NEWS: Query on Google’s Strategy – WSJ.com
August 17, 2011
Maybe Google’s next big purchase will be in Hollywood.
Investors could be forgiven for fearing such an offbeat script after watching the search giant agree to buy Motorola Mobility for $12.5 billion. That deal has strategic logic, in as much as it builds up Google’s patent portfolio in the mobile industry. But it raises questions about Google’s overall strategy. And the company’s willingness to diversify into a lower-margin, highly competitive industry where it has little experience makes a Hollywood film studio purchase seem somewhat less outlandish.
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