When Google announced its purchase of Motorola Samsung was ready with a pretty supportive statement, saying â€œWe welcome the news of todayâ€™s acquisition, which demonstrates that Google is deeply committed to defending Android, its partners, and the entire ecosystem.â€
Behind the scenes however Samsungâ€™s Chairman Lee Kun-hee appears quite shaken, telling South Korea’s Yonhap News Agency. "We must pay attention to the fact that IT power is moving away from hardware companies such as Samsung to software companies."
Given the commoditization of hardware and the fall of giants like Nokia to traditional software companies like Google and Apple, he may be right to be worried.
Samsung Chairman Lee Kun-hee continued:
"(The company) must strengthen the competitiveness of its information technology, secure more human resources and also more actively seek mergers and acquisitions,"
Kim Soon-taek, head of the Samsung Group office, told local reporters, "Chairman Lee told top managers to come up with various measures including M&As to enhance software competitiveness,"
The biggest problem with this strategy is that the there are not many more software assets ripe for the picking. Palm has already been scooped up, and of course no-one is going to purchase Microsoft.
Samsungâ€™s angst about the Google deal may however prompt Samsung to work more closely with Microsoft, in the same way Nokia, a hardware company decided to align itself with Redmond, an outcome which many analysts are predicting after the Google announcement.
Read more at FierceWireless.com here.
Thanks Sean for the tip.