It was back in January 2014 that Google confirmed it’s selling Motorola to Lenovo for $3 billion. The China-based giant acquired Motorola Mobility sans most of its patents which remain with Google. The company has since launched a few handsets after taking Motorola under its wing and even though there have rumors that it might phase out this iconic mobile brand, the company has reiterated its commitment to the brand. However, it didn’t quite work out as well as Lenovo would have wanted.
It has been a while since Lenovo acquired Motorola from Google, and yet in the quarterly earnings report the company sent out today, it acknowledges that integration efforts after the acquisition “did not meet expectations.”
Lenovo acquired Motorola because it wanted to improve its fortunes in the smartphone market, become the third largest smartphone vendor in the world, one that could eventually give competition to Apple and Samsung.
It did become the third largest smartphone vendor in the world for a short while but has since been under increasing pressure from fellow Chinese manufacturers like Huawei, Xiaomi, Oppo and Vivo. Lenovo also agrees that its efforts to build up on the Motorola brand in North America have been “not successful.”
Despite all of this, Lenovo is still not giving up on the smartphone market or on Motorola for that matter. It recently launched new handsets under the brand and is looking to hit the ground with a more aggressive strategy to carve itself a piece of this very competitive market.