Google Pays Apple and Other Platforms $26 Billion to Be the Default Search Engine
The U.S. v. Google antitrust case is still ongoing, and its outcome is uncertain. However, we have learned how much Google is willing to pay to be the default search engine on various devices and platforms. This means that when you launch a web browser or utilize a search engine, you are automatically redirected to Google.
Google sought to keep these numbers secret, but the judge in this case ordered them to be disclosed. We now know that Google paid other companies $26.3 billion in 2021 for this privilege. That’s a lot of money, but it pales in comparison to the $146.4 billion they earned in the same year from advertising on their search engine.
Google contends that the quality of their products, not just the contracts they sign, is the reason for their success. However, they bid on these default parameters because they are significant. Companies such as Apple and Mozilla select a default search engine, and Google competes fiercely to be the one chosen because Google Search is so accessible to users.
The central issue at hand is whether Google’s partnerships with companies like Apple are anticompetitive. The Justice Department contends that Google has held an unlawful monopoly for a long time, and that its status as the default search engine is a significant factor in this.
Google may be forced to cease paying companies to be the default on different devices as a result of this trial. Some individuals believe that the government should make it simpler for Android users to change their default search engine.
The trial also demonstrated that Google places a high value on being the default search engine. An internal communication from a Google executive in 2020 revealed that Chrome is viewed as a means to support Google Search. If it is not the default setting, they fear it is not as valuable to them.
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