Google buys Motorola Mobile and that’s the big news of the day…

Good morning and welcome back to the rodeo.  The markets are up on the day, about 1% or so.  It’s really that steady, nice action that the bulls have sorely been needing — this bottom’s looking like it’s going to be a process.

Google buys Motorola Mobile and that’s the big news of the day.   Couple quick points because that news is all about the App Revolution thingee we’ve been positioning ourselves for and it’s important news:

1. There’s a lot of cash out there for deals like this.  Google, Apple, Microsoft combined have more cash on their balance sheets than the entire Greece economic GDP.   Intel, Sandisk, Autodesk and so many other techies have billions in cash on the balance sheets ready for deals like this too.  Expect more of them.

2. You’ll read a lot about how Google needed MMI for its 17,000 patents.  It’s true that the patent portfolio is a huge part of Google’s motivation.

3. Google didn’t get hit.  That’ll embolden other big fish to be more aggressive than they would if they’d seen Google get tagged for 10% or so on the news.

4. Deals like this can spark further deals like this in the industry.  And deals like this are very bullish and good for shareholders of stocks in this industry.  Very bullish.

5. 60% premium? That’s what Google paid over what Motorola was trading at on Friday.  Motorola’s been killed this year, but has a good balance sheet and is obviously a historic company that wasn’t going to go out cheaply.  Google had to pay up and they did and it looks like the markets saying that “it’s winners all around”.

More on this Google deal in a bit.

I’m still not seeing any pitches I want to swing at yet.  Patience has served us well at times and discipline dictates being patient presently.