NIX Solutions: Google’s Lucrative Deal with Apple Revealed

In recent years, it has become increasingly evident that Google pays Apple a significant amount to retain its position as the default search engine in the Safari browser on both iOS and macOS platforms. According to reports from Bloomberg, the size of this payment escalated from $15 billion in 2021 to a staggering $20 billion in 2022.

NIX Solutions

Antitrust Litigation Unveils Payment Details

The exact amount of this payment was unveiled in antitrust litigation documents exchanged between the US Department of Justice and Google. Central to the lawsuit is the assertion by the Department of Justice that Google has monopolized the online search market, with its deal with Apple being a key focus. While the terms of the deal were meant to be confidential, snippets of information emerged during Apple’s court testimony, suggesting that the company receives substantial revenue from Google, though specific figures were not disclosed. However, a witness later revealed that Google allocates 36% of its online advertising revenue to Apple, underscoring the significance of this partnership.

The Evolution of the Apple-Google Agreement

The agreement between Apple and Google dates back to 2002, though the decision to share search advertising revenue came later. Notably, Microsoft attempted to strike a similar deal with Apple, offering its Bing platform as an alternative default search engine, or even proposing to sell Bing outright to Apple. Currently, Apple is reportedly in discussions with Google regarding the integration of the Gemini AI chatbot into iOS 18, potentially leading to further financial gains for Apple, notes NIX Solutions.

As developments in this ongoing saga continue to unfold, we’ll keep you updated on any new information regarding this lucrative partnership.