Motorola Posts Losses in Q4

Even though Motorola Mobility is focusing on closing the deal of its proposed undertaking by Google for $12.5 billion, the mobile manufacturing giant has incurred considerable loss in the fourth quarter.

On Thursday, the company stated that the reason behind this is a fierce competition coming from rival outfits in smartphones and tablet markets. Three weeks ago Motorola Mobility Holdings Inc. disclosed similar data and figure that showed that the company is facing loss for quite some time now. At present Motorola's market performance is more important for Google's shareholders than Motorola's.

Under the deal Google will be paying $40 per share for the mobile maker's patent portfolio and its devices. However, at this stage this acquisition is waiting for regulatory approval in Europe, US, Russia, China and many other countries.

With this deal Google will acquire more than 17k patents owned by Motorola Mobility and with these patents in its portfolio, the search giant would probably be able to tackle various Android software related lawsuits filed by Apple, Oracle and Microsoft reported Washington Post.

The decline in Motorola's earnings may eventually affect Google's growth which may lead to a further fall in Google's stock prices.