The proposed $12.5 billion acquisition by Google Inc. (NASDAQ: GOOG) of Motorola Mobility Holdings Inc. (NYSE: MMI) has been wending its way slowly through the European regulatory mechanism. Progress has now stopped, however, according to Bloomberg. The deal, which both companies had hoped would close this year, will now be pushed out to 2012.
European Union regulators have suspended their review of the proposed merger until Google and Motorola provide more information on the deal. A Google spokesman called the information request “routine” and added:
We’re confident the commission will conclude that this acquisition is good for competition and we’ll be working closely and cooperatively with them as they continue their review.
Google’s interest in the merger is tied to the 17,000 patents held by Motorola. Google and users of the company’s Android smartphone operating system are being sued for patent infringement by Apple Inc. (NASDAQ: AAPL). By acquiring its own stock of patents, Google has something to trade in exchange for licensing Apple’s patents.
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