Google Reveals Microsoft Offered to Sell Bing Search Engine to Apple in 2018

In a recent court filing, Google revealed that Microsoft had offered to sell its Bing search engine to Apple in 2018. This disclosure emerged from Google's ongoing antitrust case with the U.S. Justice Department and has unveiled key insights into the competitive dynamics within the tech industry.

The unsealing of a court document earlier this month has shed light on the legal battle surrounding Alphabet's alleged monopoly in web search advertising. This case has brought to the forefront the agreements that Google has established with Apple and Android phone manufacturers to maintain exclusivity for its search engine.

As per the unsealed filing, Google reportedly spent over $26 billion in 2021 to secure its search engine's default status. The filing also exposed Microsoft's persistent attempts to pitch Bing as the default search engine for Apple's Safari web browser in various years, including 2018. However, Apple consistently rejected these offers, citing quality concerns with Bing in comparison to Google.

The court documents further revealed that Microsoft had invested nearly $100 billion in Bing over a span of 20 years. Despite these efforts, Bing currently holds a mere 3% global market share, as reported by StatCounter. In contrast, Google's search and other revenue totaled a staggering $48 billion in the fourth quarter alone.

Furthermore, the filing disclosed that in 2018, Microsoft not only emphasized Bing's enhanced quality to Apple but also offered to sell Bing to Apple or establish a joint venture related to Bing. This offer was accompanied by discussions about the potential gains in Bing's quality.

Eddy Cue, in his testimony, conveyed that Microsoft's search quality and its advertising organization were not as robust as Google's. Additionally, Apple CEO Tim Cook's comments regarding Bing were redacted in the filing. Both Google and Microsoft have refrained from providing immediate comments on these revelations.

The court disclosures have also brought to light assertions that Apple, if it had not received substantial payments from Google, would have ventured into developing its own search engine. Furthermore, it was reported that Microsoft executives engaged in exploratory talks with Eddy Cue about the possibility of selling Bing to Apple around 2020.

As the antitrust case unfolds, the future of tech industry dynamics and the role of major players like Google, Microsoft and Apple remain uncertain. The outcome of this case holds significant implications for competition and innovation within the digital sphere.

The unsealing of court filings has unravelled a complex web of strategic maneuvers, quality assessments, and competitive dynamics within the tech industry. The ongoing antitrust case between Google and the U.S. Justice Department continues to unravel key insights into the industry's competitive landscape.