AfterDawn: Tech news

Google's deal to buy Motorola sparks speculation about RIM buyout

Written by Rich Fiscus @ 17 Aug 2011 1:43

Google's deal to buy Motorola sparks speculation about RIM buyout It appears the acquisition of Motorola Mobility by Google could be the best thing to happen to Research In Motion so far this year.
RIM, the company behind the Blackberry brand, has been having a rough year. Their stock price has fallen more than 50% since the year began thanks in no small part to disappointing sales of their Playbook tablet and an extended period between major handset upgrades.

RIM's stock rose nearly 10% based on speculation their patents, which largely center around data synchronization, might make them the next handset maker to be sold. In addition, RIM is part of the alliance which, earlier this year, outbid Google for more than 6000 patents previously owned by now defunct Nortel Networks.

Like the Motorola deal announced on Monday, Google's interest in the Nortel patents was seen as primarily defensive, which raises the question of just how much interest there would be for purchasing RIM. Unlike Google, the companies frequently suggested as potential buyers, Apple, Samsung, HTC & Microsoft already own extensive smartphone related patent portfolios.

And of course it would take more than just an interested buyer. RIM's chief executives, who also happen to be the company's biggest stockholders, would need to be convinced. And even if that happens, the Canadian government would still have to sign off on the sale.

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