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Arris Buying Google's Motorola Home Unit For $2.35 Billion
Arris Stock Soars on Expected News
by Karl Bode Thursday 20-Dec-2012 tags: business · hardware · Google
Tipped by telcodad See Profile
As had been expected, Google today sold off Motorola's home business division to Arris in a deal worth $2.35 Billion. The business was acquired as part of Google's largely-patent focused $12.5 billion acquisition of Motorola Mobility back in August, which involved Google acquiring 17,000 mobile patents to be used in the ongoing patent wars with Apple.

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Despite a clear interest in manufacturing set top products, Google has made it very clear they were interested in selling off the unit over the last several months. The growth, as we've seen with lagging fixed-line broadband investment, is in wireless.

Arris will pay Google $2.05 billion in cash and $300 million in freshly-issued Arris shares. Roughly 7,000 employees work in Motorola’s set-top division. Motorola’s set-top operations generated $3.4 billion last year, roughly twice that of the relatively-small Arris.

"Acquiring Motorola Home builds on ARRIS’ rich history, creating a global player with significant footprint, revenue and cash flow," insisted Arris CEO Bob Stanzione in a statement. "It also adds expertise in video and a larger presence in the home to our core strengths in voice and data, ensuring we are even better positioned to capitalize on and manage the evolution toward multi-screen home entertainment."

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psiu_nws

join:2004-01-20
Plymouth, MI

does this include cable modems?

If so....noooooooooooooo

IowaCowboy
Want to go back to Iowa
Premium
join:2010-10-16
Springfield, MA
Reviews:
·Comcast
·Verizon Broadban..

Re: does this include cable modems?

Arris modems and EMTAs are superior hardware in my book. I think they should bring back the Jerrold or General Instruments branding if they need to rebrand the Motorola line.

As for Google, they deserve to lose the patent wars with Apple or be forced to license Apple's patents. Apple has been around much longer than Google and they truly innovate where Google is a copycat.

I remember the Mac vs PC wars in the '90s and everyone criticized me for liking Apple and when I was finally able to afford buying a computer in 1999, it was an iMac 333mhz in blueberry flavor. Now I own two MacBook Pros, a Mac Mini, an iBook, and several iDevices.

BF69
Premium
join:2004-07-28
Camden, TN

Re: does this include cable modems?

said by IowaCowboy:

As for Google, they deserve to lose the patent wars with Apple or be forced to license Apple's patents. Apple has been around much longer than Google and they truly innovate where Google is a copycat.

You actually said this and mean it? You do realize the first Mac OS was a rip off of a XEROX OS. In fact most of Apples so a called innovations were because they bought someone else out.
itguy05

join:2005-06-17
Carlisle, PA

Re: does this include cable modems?

said by BF69:

You actually said this and mean it? You do realize the first Mac OS was a rip off of a XEROX OS. In fact most of Apples so a called innovations were because they bought someone else out.

You do realize Apple licensed it from Xerox? IIRC Xerox sent engineers to Apple to help them out.

And you do realize Apple offered Samsung licenses too, right?

BF69
Premium
join:2004-07-28
Camden, TN

Re: does this include cable modems?

said by itguy05:

You do realize Apple licensed it from Xerox?

Actually the stole it but putting that aside it still means they didn't INVENT it. So now LIECENSING something is the same as INVENTING something?
itguy05

join:2005-06-17
Carlisle, PA

Re: does this include cable modems?

said by BF69:

said by itguy05:

You do realize Apple licensed it from Xerox?

Actually the stole it but putting that aside it still means they didn't INVENT it. So now LIECENSING something is the same as INVENTING something?

Where did I say they invented the GUI? And it was a business transaction, not theft...

Have a read:
»www.newyorker.com/reporting/2011···gladwell

FailOverflow

join:2011-02-23
united state
"Apple has been around much longer than Google and they truly innovate where Google is a copycat." Nothing says innovation like taking things that have been around for years and trying to patient them and claim you "invented" them.

The whole mobile/desktop scene is nothing but a few people coming up with ideas and everyone else implementing that idea and saying they thought of it first. Apple, Google, RIM, Microsoft they're all guilty of doing it.
--
All hail my invisible zombie in the sky who watches everything you do and sends you to fictional places when you die.
buckweet1980

join:2011-12-31
Pittsburgh, PA

Re: does this include cable modems?

Except when Apple takes ideas that have been in devices for years and brings them out it's suddenly revolutionary!!!

Apple's influence has helped change the industry and I have no problems giving them that credit, but they very rarely invent new things.

BF69
Premium
join:2004-07-28
Camden, TN

Re: does this include cable modems?

