Due to its agreement with Google, which makes Google's software the default search engine on all Apple products like iPhones, iPads, Macs, and more, Apple currently earns about $8 billion yearly. However, if the company went on to launch its own search engine, the iPhone maker could potentially get a much larger revenue share, similar to the size of the Apple Watch.
Apple has reportedly been enhancing its web search capabilities in order to use them as leverage with Google, according to a report by Bloomberg's Mark Gurnman. However, the business is currently concentrating its efforts on creating a new, cutting-edge search engine for Apple apps with the codename "Pegasus." The team led by former Google executive John Giannandrea, head of machine learning and AI at Apple, is focused on providing more accurate results, which are already present in some Apple apps and will soon be accessible on the Apple Store website.
Google and Apple partnership:
Apple’s senior vice president of services Eddy Cue had said last week at the Google antitrust case that there is nobody as good as Apple in searching the internet.
"There wasn't a viable alternative to Google at that time. And going with any other was never something that we ever truly considered," the senior Apple executive added
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Summary:
Apple, through its agreement with Google, currently earns around $8 billion annually by making Google the default search engine on its products. However, recent reports suggest that Apple is working on enhancing its web search capabilities and is developing its own search engine, codenamed "Pegasus." Led by former Google executive John Giannandrea, the focus is on creating a cutting-edge search engine for Apple apps, aiming for more accurate results. While Apple has emphasized its expertise in internet searching during a Google antitrust case, the move towards developing its own search engine could potentially increase Apple's revenue share significantly compared to its current partnership with Google.