There have been rumors in recent weeks suggesting Google was close to selling off Motorola and today those rumors appear to have some serious legs.
China’s Lenovo Group is nearing a deal to buy Google Inc’s Motorola handset division for close to $3 billion, people familiar with the matter told Reuters on Wednesday, buying its way into a heavily competitive U.S. handset market dominated by Apple Inc.
Lenovo is in the final stages of talks to buy the Google division that makes the Moto X and Moto G smartphones, as well as certain patents, the sources said.
Google, as you may recall, purchased Motorola in early 2012 for a pricey $12.5 million dollars. That’s obviously a massive drop in value, but Google may not take the loss as hard as some may assume considering the technology they were able to pull from the purchase. Regardless, they seemingly got what they wanted out of it and now have decided to rid themselves of the money-losing business.
Assuming the sale goes through, it would be Lenovo’s second big purchase in recent days as the electronics company recently bought IBM’s low-end server business for $2.3 billion dollars.