Yep like how the Ipad is some great thing they designed when any Star Trek The Next Generation fans knows that the Ipad was on that show over 20 years earlier.
brad

join:2007-09-06
Etobicoke, ON
said by IowaCowboy:

As for Google, they deserve to lose the patent wars with Apple or be forced to license Apple's patents. Apple has been around much longer than Google and they truly innovate where Google is a copycat.

More like Apple deserves to lose out big time. Because adding rounded corners, drop shadows and skeuomorphic design is innovation, on top of a Fisher Price style OS too. Apple copies more than enough stuff and uses other companies patented technology without licensing their patents but expects others to license their crap. Please. It's a good thing that more and more of Apple's patents are being invalidated. Apple deserves a flew slaps in the face with their behaviour.

IowaCowboy
Want to go back to Iowa
Premium
join:2010-10-16
Springfield, MA
Reviews:
·Comcast
·Verizon Broadban..

Re: does this include cable modems?

I remember when Microsoft was king and 9 out of 10 software programs did not work on Macs. Now Apple is more valuable than Microsoft.

I've never owned a Windows PC and never will. The only way somebody is going to take my iPhone away if it succumbs to a pickpocket on the bus.
brad

join:2007-09-06
Etobicoke, ON

Re: does this include cable modems?

said by IowaCowboy:

I remember when Microsoft was king and 9 out of 10 software programs did not work on Macs. Now Apple is more valuable than Microsoft.

I've never owned a Windows PC and never will. The only way somebody is going to take my iPhone away if it succumbs to a pickpocket on the bus.

I don't own either. They're both garbage.
itguy05

join:2005-06-17
Carlisle, PA

Re: does this include cable modems?

said by brad:

I don't own either. They're both garbage.

You use Linux then?
brad

join:2007-09-06
Etobicoke, ON

Re: does this include cable modems?

said by itguy05:

said by brad:

I don't own either. They're both garbage.

You use Linux then?

No.
danry25
Premium
join:2008-05-21
Seattle, WA

Re: does this include cable modems?

Are you a FreeBSD user then?
brad

join:2007-09-06
Etobicoke, ON

Re: does this include cable modems?

No. It doesn't really matter what I use. I just don't like the truly mainstream OS's and that especially means Windows / Mac OS / iOS and Android.

I have used Commodore, Amiga, DOS, Windows 3 - 7, Mac OS 6 - 10, OS/2 2.1 - WARP, BeOS, Solaris 7 - 10, IRIX 6.5, FreeBSD 2.2 & 3, OpenBSD, NetBSD, SLS (Linux 0.99) and a handful of others. I like/liked aspects of Amiga, BeOS, OS/2 and *BSD's.
danry25
Premium
join:2008-05-21
Seattle, WA

Re: does this include cable modems?

Mmm, I can definitely understand that, there are some very likeable aspects to the whole *BSD line, and BeOS/HaikuOS has always been something I'm interested in.
en103

join:2011-05-02
Reviews:
·RoadRunner Cable
said by brad:

No. It doesn't really matter what I use. I just don't like the truly mainstream OS's and that especially means Windows / Mac OS / iOS and Android.

I have used Commodore, Amiga, DOS, Windows 3 - 7, Mac OS 6 - 10, OS/2 2.1 - WARP, BeOS, Solaris 7 - 10, IRIX 6.5, FreeBSD 2.2 & 3, OpenBSD, NetBSD, SLS (Linux 0.99) and a handful of others. I like/liked aspects of Amiga, BeOS, OS/2 and *BSD's.

I haven't tried BeOS myself, but have hit the others on there, including HPUX, AIX, QNX, and even Vax VMS (yuck).
brad

join:2007-09-06
Etobicoke, ON

Re: does this include cable modems?

said by en103:

I haven't tried BeOS myself, but have hit the others on there, including HPUX, AIX, QNX, and even Vax VMS (yuck).

I forgot mentioning QNX - Photon rocks.

BF69
Premium
join:2004-07-28
Camden, TN
said by IowaCowboy:

I remember when Microsoft was king and 9 out of 10 software programs did not work on Macs. Now Apple is more valuable than Microsoft.

I've never owned a Windows PC and never will. The only way somebody is going to take my iPhone away if it succumbs to a pickpocket on the bus.

And I will never own an Apple product. Their famous 1984 commercial is highly ironic.
itguy05

join:2005-06-17
Carlisle, PA
said by brad:

More like Apple deserves to lose out big time. Because adding rounded corners, drop shadows and skeuomorphic design is innovation, on top of a Fisher Price style OS too. ...snip... It's a good thing that more and more of Apple's patents are being invalidated. Apple deserves a flew slaps in the face with their behaviour.

They are called Design patents and it's the same reason you can't come out with your version of Nike Shox, Reebok Zig, a car that looks like a Camry, a Coach purse, Gucci shoes, etc. If you get it through the process you have every right to defend it.

