Standard & Poor's Zaps Google With Downgrade Ray

The U.S. government isn’t alone in the Standard & Poor’s downgrade doghouse. Google, which is in the process of buying Motorola Mobility for $12.5 billion, took a sharp knock from Standard & Poor’s equity researchers, who moved Google’s stock from a “buy” to a “sell,” lowering its target price to $500 from $700.

According to USA Today, an analyst said “We see greater risk to the company and stock.”

S&P’s concerns are that the deal could slow Google’s growth and financials, and it’s unsure that the company will be able to “protect its Android operating system from intellectual-property disputes.”

Google gets sharp downgrade on Motorola Mobility deal [USA Today]

Previously: Google Adds To Tablet & Smartphone Business With Purchase Of Motorola Mobility

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