Pace is conducting talks that would see the company purchase the MMI TV-box arm back from Google in what would end up to be a reverse takeover. Pace officially confirmed this week that it would like to purchase the set top box division of Motorola Mobility as part of a two billion dollar deal.
Google spent almost $13b purchasing Motorola Mobility back in August and from the start immediately attempted to sell off the set-top box division of the company as they seemingly had no use from it. Now it seems that they have finally found an interested buyer as Pace is said to be offering about two billion dollars for it.
Pace, which is based in Bradford, is thought to be the fore-runner in the competition to purchase the highly profitable arm of the Motorola business. Other bidders that have also shown an interest include the Arris Group, Technicolour SA, and a handful of private equity firms.
After its purchase of Motorola, Google immediately attempted to sell off the set-top box division and then made moves to cut back on the locations and staffing of the mobile business. It also sold the ‘Home’ division of MMI which generates just under one billion every quarter and overall profits of about $50m per quarter.
Google has not yet set a deadline for the acquisition to be made, but the company may want to hold onto the patents so that they can prevent future lawsuits from companies as they expand their Google T business which may be one reason to hold onto the division.
Google purchased MMI in the first place to protect its Android operating system from patent lawsuits on the wireless OS and the wireless mobile phone models. It has not yet needed to use any of the patents to protect itself.