Comcast’s $45M buy of Motorola Mobility brings a $25B value to Comcast

By JOSH E. MARTINASource MashableNews | January 26, 2019 04:08:38The price of buying Motorola Mobility (MMI) was announced Tuesday morning by Comcast (CMCSA), which said the deal would add $45 billion to its wireless and video services.

Comcast, which is buying Motorola, said it was a “transformational purchase” that would “enhance the mobile and data services we offer to consumers, employees, and communities.”

“Comcast will continue to invest in its network to deliver the highest quality, lowest latency, and highest quality video and wireless services to consumers and businesses, including through the acquisition of Motorola’s high-speed, next-generation network,” Comcast said in a statement.

The deal is worth $25 billion, Comcast said, with a cash infusion of $25.5 billion from the sale of the cable and wireless service company.

It is the largest deal of its kind in the U.S. and marks the latest sign of Comcast’s willingness to spend in a fast-growing sector of the telecom industry.

In 2018, the company spent $15.3 billion on wireless networks, and it is investing $40 billion in the wireless industry in the coming years.

The company also said it is going to invest $3.6 billion in its wireless business in the next three years.MMI is a subsidiary of Google (GOOG), which acquired Motorola Mobility in 2014 for $12.5 million.

It has struggled to gain traction in the smartphone market since the deal.

The $25-per-month price of a smartphone with a $50-per-$100 data plan is roughly equivalent to the price of $10.99 for a monthly data plan for a high-end phone like a Samsung Galaxy S7.


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