Business Tech

Google paid Apple $9.5 billion in 2018 to stay default Safari search option

Analysts from Goldman Sachs estimate that more than 20 percent of Apple’s services revenue comes from Google.  Google is believed to have paid Apple US$ 9.5 billion in 2018 for being the default search engine on Apple devices.

Apple earlier said that service revenue would be the growth rider for the company amid deline in iPhone sales. Apple doesn’t give a breakdown of the revenue it receives from services like Apple Music, iTunes and the App store.

Apple is mulling a subscription bundle package for multiple services that may include Apple Music, Apple News Magazines and an unnamed video streaming app service in March-April.

Buzzfeed reported that Apple is working on a an event on the 25th of March.

Apple is in the transition towards becoming a more service driven company. This is critical for the company to survive after the decline in iPhone sales numbers. Apple’s revenue have fallen 15 percent year on year in December, and it doesn’t seem to be good until new models ship in, in September.

Morgan Stanley analysts urged that the Apple service bundle could push the company back to the US$1 trillion evaluation.