Google is set to pay Apple $9 billion to continue as default search engine on iOS

Google is set to pay Apple $9 billion to continue as default search engine on iOS
Apple iPhone X with the Safari app open

The fact Google pays Apple an annual fee to remain the default search engine on Safari for iPhones and iPads is certainly no big secret. In fact, in 2014 the company paid the Cupertino-based giant $1 billion, and last year this was upped to $3 billion. According to analyst Rod Hall, though, this year’s deal could see the figure rise to a whopping $9 billion.

Reportedly, Apple is one of the biggest channels of traffic acquisition for Google – it accounts for roughly half of all mobile revenue – so it’s certainly no surprise to see the figure rise once again. However, it’ll be interesting to see how high Apple can take this number without pushing Google away entirely. After all, while this year’s figure represents triple the price paid last year, Hall expects the number to grow even further over the course of the next twelve months, with estimations pointing towards a price of $12 billion in 2019. 

Until Google refuses to go any higher, Apple is expected to continue benefiting from the internet giant’s generosity. And even if the company does refuse to pay Apple’s fee, the iPhone giant could simply approach Microsoft with an offer that would see Bing become the default option. Regardless, it’s a win-win situation for Apple as the deals are understood to be almost entirely profit for the company.

source: Rod Hall via Business Insider

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48 Comments

1. Atechguy0

Posts: 918; Member since: Aug 03, 2018

Just 1 years ago it was 3 billion to Apple. Now it's 9 billion. Come on Apple at least take them out to dinner before you f#$k them. Geeze, Apple is now getting into professional raping.

4. Atechguy0

Posts: 918; Member since: Aug 03, 2018

Apple will do anything for profit these days. Including screwing everyone. But what do expect with Tim Crook at the helm of the company.

7. maherk

Posts: 6939; Member since: Feb 10, 2012

Yeah, they should bend over and let Google take full advantage of them. It's one thing for us consumers to complain about them overpricing their products, but to criticize them for taking as much money from another sneaky company like Google is just silly. Both companies are greedy AF, but kudos for Apple for not letting Google control them like they do with Android OEMs. Maybe one day Android's big dogs will join forces and create a coalition that will put an end to Google's bullying.

10. Atechguy0

Posts: 918; Member since: Aug 03, 2018

The one that is definitely the bully here is Apple, so stop deflecting the stink away from the rotten Apple. Also don't forget companies like Microsoft get their cut from each Android device as well. Nobody said Apple should bend over and let Google or any other company take advantage of Apple. However this is almost like a stickup. Where Apple is holding a gun to Google and asking for their wallet. Well we know it's not that bad, right? But it's almost stupid as the crap that you stated maherk.

12. maherk

Posts: 6939; Member since: Feb 10, 2012

Holding a gun? Lol Dude, it's business, if Google felt like they were getting robbed, they could've simply walked away and broke off any further negotiations. Apple are smart, they knew that Google makes so much off of them, and asking 9 billion dollars wouldn't scare Google away. For Google, sure they would've been happier if they didn't pay that much, but they still did go with deal because they'll still be winning at the end of the day.

21. Atechguy0

Posts: 918; Member since: Aug 03, 2018

Here you are defending Apple mahrek, but Apple doesn't have to profit from iPhone users Google search data but they choose to do so anyways ... to the the tune of a 75% take no less. Apple is a hypocrite for taking money generated from the very same thing they criticize Google for and in doing so they take part in making iPhone customers the product. No matter how you choose to spin it, that's how it is, right mahrek!

17. darkkjedii

Posts: 31291; Member since: Feb 05, 2011

Post of the fkn year. Well said bro.

22. Atechguy0

Posts: 918; Member since: Aug 03, 2018

Dark if you actually looked at what Apple is doing here. Then you would definitely think differently about Apple. Apple is profiting from Google's search data to the tune of 75% take no less. Apple is a hypocrite for taking money generated from the very same thing they criticize Google for and in doing so they take part in making iPhone customers the product. If you think Apple is the good guy here, think again.

