Tim Carmody on Google’s earnings:
Motorola Mobility poses a different problem. Last quarter, Google’s cellphone and tablet division posted an operational loss of $523 million. This quarter’s loss of $353 million shows a modest quarter-over-quarter improvement, but things still aren’t healthy by any means. (Last year, in the same quarter, an independent Motorola’s mobile division posted a loss of $70 million.)
Chief Financial Officer Patrick Pichette pointed out that Google hadn’t yet the chance to put its own imprint on Motorola’s mobile line. “We are really 180 days into this business,” he said, largely repeating the same mantra that he offered last quarter. Then, however, Motorola was in its “first 150 days.” (Pichette’s arithmetic here is elusive. For the record, it’s been 245 days since the Motorola acquisition closed.)
All fair for a new business perhaps. But this is a company Google acquired for $12.5 billion (really now more like $13 billion). Sure patents, patents, patents — but well, yeah.
I continue to believe former Motorola head Sanjay Jha was a wizard for pulling off this deal.