Google’s Motorola deal still awaits China’s approval

Rue Liu - Mar 19, 2012, 5:06pm CDT
Google’s Motorola deal still awaits China’s approval

Google’s deal to acquire Motorola Mobility for $12.5 billion is still waiting for approval by China’s antitrust agency. The deal has already received clearance from the US Justice Department, the European Union, and other jurisdictions around the world, making China the last hurdle. However, Chinese regulators have added another round of investigations, which could bring further delays.

In a regulatory filing made today by Motorola, it was revealed that China’s antitrust agency had extended the second phase of its invesitgations. Google and Motorola still expect the transaction to close within the first half of this year, but they could not provide any assurances that the transaction will be approved by China.

The deal was first announced last year amidst the mounting legal disputes over alleged Android patent infringements. Google explains the strategic maneuver as a means to obtain Motorola’s massive patent portfolio to help gain more leverage in defending the Android platform and its partners.

[via Bloomberg]

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