Authorities in China approve Google's bid to buy Motorola Mobility. [CFP]

China's anti-trust authorities have approved Google Inc.'s US$12.5 billion buying of Motorola Mobility with conditions, clearing the regulatory hurdle for the search engine giant to develope its mobile business in the world's largest market by measure of Internet user base.

The search engine giant shall fulfil obligation to keep its open-source Android model on a free and open basis at least for five years to win the deal, the Ministry of Commerce (MOC) said in a statement on its website Sunday.

The ruling came after almost eight months of two extensions of an anti-monopoly review of the acquisition since Google and Motorola Mobility submitted a collective application in China last September.

Google announced last year that it would buy Motorola Mobility, the Illinois-based maker of mobile devices and other hardware, for about US$12.5 billion.

During the review period, the MOC found that the merger may have an effect of excluding or limiting competition in the Chinese smart mobile operating system market.

Google made commitment to the MOC that it will continue to license the use of Android platform on a free and open basis and treat all equipment manufacturers in a non-discriminatory way.

After the acquisition completes, Google shall continue to observe Motorola Mobility's obligations on patents in its currently fair, reasonable and non-discriminatory manner.

The MOC said it could monitor the market situation of China's smart mobile operating system after the five-year term due and determine future moves after assessment.

According to the MOC statement, Google should submit a report to the MOC every six months within the five-year term.

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