GOOGLE PAYS APPLE $3 BILLION TO BE DEFAULT iOS SEARCH ENGINE

August 15, 2017 The Unbiased Writer

Google is paying Apple a staggering $3 billion USD to stay the default search engine on iPhones and iPads– according to reports. Three years ago, Google paid Apple $1 billion USD for the same commitment. Insiders claim that its licensing fees make up a large portion of Apple’s services business. Apple devices currently contribute close to 50% of Google’s mobile search revenue. According to Bernstein analyst A.M. Sacconaghi Jr:

“Court documents indicate that Google paid Apple $1B in 2014, and we estimate that total Google payments to Apple in FY 17 may approach $3B. Given that Google payments are nearly all profit for Apple, Google alone may account for 5% of Apple’s total operating profits this year, and may account for 25% of total company OP growth over the last two years.”

 

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