Microsoft offered $15 billion to Apple for iPhone search, Google said we would pay more and got the deal

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**Google’s Multibillion Payments to Apple, Samsung, and Others for Default Search Engine Status**

In the ongoing antitrust trial between the United States and Google, it was revealed that the tech giant pays significant sums to remain the default search engine on various platforms, including Apple and Samsung devices.

**The Apple Deal:**

A noteworthy focus of the trial has been Google‘s agreement with Apple, which makes Google the default search engine on Apple’s Safari browser for Macs, iPads, and iPhones. This partnership has reportedly raised questions about the amount Google pays to maintain this status, as it significantly impacts the search engine market.

Microsoft’s CEO, Satya Nadella, highlighted that Bing lags behind Google in large part due to Google‘s partnership with Apple. He expressed regret over Microsoft’s inability to secure a similar deal with Apple due to the pre-existing Google agreement and Apple’s concerns about potential retaliation.

Various estimates during the trial have suggested that Google pays Apple between $10 billion to $20 billion annually to secure this coveted position. However, a recent report from The New York Times now reveals that Google’s payment to Apple was approximately $18 billion in 2021.

Google’s motivation for such payments is to maintain its strong presence in the search market and to protect its business interests. Google had concerns about Apple’s advancements in search technology, particularly its Spotlight search tool, and sought ways to compete.

In addition to monetary agreements, Google developed its own version of the Spotlight search tool for iPhones, with an emphasis on user-friendliness and superior results. Furthermore, Google made efforts to encourage more iPhone users to adopt its Chrome browser over Apple’s Safari.

These actions were part of Google’s strategy to maintain its dominance in the search engine industry and prevent Apple from emerging as a significant competitor.

Satya Nadella offered contrasting views on Apple’s partnership with Google. He believes that Apple continued the deal because it feared Google’s domination in areas like Gmail and YouTube. Apple was concerned that Google could use these popular services to promote its Chrome browser, potentially leading users to shift away from Safari.

**Broader Antitrust Allegations:**

In addition to the Apple agreement, Google has signed similar contracts with other tech companies, including Samsung and Mozilla. These deals have come under scrutiny in the ongoing antitrust trial.

The U.S. Department of Justice and 37 states have accused Google of abusing its dominant position in the search engine industry. The lawsuit alleges that Google pays substantial sums to phone manufacturers and web browsers to secure its status as the default search engine on most devices. Furthermore, Google is accused of leveraging its market power to suppress competition.

The trial continues to unfold, shedding light on the intricate web of agreements that have contributed to Google’s position in the tech industry.

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