in Motion - struggling device makers in a mobile arena - would become takeover targets themselves, sending Nokia's shares up more than 17% and RIM's up more than 9%.
Read more on:    google  |  mobile
NEXT ON NEWS24X
SHARE:

Read News24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
2 comments
Add your comment
Comment 0 characters remaining
 

Inside News24

 
/Sport

Jobs in Cape Town [change area]

Property [change area]

Travel - Look, Book, Go!

Magical Massinga

Spend 5 nights at the gorgeous Massinga Beach Lodge in Mozambique and only pay for 4 from R13 220 per person sharing. Includes return flights, accommodation, transfers and romantic turndown. Book now!

Kalahari.com - shop online today

Deal of the week!

20% off Afrikaans books, music and DVDs. Offer valid while stocks last. Shop now!

Save up to R1000 on Hisense smartphones!

View the large range of Hisense smartphones. Buy today and save up to R1000!

Hot gaming titles – available for pre-order!

Call of Duty: Advanced Warfare Day Zero Edition, Far Cry 4, Grand Theft Auto 5 and more. Pre-order now!

Get a free eBook

Buy 3 eBooks and get the cheapest FREE. Offer valid while stocks last. Shop now!

Bargain box – 60% off

Reduced prices, very limited stock. While stocks last. Hurry and shop now!

OLX Free Classifieds [change area]

Samsung Galaxy s4

Mobile, Cell Phones in South Africa, Western Cape, Cape Town. Date October 24

Best bargain in big bay

Real Estate, Houses - Apartments for Sale in South Africa, Western Cape, Cape Town. Date October 25

VW Golf 6, 1.6 Trendline (Excellent condition)

Vehicles, Cars in South Africa, Western Cape, Cape Town. Date October 25

Horoscopes
Aquarius
Aquarius

Be open, network and share your intentions and ideas as these may be the vital seeds to the imminent change that can be starting...read more

There are new stories on the homepage. Click here to see them.
 
English
Afrikaans
isiZulu

Hello 

Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.


Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire 24.com network.

Settings

Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.








Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.