Sillicon Alley Insider is reporting (on source information) that rumors of Apple developing their own search engine are false, and that Google pays Apple $100 million per year for the default search engine position on the iPhone.
Our source tells us “there’s too many options” for search on the market, so there’s no reason for Apple to build its own search engine.
Another reason Apple might not want to build its own search engine: It’s getting over $100 million a year from Google in its revenue share deal, according to our source.
For Apple, that’s not a lot of money. But, it’s enough that it doesn’t make sense for Apple to put considerable resources towards building its own Internet search engine. And, if Apple wanted more money or options, there’s Microsoft — with Bing and a big checkbook.
This news is in the wake of a story by BusinessWeek that claimed Apple and Microsoft have been in negotiations to make Bing the default search engine on the iPhone.
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