Home Markets Google says Microsoft offered to sell Bing to Apple in 2018

Google says Microsoft offered to sell Bing to Apple in 2018

by SuperiorInvest

Apple CEO Tim Cook, left, and Eddy Cue, Apple's senior vice president of services, attend the Allen & Co. Technology and Media Conference in Sun Valley, Idaho, on July 10, 2019.

Patricio T. Fallon | Bloomberg | fake images

microsoft offered to sell its Bing search engine to Apple in 2018, Google he said in a court filing earlier this month. The document, from Google's antitrust case against the US Department of Justice, was revealed on Friday.

The legal battle over whether Alphabet has a monopoly on web search advertising touches on key agreements Google has with phone makers Apple and Android to ensure exclusivity of its search engine. In 2021, Google spent more than $26 billion to keep its search engine as the default, according to a slide shown during the test in October. Google has been trying to demonstrate in the case that it competes fairly.

In the filing earlier this month, Google argued that Microsoft proposed to Apple in 2009, 2013, 2015, 2016, 2018 and 2020 to make Bing the default in Apple's Safari web browser, but each time, Apple said no, citing quality issues with Bing.

“In each case, Apple carefully analyzed the relative quality of Bing versus Google and concluded that Google was the superior default choice for its Safari users. That's competition,” Google wrote in the document.

The Justice Department said in its own newly redacted filing that Microsoft has spent nearly $100 billion on Bing over 20 years. The maker of Windows and Office software launched Bing in 2009, following search efforts under the MSN and Windows Live brands.

Today Bing has a global market share of 3%, according to StatCounter. In the fourth quarter, Microsoft generated $3.2 billion from search and news advertising, while Google search and other revenue totaled $48 billion.

Google said in its filing that when Microsoft approached Apple in 2018, emphasizing Bing's quality gains, Microsoft offered to sell Bing to Apple or establish a Bing-related joint venture with the company.

“Microsoft's search quality, its investment in search, all of it was not significant at all,” said Eddy Cue, Apple's senior vice president of services, according to the document. “And so everything was inferior. So the quality of the search itself wasn't as good. They weren't investing at any level comparable to what Google was or what Microsoft was able to invest in. And their advertising organization and their way of monetizing It wasn't very good either.”

Google said Apple CEO Tim Cook sent an email to Apple executives about Bing's evaluation, but his comments are redacted in the document.

Representatives for Google and Microsoft did not immediately respond to a request for comment.

In October, Microsoft CEO Satya Nadella testified at trial that he had “focused every year of my tenure as CEO on whether Apple would be open” to a predetermined deal for Bing.

Cue testified that “if Apple had not received the massive payments it sought from Google, Apple would have developed its own search engine,” the Justice Department stated in its filing.

Bloomberg reported in September, citing unnamed people, that around 2020 Microsoft executives held “exploratory” conversations with Eddy Cue, Apple's senior vice president of services, about selling Bing to Apple.

LOOK: It's unclear if Google can maintain its dominance in tech, says Loop's Rob Sanderson

Source Link

Related Posts