Feeds

Googorola deal stalled by Feds

Probe punts acquisition into 2012

Providing a secure and efficient Helpdesk

The US Department of Justice has asked for more time to consider Google's $12.5bn acquisition of Motorola Mobility, putting paid to any hopes of closing out the deal before the end of the year.

Most of Google's acquisitions are scrutinised very closely because of the Chocolate Factory's sprawling empire across the net and its dominance in search and advertising.

Dennis Woodside, senior VP at Google, disclosed the hold-up in a blog post, where he implied that Google was neither surprised nor too fussed about the delay:

We know that close scrutiny is part of the process and we've been talking to the US Department of Justice over the past few weeks. Today we received what is called a "second request", which means that the DOJ is asking for more information so that they can continue to review the deal. (This is pretty routine; we’ve gotten these kind of requests before.)

While this means we won't be closing right away, we're confident that the DOJ will conclude that the rapidly growing mobile ecosystem will remain highly competitive after this deal closes. We'll be working closely and cooperatively with them as they continue their review.

However, there's a chance Woodside is playing it cool, since the more quickly Google can seal the deal on Motorola Mobility, the more quickly it bags the 17,000 patents commonly thought to be a main motivator in the purchase. Many commentators reckon Google is stocking up on patents for all it's worth – after ignoring them for many years – as the patent wars escalate with Android, a key battlefield.

It's also not as if Google's lawyers don't have enough to be getting on with at the moment. Quite apart from helping Android manufacturers in their patent suits and working on their own IP issues, the web giant is also facing a sweeping antitrust investigation from the US Federal Trade Commission. ®

Providing a secure and efficient Helpdesk

More from The Register

next story
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
Driving with an Apple Watch could land you with a £100 FINE
Bad news for tech-addicted fanbois behind the wheel
Special pleading against mass surveillance won't help anyone
Protecting journalists alone won't protect their sources
Phones 4u website DIES as wounded mobe retailer struggles to stay above water
Founder blames 'ruthless network partners' for implosion
Radio hams can encrypt, in emergencies, says Ofcom
Consultation promises new spectrum and hints at relaxed licence conditions
Big Content Australia just blew a big hole in its credibility
AHEDA's research on average content prices did not expose methodology, so appears less than rigourous
EMC, HP blockbuster 'merger' shocker comes a cropper
Stand down, FTC... you can put your feet up for a bit
Vodafone to buy 140 Phones 4u stores from stricken retailer
887 jobs 'preserved' in the process, says administrator PwC
prev story

Whitepapers

Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.