Apple Explains Why It Won't Build a Search Engine to Rival Google

Apple shared three reasons why it will not build a search engine to rival Google in a court filing earlier this week.

On Monday, Apple filed a motion to intervene in Google's upcoming U.S. antitrust trial over online search. In the motion, SVP Eddy Cue stated that the government's proposed remedies would not only prevent Apple from receiving any revenue share for distributing Google Search but also hamper its ability to continue delivering products that best serve its users' needs.

Apple noted that if Google is prohibited from sharing revenue for search distribution, it would face two choices: allow users to choose Google as a search engine option and receive no compensation, or remove Google from Safari. Since users prefer Google over its rivals, removing it would harm both users and Apple.


Cue also emphasized that the government appears to believe that, if revenue-sharing agreements between the two companies are prohibited, Apple will build its own search engine. He explained that there are clear reasons why Apple has chosen not to develop a search engine and noted, "It is unlikely that Apple will decide to create a search engine in the future, regardless of what remedies are ordered in this case."

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There are several reasons why Apple does not plan to create a search engine.

First, Apple is focused on other growth areas. The development of a search engine would require diverting both capital investment and employees because creating a search engine would cost billions of dollars and take many years.

Second, search is rapidly evolving due to recent and ongoing developments in Artificial Intelligence. That makes it economically risky to devote the huge resources that would be required to create a search engine.


And third, a viable search engine would require building a platform to sell targeted advertising, which is not a core business of Apple. Apple does not have the volume of specialized professionals and significant operational infrastructure needed to build and run a successful search advertising business. Although Apple does have some niche advertising, such as on the App Store platform, search advertising is different and outside of Apple's core expertise. Building a search advertising business would also need to be balanced against Apple's longstanding privacy commitments.
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You can read the full "DECLARATION OF EDDY CUE IN SUPPORT OF APPLE INC.'S MOTION TO INTERVENE" via Reuters at the link below...

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