Legal Battle Puts Apple's Profitable Partnership with Google at Risk - Antitrust Lawsuit Update

Tech & AI | July 5, 2024, 2:34 p.m.

Apple's partnership with Google, making Google the default search engine on Safari, is a key source of revenue for both companies. In 2022, Apple reportedly earned over $20 billion from this deal, constituting a significant portion of its profits. However, as the U.S. Department of Justice's antitrust lawsuit looms, the future of this partnership is uncertain. Google has been striving to reduce its dependence on the arrangement by enticing iPhone users to switch to its own apps. Despite heavy investments in promoting Google and Chrome, Google has only marginally increased the percentage of iPhone searches through its apps. Hiring Robby Stein to lead efforts in app adoption, Google aims to double the number of searches performed outside Safari. The outcome of the antitrust lawsuit could have far-reaching implications for Apple and Google, setting a precedent for future regulatory practices regarding default settings and competition.