lenovo a 850 smartphones

"We're already seeing the demise of the PC market," said Shahid Khan, a managing partner at the Meridian Advisory Group. "This is foresight on their part."In early 2012, Lenovo's chief executive, Yang Yuanqing, began laying out a plan to branch out into lenovo a 850 smartphones and other devices in what the company began calling its "PC-plus" strategy.

"Lenovo now has extra scale in smartphones and a seat near the top table," said Neil Mawston, an analyst with Strategy Analytics, a research firm.If the company can successfully integrate Motorola, it could gain considerable advantages.

That patent haul would protect the consortium from intellectual property infringement suits, but more to the point gave them patent ammunition to sue others -- for others, substitute Google.

"The acquisition of such an iconic brand, innovative product portfolio and incredibly talented global team will immediately make Lenovo a strong global competitor in smartphones," Lenovo head Yang Yuanqing said in a statement following announcement of the deal.So both Google and Lenovo are making the usual confident corporate noises that follow such big-dollar gambles.

The Moto X and Moto G Android 4.5 update is in doubt, as Lenovo's ability to provide update support to both the Motorola flagship and the budget smartphone are questioned. Both the Moto X and Moto G are currently updated to Android 4.4.2 KitKat and it should be almost a year before we see the next iteration of Android, either Android 4.5 or Android 5.0 depending on how many things Google changes (though to be fair, Google's name and number choices are a mystery to just about everyone). When it comes to providing Android update support Lenovo isn't known to have the best track record. The flagships released by the company are often running Android builds that are one or two generations behind, including Android 4.1 and Android 4.2. The current Lenovo flagship, the K900, runs Android 4.2 JellyBean.

With patents to arm its own defenses, the true reason for buying Motorola, Google was long expected to unload the hardware side of the company. Most analysts were not surprised at the Lenovo deal, only at the amount of time it took Google to make the move.

For one, there would be geographical benefits. Although the company has been pushing to expand its Lenovo S720 MTK6577 smartphone business internationally, more than 90 percent of its sales are still in China.

With the IBM server deal, Lenovo is positioned to take on Dell and HP. Even though many companies are transitioning to higher end servers for complex tasks, the x86 servers Lenovo agreed to buy from IBM will remain in demand for years to come, generating steady cash flow.