US antitrust battle: Google says Apple chose its search engine for quality, not monopoly power

Google defended its long-standing search agreement with Apple during an appeal in a major US antitrust case. The company argued that Apple selected Google Search as the default option in the Safari browser due to its superior search quality, user satisfaction, and higher advertising revenue potential. The agreement allows Google to remain the default search engine on Apple devices, including iPhones, iPads, and Macs, while Apple earns a significant share of advertising revenue from Safari searches—36% in 2022. The case stems from a 2024 ruling by US District Judge Amit Mehta, who found Google had illegally maintained monopolies in online search and search advertising markets under the Sherman Antitrust Act. The lawsuit, filed by the US Department of Justice in 2020, highlighted Google’s payments to Apple, including nearly $20 billion in 2022 alone to secure default placement. Judge Mehta’s ruling concluded that Google used its market dominance to limit competition through exclusive agreements. However, the court did not ban the Apple-Google arrangement entirely. Instead, it introduced restrictions: Google can continue paying for default placement but cannot prevent Apple from promoting rival search engines or AI-powered alternatives. Default agreements are now limited to one-year terms, allowing competitors to bid annually for Safari’s default spot.