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Eddy Cue reveals the three reasons Apple won’t build a search engine
Apple and Google’s $20 billion deal, which sees Google as the default search engine on iPhones, is under scrutiny. as we reported this morningthis The U.S. Department of Justice is continuing to review the case The pushback against Google’s dominance of the search industry — and the lucrative Apple deal is the focus.
In a new court filing this week Found in ReutersEddy Cue, Apple’s senior vice president of services, outlined why Apple itself will never develop its own search engine.
Cue explained that the court believed the remedies proposed in the Google case would cause Apple to “develop its own search engine or enter the search text advertising market” and compete with Google’s dominance. However, Cue said “that assumption is wrong.”
Here are Cue’s reasons why Apple will never develop a search engine:
- “Apple is focusing on other growth areas. Search engine development requires a shift in capital investment and employees because creating a search engine costs billions of dollars and takes many years.
- “Search is evolving rapidly due to recent and ongoing advances in artificial intelligence. This makes investing the vast resources required to create a search engine economically risky.
- “A viable search engine requires building a platform to sell targeted advertising, which is not Apple’s core business. Apple does not have the large number of professionals and significant operational infrastructure required to build and operate a successful search advertising business. Although Apple does have some Niche advertising, such as on the App Store platform, but search advertising is different and goes beyond Apple’s core expertise. Building a search advertising business also needs to be balanced with Apple’s long-term privacy commitments.
Also this week, Reuters reports Apple “has requested to participate in Google’s upcoming U.S. antitrust trial over online search.”
“Google can no longer adequately represent Apple’s interests: Google must now resist efforts to massively break up its business units,” Apple said in a filing.
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2024-12-24 20:05:20