Apple has never ever publicly announced any plans to replace Google Search as the company has a history of making products and services that team well with Google’s offerings. However, there are several reasons to believe that the Cupertino giant could be working on its search engine.
In his latest Power On newsletter, Bloomberg’s Mark Gurman reports that Apple is planning to deploy its own search engine, Pegasus, in the App Store and in its own apps. This indicates that Apple is seriously considering replacing Google as the default search engine on its devices.
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According to Gurman, Apple is considering the possibility of developing its own search engine as a strategic move to reduce its reliance on Google, primarily in terms of revenue. Apple has been earning a substantial commission from Google’s search ad revenue which amounts to billions of dollars annually. Gurman believes that by deploying its own search engine, Apple could potentially generate a significant new revenue stream, similar to the Apple Watch’s earnings.
He also believes that Apple’s development of its own search engine, even if it doesn’t directly compete with Google will allow Apple to enhance its non-web search capabilities, potentially improving user experiences within its ecosystem.
While Google has a supremacy in the search realm, the tech giant remains reliant on Apple’s extensive user base. “As long as their agreement is in place, Apple has an incentive to steer its customers toward Google. The more Apple promotes Google search, the more money Apple makes,” writes Gurman.
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