Beginning at 4:30PM EST, we’ll be getting the full break-down of Google’s earnings for the third fiscal quarter. In an odd turn of events, Google released its earnings early this afternoon due to a screwup with its SEC filing. The screwup caused Google to close down its stock for the better part of the afternoon, causing a steep drop. Google may discuss the situation on the call… stay tuned after the break:
SEC filing Stories October 18, 2012
SEC filing Stories August 13, 2012
As first reported by the New York Times, Google-owned Motorola is cutting 4,000 jobs, or roughly 20-percent of its workforce, in the hopes of becoming profitable again. The news was confirmed in a U.S. Securities and Exchange Commission filing released this morning just before the markets opened. Google/Motorola further noted in the filing that it would consolidate 30 of its 90 facilities and “shift its emphasis from feature phones to more innovative and profitable devices.” Two-thirds of the job cuts will occur outside of its U.S. facilities.
Google’s $12.5 billion acquisition of Motorola was officially completed in May, after news of the acquisition was announced in August 2011. The deal went through many regulators before becoming official. Google is said to have acquired the company for its large portfolio of over 17,000 patents, and the company has reassured time-and-time again that it will keep Motorola running as a separate entity but will use Motorola’s large patent portfolio to protect its Android operating system.
Fueling the job cuts, Motorola has not been profitable the last 14 out of 16 quarters—even with popular smartphones like the Motorola DROID RAZR and RAZR HD on the market. Since the acquisition was completed in May, Motorola’s CEO Sanjay Jha stepped down from his post with as many as five other Motorola executives. Motorola also announced last week that it is moving its headquarters from suburban Illinois to downtown Chicago, signaling a major overhaul in the company. As major company changes occur, Google warned “investors should expect to see significant revenue variability for Motorola for several quarters” and the company will lose roughly $275 million from the cuts and closures.
SEC filing Stories July 25, 2012
A new report from The Wall Street Journal today, citing an SEC filing, noted Google has put an exact value on the patents acquired in its purchase of Motorola Mobility. In the filing, Google claimed “patents and developed technology” acquired in the deal were valued at $5.5 billion—less than half of the $12.4 billion Google paid for the company.
Google also broke down the rest of the purchase price in the SEC filing: expand full story