And Apple's patents are not being invalidated. If you listen to people who know about the patent system the usual thing for patents that get challenged. Apple's patents were challenged (by an Anonymous source they claim) and the USPO usually rejects them so that a trial can be brought forward to see if they are valid. They say most patents that get this treatment are eventually declared valid.
brad

join:2007-09-06
Etobicoke, ON

Re: does this include cable modems?

said by itguy05:

They are called Design patents and it's the same reason you can't come out with your version of Nike Shox, Reebok Zig, a car that looks like a Camry, a Coach purse, Gucci shoes, etc. If you get it through the process you have every right to defend it.

And Apple's patents are not being invalidated. If you listen to people who know about the patent system the usual thing for patents that get challenged. Apple's patents were challenged (by an Anonymous source they claim) and the USPO usually rejects them so that a trial can be brought forward to see if they are valid. They say most patents that get this treatment are eventually declared valid.

An Apple a day keeps common sense away.

MovieLover76

join:2009-09-11
kudos:1
Reviews:
·Verizon FiOS
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I have no idea what the comment about google's patent's has to do with the subject, other than the fact that your a fanboy.

Software evolves, it isn't sprung up magically, all software is based somewhat on previous ideas, Apple does the same thing.
Did they invent their notification drop down? Did they invent the graphical user interface? no, they borrow from others just like everyone one else.

Software patent's are fundamentally flawed, and all this litigation is a result of that, Luckily some courts seem to be realizing this is all ridiculous, and not granting awards based on extremely vague software patents.
hescominsoon

join:2003-02-18
Brunswick, MD
Reviews:
·Comcast
said by IowaCowboy:

Arris modems and EMTAs are superior hardware in my book. I think they should bring back the Jerrold or General Instruments branding if they need to rebrand the Motorola line.

As for Google, they deserve to lose the patent wars with Apple or be forced to license Apple's patents. Apple has been around much longer than Google and they truly innovate where Google is a copycat.

I remember the Mac vs PC wars in the '90s and everyone criticized me for liking Apple and when I was finally able to afford buying a computer in 1999, it was an iMac 333mhz in blueberry flavor. Now I own two MacBook Pros, a Mac Mini, an iBook, and several iDevices.

Don't look now but Apple's patents ahve been assaulted by prior art and are in the process of being invalidated by the USPTO...everybody copies.
--
ignorance can be fixed
Carpe Ductum - "Grab the Tape"
www.emmanuelcomputerconsulting.com

Linklist
Premium
join:2002-03-03
Longport, NJ
kudos:5

Concentration in STB area is a concern

The biggest problem area to be worried about is the further concentration in the STB arena. 1 less competitor means the cable companies will be charging more per month for STB rentals due to higher prices they pay for STBs.

RickNY
Premium
join:2000-11-02
Manorville, NY

Re: Concentration in STB area is a concern

said by Linklist:

The biggest problem area to be worried about is the further concentration in the STB arena. 1 less competitor means the cable companies will be charging more per month for STB rentals due to higher prices they pay for STBs.

Does Arris even make STB's in any significant capacity? If not, I don't think anything really changes here.

Linklist
Premium
join:2002-03-03
Longport, NJ
kudos:5

Re: Concentration in STB area is a concern

said by RickNY:

said by Linklist:

The biggest problem area to be worried about is the further concentration in the STB arena. 1 less competitor means the cable companies will be charging more per month for STB rentals due to higher prices they pay for STBs.

Does Arris even make STB's in any significant capacity? If not, I don't think anything really changes here.

»www.arrisi.com/products/premises/index.asp
--
A democracy cannot exist as a permanent form of government. It can only exist until the voters discover that they can vote themselves money from the public treasury.

Merry Christmas »goo.gl/Y2AEF

kpfx

join:2005-10-28
San Antonio, TX

1 edit

Re: Concentration in STB area is a concern

Arris is really big on the cable-data side making some impressive head-end equipment (see their acquisition of BigBand too), in addition to a good line of modems and phone EMTAs.

However, they do not make a real set-top box that can currently be used by a cable company.

Those Media Gateway & Media Family devices are designed to be more of an IP player (while they say they support CableCard, I don't see anything referencing the application layer in their tech sheet). Neat tech but it looks like it's geared for an over-the-top video provider or IP Video distribution, but not any of the current traditional CATV providers.

This is a good acquisition as they've been pushing very hard in the cable-tech sector (and a hell of a win for investors if those sales figures are true).
xsquid40

join:2010-03-18
Staunton, IL

Re: Concentration in STB area is a concern

said by kpfx:

However, they do not make a real set-top box that can currently be used by a cable company.

