[recoiledsnake]

>Motorola held out for a full acquisition at a premium far above the company’s actual value,

According to http://news.ycombinator.com/item?id=2888292 the real purchase price is closer to $7B, not $12.5B as stated in the article, due to cash and deferred tax assets.

The Nortel patents went for $4.5 billion and this acquisition gives Google both a ton of patents as well as a company with physical assets that makes the Droid line of phones and the Xoom tablets. Not to mention, Google has $40B in cash or short term investments just laying around to be put to use.