Eddy Cue, Apple’s senior vice president of services, testified in federal court in Washington, D.C., regarding the company’s decision to make Google the default search engine on iPhones. According to Cue, this decision was made because it was in the best interest of consumers, and there wasn’t a valid alternative available.
Cue, who is Apple’s lead negotiator for its multibillion-dollar contract with Google, revealed that Apple picked the search engine that offered the best experience for users. He emphasized that Apple allows customers to easily change their default search engines if they wish. Cue also mentioned that Apple offers alternative search engine options, some of which customers may not have heard of, which can make them hesitant to switch.
The details of the contract between Apple and Google are closely guarded, but analysts estimate that Google could pay Apple as much as $19 billion this year under the agreement.
During Cue’s testimony, he discussed the renegotiation of the Information Services Agreement with Google in 2016, where one of his goals was to increase the revenue share percentage that Google paid to Apple. This revenue-sharing arrangement is based on the net revenue Google generates from advertising on searches conducted on Apple devices.
Cue’s testimony shed light on the negotiation process between the two tech giants and the reasons behind Apple’s decision to continue using Google as the default search engine. It also touched on privacy concerns, with Apple taking steps to limit Google’s tracking capabilities on its devices.
While the trial provides insights into the relationship between Apple and Google, many details of their agreement remain undisclosed. The case raises questions about competition and antitrust issues in the tech industry, particularly concerning default app settings and consumer choice on mobile devices.
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