EU and US regulators approve Google-Motorola merger
14 Feb 2012
US and European antitrust regulators yesterday approved Google's $12.5-billion acquisition of the cell phone maker and video technology provider Motorola Mobility Holdings, without any conditions, but said that they would keep an eagle eye on Motorola's trove of patents.
In one of the rare clear approvals received by the internet giant, the regulators however said that the patents critical to the telecommunications industry should be licensed at fair prices.
Regulators warned Google that they would monitor the company's use of Motorola Mobility's portfolio of 17,000 patents, particularly those that are deemed standards essential (SEP).
The US Department of Justice (DoJ) said, ''In light of the importance of this industry to consumers and the complex issues raised by the intersection of the intellectual property rights and antitrust law at issue here, as well as uncertainty as to the exercise of the acquired rights, the division continues to monitor the use of SEPs (standard essential patents) in the wireless device industry, particularly in the smartphone and computer tablet markets.''
The regulator went on to warn, ''The division will not hesitate to take appropriate enforcement action to stop any anti-competitive use of SEP rights.''
The European Commission (EC), considered the toughest regulator, said, ''Today's decision does not mean that the merger clearance blesses all actions by Motorola in the past or all future action by Google with regard to the use of these standard essential patents. Our decision today is without prejudice to the legality under EU antitrust law of Motorola's past and Google's future actions. However, the question whether Motorola's or Google's conduct is compliant with EU anti-trust law cannot be dealt with in the context of the merger procedure.''
