What you need to know
- Apple says there’s nothing Microsoft could offer to get it to switch from Google to Bing as the default search engine in Safari.
- The iPhone maker has listed Bing’s poor search quality and inferior monetization capabilities as the main reasons it’s maintaining the exclusive deal with Google.
- Generative AI could reshape the search landscape, but the future is uncertain at best right now.
As a tech enthusiast with decades of experience under my belt, I can’t help but marvel at the dance between Apple and Google, with Microsoft watching from the sidelines, hoping to steal a dance or two. The latest twist in this tech tango is Apple’s decision to stick with Google as its default search engine over Bing.
It appears that Apple may have burst Microsoft’s dreams of making Bing its primary search engine, as Google has significantly outperformed Bing in the search market. According to a recent report by StatCounter, Google currently controls an impressive 91.04% of the search market, while Bing trails far behind with just 3.86%.
In simpler terms, Judge Amit Mehta determined that Google holds a monopoly in the U.S. Google antitrust case, based on its extensive size, substantial financial requirements, and other factors. For several weeks now, Google has been embroiled in an antitrust investigation. An intriguing aspect of this case is that both Apple and regular users seem to favor Google as their preferred default search engine option.
It’s common knowledge that Google shells out substantial amounts to Apple, making it the default search engine on Safari. Over time, Google has faced accusations of violating antitrust regulations by reportedly paying around $15 billion to bolster its search engine supremacy. In 2021 alone, they paid an astounding $26 billion to preserve this position as the default search engine on Apple devices.
Apple’s senior vice president of services, Eddy Cue, stated that they see no other significant or viable options available.
“We’re not convinced by any price Microsoft might present, as they’ve already proposed giving us Bing for free, and potentially even the entire company.”
According to Judge Mehta, Apple’s stance suggests that, in terms of the general search engine market, Google appears to be the sole practical option available.
Why Apple will continue using Google as its default search engine in Safari over Bing
As a researcher looking back, I’d like to bring up an interesting tidbit from 2018: Microsoft was considering selling its Bing search engine to Apple. However, due to some significant search quality concerns that were uncovered, this potential deal didn’t materialize. Fast forward to 2021, Apple carried out a study to assess the quality of search results between Google and their own Bing engine.
In the end, Bing was seen as less favorable compared to Google Search based on the results, despite excelling in the desktop user interface section. It’s important to mention that while Bing surpassed Google Search in this category, Google compensated for this advantage in the remaining performance tests.
During last year’s antitrust hearing involving Google, Microsoft’s CEO, Satya Nadella, suggested that Google doesn’t play fair towards Bing. Nadella argued that the exclusive agreement between Google and Apple hindered Bing’s expansion and popularity. Remarkably, he mentioned Microsoft might be willing to spend as much as $15 billion yearly to secure a similar deal with Apple. He ultimately expressed it as an “opportunity that could significantly alter” Microsoft’s position.
Microsoft suggested a plan where they would give all Bing’s earnings to the creator of the iPhone, in an attempt to seal the deal. However, Apple expressed doubts as they believed they might not earn sufficient income due to their perceived incompetence in monetization and advertising, deeming it as a “poor performer” in these areas.
Beyond the current difficulties faced by its latest AI Overviews function, Google maintains a strong and favorable standing overall, an aspect that Apple strives to uphold consistently throughout its system.
Apple’s Senior VP of services indicated:
“Our customers can trust this fantastic product as it provides them with the renowned Google search experience. In essence, it’s a mutually beneficial arrangement – our product and Google work together to offer the finest search engine available.”
Furthermore, partnering with Microsoft and making Bing the primary search engine within Safari could potentially end Apple’s existing agreement with Google. Such a decision, as underscored by Apple CEO Tim Cook, might pose a threat to their current income stream.
“Judge Amit Mehta suggested that AI could significantly transform the way we conduct searches in the future, but it’s unlikely to happen right away,” given Microsoft’s efforts to incorporate AI into their range of products and services like Bing.
In April, our search engine exceeded 140 million daily active users, and Microsoft credits this surge in popularity to the captivating AI features. This growth might provide an edge for Bing, potentially challenging Google’s reign and dethroning its dominance.
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2024-08-07 11:39