Oct 12, 2023 20:00:00

Apple receives 3 trillion yen annually from Google as ``payment for adopting Google search''

Regarding the latest data on the amount Google pays Apple to be the default search on iPhone and iPad, AllianceBernstein, which handles asset management information, says, ``$18 billion (approximately 2.68 trillion yen) to $20 billion annually. (approximately 3 trillion yen). This equates to 14% to 16% of Apple's annual operating profit.

Google pays Apple $18B+ a year to keep its search in iPhone • The Register

https://www.theregister.com/2023/10/10/google_pays_apple_18_20_claims_bernstein/

Google search payment 14-16% of Apple's profits; impact of ban

https://9to5mac.com/2023/10/11/google-search-payment-aapl-profits/

Apple could be out $20 billion a year if Google loses antitrust case

https://appleinsider.com/articles/23/10/11/apple-could-be-out-20-billion-a-year-if-google-loses-doj-antitrust-case

Google is being sued by the Department of Justice for allegedly violating antitrust laws. AllianceBernstein said it conducted a study on the potential impact of the antitrust case on Apple.

In the lawsuit, the ``Information Services Agreement (ISA)'' that Google has with Apple is cited as one example of anti-competitive behavior by Google. Apple's Eddie Cue, who appeared in court as a Google witness, said that the default search engine of Safari, the standard browser on iPhones and Macs, is set to Google because 'Google is the best search engine.' He stated that he had no replacement, and when his contract was renewed, he testified, ``I had never thought about not signing the contract.''

A service executive says he had 'never thought about' the possibility of Apple ending its contract with Google - GIGAZINE

According to news site The Register, AllianceBernstein wrote in a report that it believes a federal court could rule against Google and force it to terminate its search agreement with Apple. It is said that it is.

The details of the ISA are of course not disclosed, but it is an open secret that ``Google pays Apple money to remain the default search engine,'' and the amount has been revealed several times. I am. As of 2017, it is reported that they pay 3 billion dollars (about 440 billion yen) annually.

Google is paying Apple more than 300 billion yen a year for search, which has tripled in three years, so why is it a win-win? -GIGAZINE

AllianceBernstein estimates that Google is paying ``$18 billion (approximately 2.68 trillion yen) to $20 billion (approximately 3 trillion yen) annually'' in the latest contract, accounting for 14% of Apple's annual operating profit. We estimate that it corresponds to between 16% and 16%.

Please note that the lawsuit is solely about Google's violation of antitrust laws, and is not questioning Apple, but it is possible that Apple may be influenced and choose something other than Google as its default search engine. , there is also the possibility of offering a default search engine option when setting up a device,'' AllianceBernstein said.

By the way, as a further option, AllianceBernstein notes that Apple could create its own search engine, but ``it would be difficult to realize for the time being as it would be watched by regulators.''