Google's Motorola Mobility Acquisition Is Completed: Now What?

By YCharts Staff,

Shutterstock photo

Google's ( GOOG ) acquisition of Motorola Mobility ( MMI ) is official . Sanjay Jha is stepping down as CEO of MMI and long-time Googler Dennis Woodside is taking over. Larry Page, CEO of Google said, "I've known Dennis for nearly a decade, and he's been phenomenal at building teams and delivering on some of Google's biggest bets." Woodside will have to continue delivering as this is the biggest bet Google has taken to date.

The Motorola acquisition will add $13 billion in annual revenue and expense for Google but nothing to the bottom line.

MMI Revenues TTM data by YCharts

This will drag down Google's revenue growth rates for the new combined company.

MMI Revenues TTM data by YCharts

Page commented that, "Many users coming online today may never use a desktop machine, and the impact of that transition will be profound--as will the ability to just tap and pay with your phone. " Obviously, Page and Google are betting big on mobile and they have to given the usage trends. But absorbing an acquisition the size of MMI will be a challenge.

From the editors of YCharts. YCharts Pro Investor Service includes professional stock charts , stock ratings and portfolio strategies .

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

This article appears in: investing Stocks
Referenced Stocks: AAPL , GOOG , S , T , VZ

More from YCHARTS




Find a Credit Card

Select a credit card product by:
Select an offer:
Data Provided by