Why Google pays Apple $1B / yr — Jordan Koene // Previsible

Jordan Koene, PreVisible CEO and Co-Founder, discusses a little SEO news. It is in the best interest of the government and the legal system in the US to protect consumers and allow them to know all of the choices that they have available to them. Recently, it was brought to the public’s attention that Google is paying Apple to be the default search engine on their devices, and now Google is under investigation by the DOJ. Today, Jordan talks about why Google pays Apple more than a billion dollars a year.
About the speaker

Jordan Koene

Previsible.io

 - Previsible.io

Jordan is CEO and Co-Founder of Previsible.io

Show Notes

  • 02:21
    Why Google is paying Apple a billion dollars
    Though Apple is one of Google's biggest competitors, theyre spending a billion dollars with them in order to maintain an authoritative position for their core product.
  • 03:13
    What Google is buying from Apple
    Ultimately, Google is buying premium placement of the Google search engine on mobile devices like iPhones and Samsung devices. Theyre trying to ensure that the default search engine on the devices is Google.
  • 05:18
    The value of being the default search engine is on a billion iPhones
    The majority of todays searches are performed on a mobile device. This move is important in terms of Googles ability to maintain its dominance as the largest search engine in the world and its ability to continue to scale over time.
  • 09:08
    Why the deal between Google and Apple is public knowledge
    Large companies are brokering these deals to create awareness and market dominance. However, it came to the publics knowledge because the DOJ is investigating and filing lawsuits against Google on whether or not this is competitive.
  • 10:56
    Why the DOJ is getting involved with the Google
    The DOJ is looking into whether this deal creates an environment for fair competition against other search engines. Making their search engine the default on devices removes the consumers ability to make their own choice.
  • 12:45
    The outcome of the Google
    Both Google and Apple are globally dominant and significant. However, consumer choice is important and wed run into trouble if they were able to monopolize what your default browser is.

Quotes

  • "This is something that's been going on for many years where Google is basically buying the default exclusivity of the Google search engine within the devices that many of us use." -Jordan Koene, CEO, PreVisible

  • "The majority of searches today are mobile. This is an incredibly critical component to Google's ability to maintain their dominance as the worlds largest search engine and to continue to scale over time." -Jordan Koene, CEO, PreVisible

  • "The average CPC on Google has to be at least $3, at least in the United States." -Jordan Koene, CEO, PreVisible

  • "Microsoft has gone through this entire saga when it comes to Internet Explorer, which was a default browser on all these computers." -Jordan Koene, CEO, PreVisible

  • "By creating this environment where Google is ever present throughout all of these different devices, what marketplace are we dealing with here? Is it a fair competition for all these other search engines?" -Jordan Koene, CEO, PreVisible

  • "Microsoft was sued, not just by the DOJ, but by many regulators across the world around how they were placing this browser by default within all of these devices, and that had to change." -Jordan Koene, CEO, PreVisible

  • "Google and Apple are two incredibly dominant and significant companies in the global footprint. There are very few government and regulatory bodies that can control the size and magnitude of these companies." -Jordan Koene, CEO, PreVisible

  • "We don't want a world where there's only one option in order for us to consume a particular device experience. If they're able to create a vacuum where there is no choice, then we're all in trouble." -Jordan Koene, CEO, PreVisible

About the speaker

Jordan Koene

Previsible.io

 - Previsible.io

Jordan is CEO and Co-Founder of Previsible.io

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