The Media Gateway has 6 RF tuners and is intended as the "master" unit in a whole home DVR layout, with the slaves being attached to each secondary set. This is currently in deployment in several small cable companies. The unit is based on the Moxi interface from Arris' Moxi purchase some years ago.

This is a real STB, in use by several smaller operators. I don't know the reason it hasn't been more widely adopted, although it is pricey compared to some alternatives. Cool feature set tho.

OSUGoose

join:2007-12-27
Columbus, OH

Re: Concentration in STB area is a concern

Was gonna post that so thanks.... And look up the WOW! forums, as they are using it and the nightmares people are having with their "Ultra TV" service that has it.

Active Opto

@lstn.net

Motorola Home Does DOCSIS and GPON Last Mile Equipments

If Google is disposing Motorola Home Unit, it means they have no interests or plans to pursue cable modems and GPON/XG-PON last mile technologies?

This move spills a lot of hints on Google Fiber and its directions.
elefante72

join:2010-12-03
East Amherst, NY
Reviews:
·Time Warner Cable
·Verizon FiOS
·voip.ms

Re: Motorola Home Does DOCSIS and GPON Last Mile Equipments

Well they don't need cable modems, and their set top boxes were designed by them using some sage tv technology. Add in miracast, and to Google the set top business is not core.

I heard that google was OEMing their ONT, but it wasn't from moto anyways.

It's just a matter of time before Cisco dumps theirs also.

This is just a value buy for a dying industry. STB are going away, maybe you have a stick, or an IP STB, and the DVR will go into the cloud. If miracast and airplay continue, the why do you even need a STB, your tablet can do that? TV's will eventually be dumb monitors, and all of the decisions will be made off-board.

Also I was looking at the motherboard of the latest moto units when I had my FIOS one, and they are energy hogs and the motherboard has the density of something from the 90's. The innovation here is glacial.

Active Opto

@lstn.net

Re: Motorola Home Does DOCSIS and GPON Last Mile Equipments

Moto holds quite some key patents for GPON/XG-PON tech that Google needs even if they're going OEM. They are considered one of the pioneers for GPON tech. Verizon had earlier trialed Moto XG-PON tech for future needs fust for references.

The emerging vendor that we should keep an eye on now is Ciena. They are in the carrier ethernet active service switch business. Cisco is not the only one strong in the Ethernet business.
iwinrar

join:2010-03-18
This and it also gives google a 15% ownership of arris.
ExoticFish

join:2008-08-31
Stuarts Draft, VA
Lets hope for a Google nation. Hehe

OSUGoose

join:2007-12-27
Columbus, OH
Reviews:
·Insight Communic..

Has anyone considered this angle

AT&T U-verse used Motorola IP boxes that had Microsoft Mediaroom on it. Seems lately AT&T was buying from Cisco, perhaps they flexed some muscle along with Microsoft to get Google out of the picture.

While the cable-co's were prob a lil worried of Google's ideas on Moto boxes with Google stuff on them, then with Google Fiber directly competing with them, and the ability to own the network, and hardware for it.
itguy05

join:2005-06-17
Carlisle, PA

Re: Has anyone considered this angle

said by OSUGoose:

AT&T U-verse used Motorola IP boxes that had Microsoft Mediaroom on it. Seems lately AT&T was buying from Cisco, perhaps they flexed some muscle along with Microsoft to get Google out of the picture.

While the cable-co's were prob a lil worried of Google's ideas on Moto boxes with Google stuff on them, then with Google Fiber directly competing with them, and the ability to own the network, and hardware for it.

Cable boxes are buggy enough - we don't need Microsoft's Crap Code anywhere near them.

OSUGoose

join:2007-12-27
Columbus, OH

Re: Has anyone considered this angle

Then avoid Uverse
tmc8080

join:2004-04-24
Brooklyn, NY
Reviews:
·ooma
·Optimum Online
·Verizon FiOS

inevitable

this was inevitable once google bought motorola..
google wants no part of the cable-modem business as they are in the FTTP business (google fiber). although they'll probably keep a tight hold on any MOCA patents necessary to deliver data/tv/interactivity over coax in the last few feet.

arris modems seem rock solid.. IIRC motorola was working on the successor to docsis 3.0 and probably had some patent/intellectual property arris would like to get their hands on..

what's not so good is the price for a backup battery on the arris modems are a complete ripoff.. the makers of these batteries need to stop gouging consumers!

skuv

@rr.com

Re: inevitable

said by tmc8080:

arris modems seem rock solid.. IIRC motorola was working on the successor to docsis 3.0 and probably had some patent/intellectual property arris would like to get their hands on..

Everyone is working on DOCSIS 3.1, it's a standard. No one is going to have specific D3.1 IP that isn't going to be part of the standard, otherwise it's non-standard and incompatible with CMTS and other modems.

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