Google is swallowing a big loss in selling Motorola for $2.9 billion and Lenovo is taking a big risk in acquiring an iconic but troubled brand.
Lenovo Explains Its $2.9 Billion Motorola Deal
In a conference call, Lenovo CEO Yang Yuanqing says both Motorola and Lenovo brands will be used, offices in Chicago and Bay Area will stay, but stays mum on future of Texas manufacturing plant.
So why are they doing it?
We think we know why Google is selling. It can’t be a coincidence that Google has reached new accords with both Samsung and European regulators.
But Google and Lenovo will get to explain themselves firsthand in a conference call set to begin in just a few minutes.
Update: Well, looks like only Lenovo did the ‘splaining, as Google and Motorola are letting their blogs do the talking. Lenovo shared some details on its plans and confirmed that Regina Dugan’s advanced research unit is staying at Google.
In other tidbits from the call, the company plans to use both the Motorola and Google brands where they are strong, and intends to keep Google’s engineering talent in Chicago and the Bay Area but won’t comment on the future of U.S. manufacturing at the new Texas plant set up to make the Moto X.
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This article originally appeared on Recode.net.
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