Google pay Apple $12 billions each year, wtf!

Apple
old bro

Go to company page Apple

old bro
Oct 25, 2020 45 Comments

Apple now receives an estimated $8 billion to $12 billion in annual payments — up from $1 billion a year in 2014 — in exchange for building Google’s search engine into its products. It is probably the single biggest payment that Google makes to anyone and accounts for 14 to 21 percent of Apple’s annual profits.

Easy money?

#tech

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TOP 45 Comments
  • Google and FB should boycott and pull all their apps and services off iOS to kill it off once and for all.
    Oct 25, 2020 26
    • Amazon
      readme.q

      Go to company page Amazon

      readme.q
      2. Depends on device
      3. Read a bit about core location and background execution and modes. If you were right - Waze and google maps couldn’t run in background. In short not the case. Can you get 24/7 runtime in the background ? Nope.
      Oct 26, 2020
    • It can run in the background for a while but not 24/7 granular location tracking on iOS.
      Oct 26, 2020
  • Fuck Apple for making money, they should just use Karen's SJW woke search engine.
    Oct 25, 2020 2
  • Apple
    jp5cdh

    Go to company page Apple

    jp5cdh
    Google pays Apple north of $7 billion annually to be the default search engine on iOS. But it makes about $25 billion in ad revenue from searches on iPhones, iPads, and Macs.

    Seems like a win-win.

    Also, I don't think I would compare this to profits but rather revenue.
    Oct 25, 2020 2
  • Google
    knockdown

    Go to company page Google

    knockdown
    Who hosts iCloud and other Apple services?
    Oct 25, 2020 4
  • Apple / Eng
    yVcI11

    Go to company page Apple Eng

    yVcI11
    And if competition was more viable in a search engine market we might get even more!
    Oct 25, 2020 2
    • While this intuition may make sense at first blush, it unfortunately doesn’t hold.

      Even if Bing got to be the default, Bing’s total revenue from getting to be default would likely be less than 35% of the TAC Google pays Apple. That’s because Google can much better monetize each ad due to its monopoly position. There would also be more users who would modify the default, again because of the monopoly.
      Oct 25, 2020
    • Apple / Eng
      yVcI11

      Go to company page Apple Eng

      yVcI11
      You also have to consider how efficient the auction is with so few participants. From that angle -- a Vickrey auction model-- that money is left on the table either way. Even if Bing cannot bid up more than Google, having more participants could force Google to pay more.
      Oct 25, 2020