Apple (AAPL) has taken a significant step in the ongoing antitrust saga surrounding Google’s search engine dominance, requesting to participate in the upcoming US trial.
This move underscores the iPhone maker’s concern about its revenue-sharing agreements with Google, which generate billions of dollars annually by making Google the default search engine on Apple’s Safari browser.
Protecting billions: Apple’s strategic move amidst antitrust scrutiny
Apple’s decision to intervene in the trial highlights the company’s reliance on its current arrangement with Google, which resulted in an estimated $20 billion in revenue for Apple in 2022 alone.
In court papers filed in Washington on Monday, Apple’s lawyers asserted that they cannot rely solely on Google to defend these agreements, given the Department of Justice’s efforts to potentially break up Google’s business units.
These agreements have come under intense scrutiny as the Department of Justice (DOJ) seeks to demonstrate how Google’s dominance is potentially anticompetitive.
Apple’s focus remains on partnerships
Despite the high stakes, Apple’s legal team clarified that the company has no plans to develop its own search engine to compete with Google, regardless of the outcome of the trial, or the future of these payments, as per a Reuters report.
Rather, Apple’s intervention appears designed to safeguard the current revenue-sharing model, which is a key source of income for the company, and its role in the digital ecosystem.
Antitrust trial: a landmark case with broad implications
The upcoming trial represents a landmark case that has the potential to reshape how users access information online.
Apple’s intervention is a strategic one, demonstrating that it wants to have a say in any potential outcome that might impact its operations.
Prosecutors will aim to prove that Google must take certain measures to promote competition, potentially including the sale of its Chrome web browser and possibly its Android operating system.
By participating in the trial, Apple seeks to ensure its perspective is also heard, and that its financial interests are properly protected.
Google’s response
Google has already proposed to make changes to its default agreements with browser developers, mobile-device manufacturers, and wireless carriers.
However, the company has emphasized that they will not end their revenue-sharing agreements with these partners.
A spokesperson for Google declined to comment on Tuesday.
This indicates that Google intends to continue operating with a business model that ensures they maintain a dominant position in the search engine market.
The post Protecting the status quo? Apple joins DOJ’s case against Google over search dominance appeared first on Invezz
