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966 days ago • Posted by William Ramstein

Google pays Apple an increasingly higher traffic acquisition cost

TME says, ''1. We estimate Google paid Apple $10bn in 2020 to be the default search on iOS. 2. We think that grows to $15bn this year or 9% of Apple's gross profits; adding 850bps of services growth 3. We think it could be $18-20bn in 2022 This is not chump change, even for Google. We estimate that Google's 2022 EBIT will be $88bn... Of course the reason why Google chooses to pay this is because they generate $50bn+ in search revenues from iOS.''

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