In the ongoing trial between the US government and Google, one key point of interest is how much Google pays Apple to be the default search engine on Apple's devices.
A recent report from The New York Times claims that Google paid Apple about $18 billion in 2021 for this privilege.
This number is at the higher end of what experts were guessing, with estimates ranging from $10 billion to $20 billion.
This deal between Google and Apple not only ensures that Google's search engine is prominently featured on Apple devices but it also stops Apple from trying to build its search engine.
During the trial, it was revealed that Apple had considered alternatives like buying Bing or creating its search engine.
However, Apple was worried about competing with Google and losing the lucrative deal.
Microsoft CEO Satya Nadella's testimony during the trial added another layer to this deal.
He suggested that Apple's motivation to keep the Google deal might be tied to Google's potential to lure Apple users away from Safari to Chrome and the Google app by using its popular services like Gmail, Maps, and YouTube.
This would potentially reduce the value of Apple's deal with any other search engine. So, the Google-Apple partnership is seen as mutually beneficial and somewhat like a peace treaty.
As the trial goes on, the US Department of Justice argues that the Google-Apple deal creates an unfair monopoly.
Witness testimonies have emphasized that any search engine gaining access to Apple's massive user base would instantly become a powerful player in the search market.
Google is about to present its case in the trial, saying that its success is because it provides the best search engine.
Google argues that users can easily switch to other search engines, but it pays Apple billions each year to keep its default status in hopes that users won't switch.
This trial could have significant implications for the tech industry and competition within it.
