Microsoft discussed selling Bing to Apple in 2020, report
But Apple ultimately decided to continue with Google as its default search engine
Microsoft engaged in talks about potentially selling its Bing search engine to Apple three years back, although Apple chose to stick with Google Search within its ecosystem.
According to undisclosed sources cited by Bloomberg, discussions between the two companies took place in 2020.
Microsoft executives held meetings with Eddy Cue, Apple's services chief, to explore the potential sale of Bing. Cue is known for his role in facilitating the agreement between Apple and Google to establish Google as the default search engine on the iPhone.
Bloomberg sources said that the discussions between Microsoft executives and Cue were preliminary and did not progress to an advanced stage.
Google's search engine has maintained its status as the default option on the iPhone, iPad and Mac for several years, with Google paying Apple billions of dollars annually for this privilege.
Apple first entered into the search engine deal with Google in 2002, coinciding with the release of Apple's first Mac web browser. This agreement has continued over the years and remains crucial for Google, given the immense user base of over a billion iPhone users.
According to estimates from the US Department of Justice (DoJ), Apple has generated nearly $7 billion in revenue from this partnership.
The Apple/Google agreement has come under scrutiny in light of the antitrust trial in which Google is being sued by the DoJ.
The DoJ has cited Google's prominent position on Apple devices as evidence of a potential search engine monopoly.
Recently, Cue was called to testify in the trial, where he provided insights into why Google serves as the default search engine on the iPhone.
During his testimony, Cue highlighted that Apple had extended its agreement with Google in 2021, adding that it has not pursued another search engine provider because it does not see a "valid alternative" that matches Google's quality.
"We make Google be the default search engine because we've always thought it was the best," Cue said.
He emphasised that Apple has not felt the need to develop an in-house alternative, primarily because they genuinely believe Google to be the best option.
Cue added that he's uncertain about the course of action they would have taken if negotiations with Google had ever broken down.
Even though Apple was apparently lukewarm about Bing, it has used Microsoft's search engine in various components of its ecosystem in the past.
Bing served as the default search engine for Siri and Spotlight from 2013 to 2017, before being replaced by Google.
The DoJ's lawsuit, filed in 2020, represents a significant legal challenge to the power and control of major tech companies and could set a precedent in the battle against industry monopolies.
The case marks the first government lawsuit against Google to go to trial.
The DoJ has also joined a separate case against Google, initiated by the attorneys general of 38 states and territories, which focuses on monopoly concerns within the advertising industry.