According to the recent reports about the deal between Lenovo Group Limited of IBM Corporation’s Low-end server unit and Google Inc’s Motorola Mobility business is expected to be completed by the end of this year. Both the companies are on an agreement both financially and mutually about the deal. With everything certain from both the two ends, the only thing that keep the deal from being signed are the governments of China and the United States.
According to the last reports, both the governments are currently undergoing the deals. According to the statement released by Lenovo Chief Executive Officer, Yang Yuanqing, the rate at which the scrutiny of the deals is done, they are expecting clearance from both the governments soon. Once the clearance is at hand, the deal can be processed towards the finale.
At Lenovo’s annual general meeting in Hong Kong, Yang said:
“Both deals are under the approval process in the two countries and they are progressing. We hope to complete the two deals by year-end. The U.S. government and U.S. Army are all our clients. There has been no issue and we will keep this tradition.”
The proposed deal between Lenovo and Google Inc is of $2.3 billion. To add to it, considering the political relations between China and the United States are not on those great heights, it is quite expected that both the governments will take utmost care on scrutinizing the deals. The deal between IBM’s Think Pad had also seen similar kind of security which took place about a decade ago. With China among the top nations with cases of Cyber Crime, the national security concerns will surely bother United Sates.
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