By Aldo Panessidi
Google jumped its final hurdle in its $12.5 billion acquisition of Motorola Mobility with China approving the deal. The next step may involve layoffs for Motorola Mobility employees in the near future. According to Tech Crunch, layoffs could be on the list of things to do after the deal closes.
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Motorola went through one restructuring after the announcement of the Google acquisition last year. When the announcement went public, Motorola had 19,000 employees. Later that year about 800 employees were laid off. Neither Google nor Motorola have confirmed the possibility of upcoming layoffs.
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"I'm excited to announce today that our Motorola Mobility deal has closed," said Larry Page, Google CEO. "Motorola is a great American tech company that has driven the mobile revolution, with a track record of over 80 years of innovation, including the creation of the first cell phone. We all remember Motorola's StarTAC, which at the time seemed tiny and showed the real potential of these devices. As the company who made a big, early bet on Android, Motorola has become an incredibly valuable partner to Google."
While the news of any layoffs under any circumstances is bad news, maybe Google can turn the phone- maker around. Motorola has been in trouble for awhile now. Earlier this month, the company reported a fifth straight quarter of losses including a net loss of $86 million for the first quarter of 2012. In previous consecutive quarters, Motorola reported net losses in the low $80 million area. Motorola hasn’t been able to figure out how to compete with other Android device manufacturers like Samsung and HTC.
Google also announced today that Motorola Mobility CEO Sanjay Jha has stepped down and Google executive Dennis Woodside will take over.