Google’s Moto Mobility deal could have had Microsoft roots, comes with $2.5 billion break-up fee

Is Microsoft preparing to fill in Google’s old mobile boots? It may thoroughly be, now that the hunt king has firmly committed to the hardware side of the mobile business. Per a report on GigaOM, MS was one of the potential suitors circling Motorola’s treasure trove of patents, effectively forcing El Goog to swoop in for the $12.5 billion kill. Moto’s portfolio of 17,000 patents and seven,500 patent applications would have significantly strengthened Redmond’s attack at the Android platform, nevertheless it appears the loss might actually benefit MS in other unintended ways. Despite the cheery, public well-wishing from handset makers, insider rumblings indicate a likely mass OEM defection to Windows Phone 7 could shortly be afoot, paving the way in which for a fierce, three-way mobile OS fight. For its part, Google doesn’t seem too worried in regards to the competition, considering the deal’s hefty $2.5 billion break-up fee — a percentage thrice that of the AT&T / T-Mobile merger penalty — a confident financial sign it intends to win this wireless race.

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This post is tagged: handset makers, mobile business, patent applications, paving the way, treasure trove