According to foreign media reports, after market rumours, Amazon might be interested in buying HP its Palm. Network Edition of the New York Times today published an analysis of the article, perhaps Amazon owned Palm through the purchase of Hewlett-Packard, to make it from falling prey to the litigation. Following is the abstract:
Rumors that Amazon may have interest in buying Palm owned by HP, the news, shares of Amazon down 2% in the 1 hour early Friday. HP last year invested $ 1.2 billion acquisition of Palm.
According to technology site Venturebeat reported that Amazon is interested in buying Palm owned by HP, is for serious negotiations between the two sides, reports said, while other companies are also interested in buying HP its Palm. HP Palm acquisition in April last year with the intention of making it become the basis for HP’s mobile service.
Palm had invented the first personal digital assistants, the company provides a range of smart phone products for HP and webOS operating system. Executive Vice President of HP’s Todd Bradley (Todd Bradley) has said that Palm will provide an ideal platform for easy expansion of HP’s mobile strategy, and create a unique HP experience across multiple mobile connected devices.
Good times do not last long
1 year later, Palm business serious losses, and HP started to play down the PC business. As part of a larger reorganization, HP has since announced that the company will close its webOS business, and explore the webOS software business strategy. The business is huge part of the HP enterprise investment business, third quarter revenues of US $ 266 million, while its operating loss up to $ 332 million. HP said its fourth-quarter earnings will be reflected and webOS writedowns related to the cost of $ 1 billion.
Although Palm performance falling fast, but if Amazon or other mobile device manufacturers bidding, HP may still get some value out of Palm. Amazon Kindle Fire its debut this week its first tablet computer, which is Amazon’s highly anticipated touch-tablet, there is no doubt that Amazon’s attention for its mobile devices a plus.
Analysts noted that the Amazon Kindle Fire Tablet priced at $ 199, its limited functionality, seems to be positioned as a non-direct competitor of Apple iPad, Amazon may seek through the acquisition of patents, as a precaution. Palm with a mobile device and software-related patents, that could help protect the Amazon from future litigation disputes come from Apple or Microsoft.
United States market research analyst at Stifel Nicolaus qiaodan·Luohan (Jordan Rohan) said on Friday: “I think, no one believed that competition between Apple and Amazon will not happen in the future conflicts. Intellectual property value associated with the movement on the rise, even if no Palm devices in the future, but its value is still expensive. ”
Although the value of patents held by Palm still is uncertain, but Bradley pointed out that last year, the company has significant intellectual property assets. Intellectual property rights are the key elements of several billions of dollars deal this year, with the tech giants scramble for substantial market share of mobile market, patented assets are increasingly important, patent disputes will help protect against litigation, or competitor signing expensive, patent licensing agreements.
Apple and Microsoft-led consortium in July this year invested $ 4.5 billion acquisition of Nortel Networks (Nortel Networks) its patent, Google’s defeat in the competition, but Google IBM subsequently acquired a large number of patents, and announced that the company will spend US $ 12.5 billion acquisition of Motorola’s mobile, Motorola mobile holds more than 17,000 patents. Aliana Lohan pointed out: “it is a galactic war, they are not using weapons to armed, they are using patent portfolio for confrontation. ”
Of course, from a strategic perspective, buy companies like Palm is a deviation for Amazon, Amazon has not previously focused on through the acquisition of companies, to build their own products in consumer technology.
United States investment company Caris& analyst sikete·diergeman (Scott Tilghman) says that while Amazon is committed to building a better mobile devices, however, different from competitors, Amazon seems to be of concern is selling products. Diergeman: “the Amazon is committed to promoting the consumption of their own media products, exposure to other forms of mobile products, in particular moving into smartphones, it seems that is not part of their core competence and core business strategy. ”