1) Google will not be able to close the deal by early 2012.
2) Current related litigation is not helped.
3) No one knows how much protection the patents will add.
4) Moto will have an adverse impact on financials going forward.
At the end of the interview, Kessler comments that Google is making this move with a long-term view, while S&P is "obviously" looking at this transaction on a "micro-basis".
Your last sentence, made me think. We must not forget that this is short term investment advice. They are not saying that no one should ever buy Google stock again.
2) I don't understand. Just the threat of Google launching that missile at Apple and friends has to severely curtail patent litigation. If Apple knows that Google will soon have the ability to deliver a haymaker of their own, they are MUCH more likely to negotiate a cease-fire.
http://www.bloomberg.com/video/74044556/
His justification was as follows:
At the end of the interview, Kessler comments that Google is making this move with a long-term view, while S&P is "obviously" looking at this transaction on a "micro-basis".