Analysts interviewed before the pact was official said they expected it to happen. "Lenovo has been shopping around for a while and I think Moto makes sense, if with that comes a relationship with Google, " said Carolina Milanesi, an analyst at Kantar WorldPanel ComTech. "Lenovo needs smartphones to be successful, to be an all-around company and continue the push to the top."
As for Google, she said that Moto "was just not delivering and they would have lost much more money before seeing a change." Google benefits by getting a "strong second player" with Lenovo into the Google-Android ecosystem and Google will be able to get closer to Samsung -- the world's largest smartphone maker -- and Samsung's patents.
"Google got what they wanted from Moto," said Jack Gold, an analyst at J. Gold Associates. "They got patents, engineers and insight. Moto as a device manufacturer was never really strategic to Google. They don't need to be in the device business and it got them into some hot water with their leading manufacturers. This gets Google out of a business that they don't have a chance of making any real money in. I think this was the plan all along. "
Lenovo will benefit by gaining the Moto phone engineers for global sales, Gold added. "This is a win for Google and a win for Lenovo, in my opinion," he said. "I don't think Lenovo is done yet with acquiring markets and market share companies."
Matt Hamblen covers mobile and wireless, smartphones and other handhelds, and wireless networking for Computerworld. Follow Matt on Twitter at @matthamblen or subscribe to Matt's RSS feed. His email address is firstname.lastname@example.org. See more by Matt Hamblen on Computerworld.com. Read more about Smartphones in Computerworld's Smartphones Topic Center.