Apple should end their Google search partnership (2023)
1–10 of 32 posts
Re: Apple should end their Google search partnership (2023)
#2Last week, as part of the US Department of Justice investigation, documents were released that showed Google paid Apple $20 billion in 2022 to retain the search partnership.
This is almost 20% of Apple’s total operating profit for the year.
It’s never a good idea for a company to be so reliant on a single partnership or client.
It distorts incentives, is high risk and sometimes, as in Apple’s case leaves a company blind to other opportunities it could be pursuing.
On top of it all, Apple’s search partnership with Google trades their customer’s privacy for search $ kickbacks.
Based upon all this, it should be time for Apple to end this partnership and pursue their own search solution.
Re: Apple should end their Google search partnership (2023)
#3Last week, as part of the US Department of Justice investigation, documents were released that showed Google paid Apple $20 billion in 2022 to retain the search partnership. This is almost 20% of Apple’s total operating profit for the year. It’s never a good idea for a company to be so reliant on a single partnership or client. It distorts incentives, is high risk and sometimes, as in Apple’s case leaves a company bl…
Search is a hard problem, and if they haven't decided to cut the $20 billion, it's because they believe Google is the best.
I do think Google has been decreasing in quality over the years, but when I use any of the privacy focused alternatives like DuckDuckGo, Brave or Kagi, I end up using a !g bang every 2/3 searches.
The others just aren't there yet, and they know that.
Re: Apple should end their Google search partnership (2023)
#4Last week, as part of the US Department of Justice investigation, documents were released that showed Google paid Apple $20 billion in 2022 to retain the search partnership. This is almost 20% of Apple’s total operating profit for the year. It’s never a good idea for a company to be so reliant on a single partnership or client. It distorts incentives, is high risk and sometimes, as in Apple’s case leaves a company bl…
Search is a hard problem, and if they haven't decided to cut the $20 billion, it's because they believe Google is the best. I do think Google has been decreasing in quality over the years, but when I use any of the privacy focused alternatives like DuckDuckGo, Brave or Kagi, I end up using a !g bang every 2/3 searches. The others just aren't there yet, and they know that.
It's just a bit ironic that Apple keeps the lights on by paying with their user's privacy. If I was a Google executive reading this I'd be in stitches, this is exactly how you keep the ad economy going. Something tells me Apple doesn't even care anymore either, since they know there's only so many profitable options once their service revenue is regulated down to a trickle.
Re: Apple should end their Google search partnership (2023)
#5Last week, as part of the US Department of Justice investigation, documents were released that showed Google paid Apple $20 billion in 2022 to retain the search partnership. This is almost 20% of Apple’s total operating profit for the year. It’s never a good idea for a company to be so reliant on a single partnership or client. It distorts incentives, is high risk and sometimes, as in Apple’s case leaves a company bl…
Search is a hard problem, and if they haven't decided to cut the $20 billion, it's because they believe Google is the best. I do think Google has been decreasing in quality over the years, but when I use any of the privacy focused alternatives like DuckDuckGo, Brave or Kagi, I end up using a !g bang every 2/3 searches. The others just aren't there yet, and they know that.
Agree that Search is a hard problem.
So was Maps, but Apple committed the time, resources and focus to make it happen. In 2024, I would say the Maps initiative has been an overwhelming success.
As per the article, Apple already has a search solution in Spotlight, which though it hasn't been battle tested as a general web search solution, seems to be a great basis to improve and make better.
My concern is that due to their addiction to the Google partnership money, Apple don't even seem to be contemplating their own Search approach.
This is how we end up with monopolies in product areas as the big tech players, in effect, collude to not compete in core areas of business due to partnership agreements.
Re: Apple should end their Google search partnership (2023)
#6Last week, as part of the US Department of Justice investigation, documents were released that showed Google paid Apple $20 billion in 2022 to retain the search partnership. This is almost 20% of Apple’s total operating profit for the year. It’s never a good idea for a company to be so reliant on a single partnership or client. It distorts incentives, is high risk and sometimes, as in Apple’s case leaves a company bl…
Google didn't give Apple 20% of their revenue for the year, they were responsible for 20% of their profit. AAPL is $2.8T and their P/E is 28. They earn about $100B a year. And if I'm recalling their profit/revenue ratio correctly, that's $100B on about 400B in revenue. Making Google's money 5%, not 20%.
That's still a lot for a default URL.
Re: Apple should end their Google search partnership (2023)
#7They found a way to launder the sale of their users' data through this deal so they can make billions and most people don't even realize they've been sold. I doubt they'll just give it up.
Re: Apple should end their Google search partnership (2023)
#8Last week, as part of the US Department of Justice investigation, documents were released that showed Google paid Apple $20 billion in 2022 to retain the search partnership. This is almost 20% of Apple’s total operating profit for the year. It’s never a good idea for a company to be so reliant on a single partnership or client. It distorts incentives, is high risk and sometimes, as in Apple’s case leaves a company bl…
Google didn't give Apple 20% of their revenue for the year, they were responsible for 20% of their profit. AAPL is $2.8T and their P/E is 28. They earn about $100B a year. And if I'm recalling their profit/revenue ratio correctly, that's $100B on about 400B in revenue. Making Google's money 5%, not 20%. That's still a lot for a default URL.
The post says "almost 20% of Apple's profit", and you note the profit was $100B and the payment was $20B, making it 20% - is something going over my head?
Re: Apple should end their Google search partnership (2023)
#9Last week, as part of the US Department of Justice investigation, documents were released that showed Google paid Apple $20 billion in 2022 to retain the search partnership. This is almost 20% of Apple’s total operating profit for the year. It’s never a good idea for a company to be so reliant on a single partnership or client. It distorts incentives, is high risk and sometimes, as in Apple’s case leaves a company bl…
Search is a hard problem, and if they haven't decided to cut the $20 billion, it's because they believe Google is the best. I do think Google has been decreasing in quality over the years, but when I use any of the privacy focused alternatives like DuckDuckGo, Brave or Kagi, I end up using a !g bang every 2/3 searches. The others just aren't there yet, and they know that.
Radically different experience here. When I used DDG by default for a couple years, I'd resort to !g maybe 10-20% of the time. For the last few months with Kagi, it's literally 0 times I've even been tempted. Paying $5/mo to be a customer and not the product, having my privacy respected, and enjoying consistent access to excellent search results is IME equivalent to switching from browsing without an adblocker to using ublock plus or trying reader mode for the first time. It's transformative.
Re: Apple should end their Google search partnership (2023)
#10Earlier quoted context omitted.
Search is a hard problem, and if they haven't decided to cut the $20 billion, it's because they believe Google is the best. I do think Google has been decreasing in quality over the years, but when I use any of the privacy focused alternatives like DuckDuckGo, Brave or Kagi, I end up using a !g bang every 2/3 searches. The others just aren't there yet, and they know that.
Radically different experience here. When I used DDG by default for a couple years, I'd resort to !g maybe 10-20% of the time. For the last few months with Kagi, it's literally 0 times I've even been tempted. Paying $5/mo to be a customer and not the product, having my privacy respected, and enjoying consistent access to excellent search results is IME equivalent to switching from browsing without an adblocker to usi…
I have had the same experience.