Sundar Pichai, CEO of Google, admitted that the company shares with Apple 36% of the revenue it gets from setting the default search engine on the Safari browser.
On November 14, during testimony related to the lawsuit between Google and Epic Games over the monopoly issue on Google Play, the game maker behind the game Fortnite, a witness mentioned the 36% of revenue from searches through Safari that Apple enjoys.
Epic Games' lawyer asked Pichai if this was accurate. The Google CEO replied: "Yes!".
Alphabet CEO Sundar Pichai (Photo:Reuters)
The lawyer went on to ask Pichai why the company paid Samsung, its biggest Android hardware partner, less than half as much as Apple. The Google CEO said he wasn’t sure, but that it “could” have happened.
“It’s like shipping apples and oranges,” Pichai said. “With transactions, sometimes you have to pay different carriers.”
Epic Games' legal representative then asked Pichai for the exact amount they paid Apple. Pichai said "more than $10 billion." The lawyer said he was incorrect, the actual number should be $18 billion.
Google, Samsung and Apple did not comment.
Alphabet is currently facing multiple legal battles over its search engine and app store monopoly, with two lawsuits being filed simultaneously with the US Department of Justice (DOJ) and Epic Games.
In September, prosecutors said in a case brought by the U.S. Department of Justice that Google holds 90 percent of the online search market, a dominance that is due in part to its 18-year-old deal with Apple.
Some sources say Google spent $9.5 billion in 2018, $11 billion in 2020, and $15 billion in 2021 to be the default search engine on Apple products. According to the latest statistics released by the DOJ in October, this number is $18-20 billion.
According to the Washington Post, if Google is proven to have violated the law in its lawsuit with the DOJ, the court has the power to order changes to the terms or cancel the company's contract with Apple.
The European Union is also now requiring devices to install a "choice interface" from the start to allow users to access search engines other than Google.
According to VnExpress