Google plans international acquisitions worth up to $30B, it tells SEC

Google passed on a potential acquisition of a non-U.S. company worth up to $5 billion it said

Google plans to spend US$20 billion to $30 billion of its of its accumulated international profits to fund potential acquisitions of non-U.S. companies and technology rights.

The company disclosed its plans to the U.S. Securities and Exchange Commission (SEC) last year, in a document that was published Tuesday. The SEC had asked Google to describe its plans for reinvesting its undistributed earnings in greater detail.

In 2012, Google generated about half its revenue in non-U.S. markets. It said it will continue to use a substantial part of the profit from that business to acquire non-U.S. companies. The alternative, repatriating those earnings to the U.S., could expose it to a significant tax bill.

It plans to do so because its global business has expanded into other product offerings such as mobile devices, where its competitors and business partners are no longer primarily U.S.-based multinationals, Google told the SEC.

Over the past few years, Google has completed significant acquisitions with an increasing individual deal size, a trend that is likely to continue in future years, it said.

The company spent about $1.4 billion on more than 20 strategic deals in 2013, including the $1 billion acquisition of Waze, an Israeli navigation app developer, in June last year. Waze's navigation app lets users share information on obstacles along their routes to give other users real-time information about police checkpoints and accidents.

Google continued its non-U.S. acquisition spree this year. In January it acquired the London-based artificial intelligence company DeepMind Technologies for a reported $400 million. In February it acquired London-based ad fraud detection technology specialist Spider.io. And earlier this month, Google bought U.K. retail start-up Rangespan.

Google also "recently pursued but discontinued a potential buyout of a foreign company, with a valuation estimated in the range of $4 to $5 billion," it said, without naming the company. A Google spokesman declined to answer questions about the identity of that company or other acquisition targets.

Skipping over that deal doesn't mean Google is shying away from bigger acquisitions though. In 2012, the company spent $12.4 billion on the acquisition of Motorola Mobility before flipping it to Lenovo, and in January this year it bought the Californian smart thermostat maker Nest for $3.2 billion.

Join the Good Gear Guide newsletter!

Error: Please check your email address.

Tags business issuesGoogleSEC FilingsinternetMergers and acquisitions

Our Back to Business guide highlights the best products for you to boost your productivity at home, on the road, at the office, or in the classroom.

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Loek Essers

IDG News Service
Show Comments

Essentials

Microsoft L5V-00027 Sculpt Ergonomic Keyboard Desktop

Learn more >

Lexar® JumpDrive® S57 USB 3.0 flash drive

Learn more >

Mobile

Lexar® JumpDrive® S45 USB 3.0 flash drive 

Learn more >

Exec

Lexar® JumpDrive® C20c USB Type-C flash drive 

Learn more >

HD Pan/Tilt Wi-Fi Camera with Night Vision NC450

Learn more >

Lexar® Professional 1800x microSDHC™/microSDXC™ UHS-II cards 

Learn more >

Audio-Technica ATH-ANC70 Noise Cancelling Headphones

Learn more >

Budget

Back To Business Guide

Click for more ›

Most Popular Reviews

Latest News Articles

Resources

GGG Evaluation Team

Michael Hargreaves

Windows 10 for Business / Dell XPS

I’d happily recommend this touchscreen laptop and Windows 10 as a great way to get serious work done at a desk or on the road.

Aysha Strobbe

Windows 10 / HP Spectre

Ultimately, I think the Windows 10 environment is excellent for me as it caters for so many different uses. The inclusion of the Xbox app is also great for when you need some downtime too!

Mark Escubio

Windows 10 / Lenovo Yoga

For me, the Xbox Play Anywhere is a great new feature as it allows you to play your current Xbox games with higher resolutions and better graphics without forking out extra cash for another copy. Although available titles are still scarce, but I’m sure it will grow in time.

Kathy Cassidy

STYLISTIC Q702

First impression on unpacking the Q702 test unit was the solid feel and clean, minimalist styling.

Anthony Grifoni

STYLISTIC Q572

For work use, Microsoft Word and Excel programs pre-installed on the device are adequate for preparing short documents.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?