23. darkkjedii

Posts: 31291; Member since: Feb 05, 2011

Bro, I don’t think Apple is the good guy, and Google isn’t either. It’s Big Business, and Apple is king at it. Just know, if Google is willing to pay Apple nine billion, then trust that they’re making more back. Big Business bro...nothing more. All these companies, Samsung included are big greedy, and corrupt.

9. apple-rulz

Posts: 2186; Member since: Dec 27, 2016

Tim Cook knows a thing or two about how to generate an income, that's why he runs Apple and we don't.

11. Atechguy0

Posts: 918; Member since: Aug 03, 2018

I am sure Tim Crook could run a brothel and make money from that as well. It still doesn't make Apple or Tim Crook look good here either. Robbery comes to mind.

14. maherk

Posts: 6939; Member since: Feb 10, 2012

It's ironic that you're defending Google as if they're so innocent and are on the verge of bankruptcy.

16. Plasticsh1t

Posts: 3109; Member since: Sep 01, 2014

Wtf is your problem sgodtroll? Did someone from Apple touched you inappropriately when you were little? Tone down this obsessive hating behavior and relax. Good God.

28. kiko007

Posts: 7500; Member since: Feb 17, 2016

I genuinely wonder what makes you hate Apple so much more than Google. They’re essentially the same organization using different models to make profit. Apple does it through hardware. Google through ads. Why can’t you give up on this crusade you’re never going to win?

48. T12RYK

Posts: 849; Member since: Jun 10, 2011

A company want to make money? OMG! Do the newspapers know about this? How shocking!!!

18. darkkjedii

Posts: 31291; Member since: Feb 05, 2011

C’mon dude. You gotta know, Google is just as greedy and sneaky as Apple. How can you defend greed against greed, just cause one is better at being greedy. Apple is bossin on these companies, and y’all can’t stand it. Is what it is though, Apple is king at getting money, and even the mighty Alphabet umbrella is bowing down.

35. SmartPhoneMobiles

Posts: 188; Member since: Oct 16, 2016

craple is disgusting greedy company

38. Nine1Sickness

Posts: 896; Member since: Jan 30, 2011

Let me google what “professional raping” means.

40. nodes

Posts: 1160; Member since: Mar 06, 2014

yeah, wtf are these companies doing. i mean why won't they just give us free phones instead they are selling phones.

49. T12RYK

Posts: 849; Member since: Jun 10, 2011

How dare they!

2. warrenellis93

Posts: 550; Member since: Jul 21, 2011

Just a ghey decision

3. OneLove123

Posts: 1177; Member since: Aug 28, 2018

Next year 18billion and the year after 36 billion. Surely, they Google can’t keep this up.

5. gdawilson

Posts: 299; Member since: Jul 21, 2014

If an app uses Yahoo by default, for example, I'll search for Google using that provider. Some apps don't use Google as their default search engine, but I'm sure I'm not the only person that types 'Google' just to use their search results

6. Shazam777

Posts: 42; Member since: Aug 08, 2018

How can this even be legal? Aren't they abusing their position as the largest phone manufacturer by doing this?

8. OneLove123

Posts: 1177; Member since: Aug 28, 2018

Hey, it's America.

13. Atechguy0

Posts: 918; Member since: Aug 03, 2018

Apple is only the larger phone manufacturer in terms of profit. They are far from selling the most smartphones in a year. Or in terms of platform.

20. darkkjedii

Posts: 31291; Member since: Feb 05, 2011

That’s true bro, but the bottom line of every for profit company on Earth is profit. We all wanna bring in more than we pay out.

15. MarvzIsFallen

Posts: 646; Member since: Aug 11, 2017

Funny when android dominate the market and yet google making half of the profit from people using google as default search engine. Well, Android just wants free free free in everything that’s why their apps and OS are garbage.

19. cmdacos

Posts: 4260; Member since: Nov 01, 2016

Google should just pull out. They know people are just going to gravitate to their services anyway when they get s**tty Bing/yahoo/duck duck go results.

27. kiko007

Posts: 7500; Member since: Feb 17, 2016

You’re out of your damn mind if you believe that. Apple used to default to Bing not even 4 years ago. Google’s revenue was half what it is now. People ain’t leaving iOS for search.

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