Apple’s Potential Rivalry with Google: Is ‘Pegasus’ the Answer?

Apple currently earns approximately $8 billion annually through its agreement with Google, which designates Google as the default search engine on all Apple products, including iPhones, iPads, Macs, and more. However, Apple could potentially secure a significantly larger revenue share, akin to the scale of the Apple Watch, if it were to introduce its own search engine.

As per a report by Bloomberg’s Mark Gurman, Apple has been enhancing its web search capabilities, possibly as a strategic tool in negotiations with Google. Interestingly, Apple is now directing its focus toward the development of a new, next-generation search engine for its applications, codenamed ‘Pegasus.’

The team, led by former Google executive and Apple’s head of machine learning and AI, John Giannandrea, aims to deliver more precise search results. These improved capabilities are currently available in select Apple apps and are expected to be integrated into the Apple Store in the near future.

The Google-Apple Partnership:

Google was initially integrated as the default search engine in Apple’s Safari browser in 2002, and since then, the partnership has undergone numerous revisions.

Eddy Cue, Apple’s senior vice president of services, recently stated during the Google antitrust case that there is no one better than Apple when it comes to internet search.

“At that time, there simply wasn’t a viable alternative to Google. Choosing any other option was never a genuine consideration,” emphasized the senior Apple executive.