MOTOROLA MOBILITY is now officially a Lenovo company, after the $2.91bn acquisition closed on Thursday.
Perhaps raining on Xiaomi's parade, Lenovo announced that the deal makes it the third largest phone maker, as the firm takes Motorola's smartphone portfolio, including the Moto X and Moto G, under its wing.
The latest statistics from IDC show that Lenovo currently ranks as the fourth largest smartphone maker with 5.2 percent of the global market.
Lenovo will also acquire devices such as the Moto 360 smartwatch, but Google has said that it will hold on to the company's 16,000-strong patent portfolio.
The acquisition also sees Lenovo taking on 3,500 Motorola employees around the world, while Motorola has said that, for now at least, its headquarters will remain in Chicago.
Yang Yuanqing, chairman and CEO at Lenovo, said: "Today we achieved a historic milestone for Lenovo and for Motorola, and together we are ready to compete, grow and win in the global smartphone market.
"By building a strong number three and a credible challenger to the top two in smartphones, we will give the market something it has needed: choice, competition and a new spark of innovation."
Motorola Mobility president Rick Osterloh said in a blog post: "In Lenovo we have a partner that shares our mission and that brings global scale, a diverse product portfolio and a track record of seizing strategic opportunities and making the most of them. Together we will go farther, faster.
"With an impressive portfolio of smartphones, wearables and PCs, our two companies will be uniquely positioned to push the boundaries of choice and value, and bring exciting new experiences to people everywhere."
Lenovo's Motorola Mobility won't rake in the cash immediately, the firm saying that it expects to make the business profitable in "four to six quarters". µ
Firm's first high-end speaker gets the thumbs up from us
Yes. Yes you can
A fantastic ultraportable that's almost devoid of innovation
Screen if you want to go faster