Tuesday, August 16, 2011

Another mega-merger

Google ponies up $12.5 billion to buy Motorola Mobility Holdings (WSJ account here).  Wonderful case for economic analysis of a merger.  Motorola manufactures electronic devices that use Google's software.  The motivation behind the merger supposedly is that it would allow Google to more tightly integrate software, product design and manufacturing.  Lots of other companies also manufacture such devices, and they are probably not real happy today.  Two equally large companies (in terms of employment).  Two very different cultures. 

Sheer genius?  Or the second coming of AOL Time Warner?  Think about it; it might be on the final exam in a Jenkins MBA course. 

No comments:

Post a Comment