Google will buy phone maker Motorola Mobility

Google (GOOG) is buying cell phone maker Motorola Mobility Holdings (MMI) for $12.5 billion in cash. It’s by far Google’s biggest acquisition and a sign the online search leader is serious about expanding beyond its core Internet business and setting the agenda in the fast-growing mobile market. Google will pay $40 per share, a 63% premium to Motorola’s closing price on Friday. Google’s