Google 'paid Apple $1 billion to own search on iPhones'

The Googleplex Google HQ by Trey Ratcliff on Flickr https://www.flickr.com/photos/stuckincustoms/4323977677

Google allegedly paid Apple $1 billion in order to keep its search engine tool present on iOS devices, according to Bloomberg.

The deal involved Google paying Apple a percentage of its earnings derived through iOS devices, allegedly up to 34 per cent, the publication claimed, citing a transcript of court proceedings from a copyright lawsuit Oracle is pursuing against Google.

Chris Green, technology analyst at consultancy firm Lewis, told BBC News: "It's a very lucrative business to be the browser of choice on a device or the search engine on a device. It really does, I think, highlight the importance that's being put on being able to own real estate and the conduits through which people access information."

The revelation comes after Apple CEO Tim Cook appeared to criticise Google in December last year, calling Chromebooks "test machines".

"We are interested in helping students learn and teachers teach, but tests, no. We create products that are whole solutions for people that allow kids to learn how to create and engage on a different level," he said.

Apple stopped selling Google's Nest home automation devices in July 2015, hoping to dominate the market with its own HomeKit hardware.

This month, Apple was forced to deny claims that it was planning to launch a "Move to Android" app to match the "Move to iOS" app available on the Google Play store.

In a statement, the company said it was "entirely focused" on bringing users over from Android, not the other way around.

Caroline Preece

Caroline has been writing about technology for more than a decade, switching between consumer smart home news and reviews and in-depth B2B industry coverage. In addition to her work for IT Pro and Cloud Pro, she has contributed to a number of titles including Expert Reviews, TechRadar, The Week and many more. She is currently the smart home editor across Future Publishing's homes titles.

You can get in touch with Caroline via email at caroline.preece@futurenet.com.