Sci/Tech Google Could Pay Apple $1 Billion Next Year To Remain Default Search Engine On iOS, Report Says

tom_mai78101

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Apple and Google are enemies and partners at the same time due to asymmetric competition. According to a report from Morgan Stanley, Google could pay more than $1 billion in 2014 to remain the default search engine on iOS. In 2009, Google paid only $82 million for the privilege. Analyst Scott Devitt believes that it is a per-device deal growing every year.

According to the report titled “The Next Google Is Google” and the table below, the total traffic acquisition cost is somewhat proportional to the number of iOS unit sales, with a traffic acquisition cost rate slowly going up from $3.2 per unit last year to an estimated $3.3 per unit this year and $3.5 per unit next year. That’s why the total traffic acquisition cost is going to increase in the coming years if iOS sales keep growing.

To put it into perspective, the Mozilla Foundation should get $400 million in 2014. Google remains the main contributor to the organization as one can read in Mozilla’s reports. Opera is another longstanding partner, but Morgan Stanley doesn’t give figures for this deal.

techcrunch.com

Google Could Pay Apple $1 Billion Next Year To Remain Default Search Engine On iOS, Report Says | TechCrunch

Apple and Google are enemies and partners at the same time due to asymmetric competition. According to a report from Morgan Stanley, Google could pay more than $1 billion in 2014 to remain the default search engine on iOS. In 2009, Google paid only $82 million for the privilege. Analyst Scott...
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Sajin

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Being an Apple supporter, this shit is stupid. Apple make good products I'll admit but charging that insane amount just for Google to be the main search engine? At least Google is inavating, Apple has just been releasing the same tech for the past ~5 years
 
Accname

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What search engine will apple use if its not google? Bing? You serious?
 
tom_mai78101

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Accname said:
Doesnt exist anymore. And i dont think it did the same as google does today.
Click to expand...
No one is stopping Apple to create Apple Search 2.0. Who knows what they will do anyway without Google, or Bing.
 
camelCase

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Uses Apple Search 2.0 for "apples".
Search result returns "oranges".
 
tom_mai78101

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I totally remembered. All of this is us predicting what could happen if Google refuses to pay $1 billion to Apple. So, we should ask why is Google paying for the privilege? What Google competitors out there threatens Google's throne if they were to become the default search engine for iOS?
 
Dan

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I want Google to back out and watch iOS users QQ all day. At this point I believe it would strengthen the Android market.
 
Accname

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We are just talking about the "default" browser here. They could still use google if they want to.

Just imagine how hillarious it would be if apple made their own search engine which is just googling itself internally.
 
Slapshot136

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perhaps it is in Google's interests to make the iOS system weaker.. even if it means losing out on ads from iphone users
 
Dan

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Accname said:
We are just talking about the "default" browser here. They could still use google if they want to.

Just imagine how hillarious it would be if apple made their own search engine which is just googling itself internally.
Click to expand...

You mean Bing? lololol
 
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