Sundar Pichai Confirms: Alphabet Pays Apple 36% of Safari Search Revenue

15 Nov, 2023

Sundar Pichai Confirms: Alphabet Pays Apple 36% of Safari Search Revenue

Alphabet CEO Sundar Pichai confirmed that Google pays Apple 36% of Safari search revenue, a key detail in the Justice Department's antitrust claims. Pichai's statement came during his testimony in the Epic Games lawsuit, where an expert witness accidentally disclosed the 36% figure. Pichai acknowledged its accuracy, and when questioned about Google's payments to Samsung, he noted the possibility of a different arrangement.

Pichai emphasized the competitiveness between Google and Apple, stating that the deals with each company are unique. The disclosure revealed Google's nearly $49 billion in Traffic Acquisition Costs for 2022, covering payments to various partners, including Apple and Samsung.

The breakdown of the revenue-sharing agreement was disclosed by a witness testifying for Google, sparking debates on the exact figures. Pichai mentioned a payment over $10 billion, while the opposing attorney argued it could be $18 billion.

In the legal proceedings, Judge James Donato emphasized transparency, rejecting requests to conceal figures. Alphabet faces multiple legal battles, including Justice Department suits and allegations of anticompetitive behavior. The ongoing Epic Games lawsuit contends that Google maintained an illegal monopoly through its Google Play store.