We’ve all known that Google pays Apple a huge sum of money to remain the default search engine on iPhones, Siri, MacBooks and iPad devices, however we may now know what the actual amount could be. The United States Justice Department is targeting the deal between the two companies as a part of U.S. Government’s antitrust cases according to NewYork Times
Just three years ago Apple and Google penned a new deal where the search engine is preselected on Apple devices. The report by NYT estimates Apple received around 8 to 10 million dollars per year for making Google the default search engine on Apple products. This is apparently the biggest payment Google makes to any of its partners and it accounts for 14 to 21 percent of Apple’s profit each year.
One of Google’s main sources of income comes from ad revenue on the search engine and at least one half of Google’s search traffic comes from Apple devices. In fact, if Google were to lose traffic from Apple devices, it has been described internally as “terrifying” and a “code red” situation within Google. The U.S. Justice Department claims the deal between the two companies is representative of illegal tactics that protect Google’s monopoly.