A Google executive testified on Friday that the company paid $26.3 billion to other companies to acquire traffic, including default search engine status. A significant portion of that likely went to Apple.
Vice president Prabhakar Raghavan testified Friday that Google paid $26.3 billion in 2021 for the purpose of maintaining default search engine status and acquiring traffic,. It's likely the lion’s share of that sum went to Apple, which it has showered with exorbitant sums for many years in order to remain the default search option on iPhone, iPad and Mac.
Raghavan, who was testifying as part of the DOJ's ongoing antitrust suit against the company, said Google’s search advertising made $146.4 billion in revenue in 2021, which puts the $26 billion it paid for default status in perspective. The executive clarified that default status was the most costly part of what it pays to acquire traffic.A slide shown in court revealed that, in 2014, Google brought in $47 billion in search revenue while paying $7.1 billion for default status.
Google objected to making the figures public, arguing it would hurt its ability to negotiate future contracts. Judge Amit Mehta, overseeing the case, disagreed.
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