Ending Google search partnership would hamstring Apple, says Eddy Cue
In a declaration filed on Monday, Apple's senior vice president of services, Eddy Cue, asserted that Apple has no interest in creating its own search engine and would prefer to continue to use Google.
In 2022, Google paid Apple $20 billion to be the default search engine on its devices. The result was a boon for both Google and Apple, with Apple receiving about 36% of the ad revenue generated from Safari search result advertising.
The declaration, spotted by Reuters, is Apple's attempt at defending Google. Cue's stance is the same one that the company has defended for quite some time now.
The declaration lists several reasons Apple is satisfied with its deal with Google. It also explains why the Cupertino tech giant has no interest in creating its own search engine.
According to Cue, if Apple were to create a search engine from the ground up, it would divert important resources away from other areas. Cue says the move would cost "billions of dollars and take many years."
He also notes that the project would be exceptionally risky, as search is evolving rapidly due to ongoing developments in artificial intelligence.
Lastly, Cue points out that building a viable search engine would require Apple to also make a platform to sell targeted advertising. He notes that Apple does not have the infrastructure or the employees needed to do so.
Cue also pushes back and highlights that while Google is set to be the default, users can choose other alternatives such as Yahoo!, Microsoft Bing, DuckDuckGo, or Ecosia.
The other proposed remedy regulators have offered would be that Google could remain the default, but only if Apple would no longer receive advertising revenue from Google. It would also potentially prohibit Apple from striking future deals with Google.
Cue argues that Apple should be given the right to decide what collaborations best serve its users. He believes that if Apple were to implement either of the DOJ's remedies, it would "hamstring Apple's ability to continue delivering products that best serve its users' needs."
In 2023, the Department of Justice declared that Google knew it was breaking antitrust laws and then attempted to cover it up. Apple's search engine result deal was used as evidence.
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Comments
Apple has no desire to drop Google because they make a crap ton of ad revenue and don't have to do any work. They simply offer up their users and collect the check. For those suggesting Apple use DDG... when DDG can stroke checks like Google they might become an option. 'Til then...
Do your friends and relatives a favour and (with permission), switch their default search engine to Ecosia (an environmental charity!) or Duck Duck Go. Give them AdBlock+ and show them how much better it makes the entire internet experience.
What I like most about AdBlock+ is that it allows ads that aren’t annoying, so the websites you and your peeps love (like AppleInsider and all your favourite useful sites) stay in business, but annoying ads are blocked. Savvy users can alter the parameters of what gets in or blocked to their tastes. Perfect, ethical solution for FREE.
They can switch it off and change their search engine back if they really want to, but you’ll have at least shown them a better way to live.
I’m trying to figure out how Apple would be hamstrung by ending its partnership with Google. That doesn’t require Apple make its own search engine, simply that it not make Google the default in exchange for $20 billion dollars…..oh wait. Now I get it!
The article is saying the $20B paid to Apple in 2021 (actually a bit more but rounded off) came from 36% of the advertising revenue. It was not "in addition to".
Yes, the article could have been clearer since it confused not just you but probably others. It should have been worded "Google pays Apple $20 billion annually, OR about 36% of what it earns from search advertising made through the Safari browser."
The payment Google makes to Apple comes entirely from a percentage of the search advertising revenue realized through the Safari browser. Google keeps roughly two-thirds of it, with the rest going to Apple.
With new AI capabilities being introduced into Google search, it is blowing away the competition including Bing and DuckDuckGo.
Apple has the right to set the default to Google and users can change it if they want to, instead of letting carriers make deals to cripple Apple products.
For Apple to be forced to drop Google as the default would outright damage a lot of Apple products.
Many users don't know and don't care about switching search engine but they will buy Apple devices for the impeccable experience.
I think DuckDuckGo gives good results but I using it as the default is settling for inferior search results all the time.
It should not be a crime to want to use the best and profit on the resulting popularity of your own hard-work at the same time?
https://www.thurrott.com/apple/314883/apple-files-to-represent-itself-in-google-antitrust-remedy-proceedings