In a revealing disclosure from the CEO of DuckDuckGo, Gabriel Weinberg, the privacy-centric search engine’s negotiations with tech giant Apple were thwarted due to Google’s substantial financial agreements with the latter, as per transcripts from a pivotal antitrust trial of Alphabet unit.
A Deal in the Making, Then Unmade
Back in 2014, DuckDuckGo had successfully forged a deal with Apple to be presented as a selectable option on Apple devices. The privacy-focused search engine, which currently holds approximately 2.5% of the search market, didn’t stop there. It pursued Apple to become the default choice for users opting to work in privacy mode, a setting that restricts data collection on users.
The Stumbling Block: Google’s Financial Might
However, the potential contract encountered a significant hurdle. Google, commanding a dominant 90% of the search market, has been paying an astounding $10 billion annually to Apple and other entities to maintain its position as the default search engine. This financial influence not only solidifies Google’s stronghold in search but also propels its formidable presence in the lucrative advertising market, thereby amplifying its profits.
Apple’s Interest and Subsequent Hesitation
Weinberg shared that Apple exhibited genuine interest in 2016, with executive meetings between the two companies taking place in 2017 and 2018 to explore the possibility of making DuckDuckGo the default search engine in privacy mode. However, Apple executives consistently expressed apprehensions that their distribution agreements with Google might prohibit such a change.
A Potential Deal Dissolves
In 2019, Apple ultimately decided against the shift, causing the potential deal with DuckDuckGo to wither away. Weinberg disclosed that similar proposals were presented to Samsung and other companies, only to be met with rejection. He stated, “Each of these companies Google contract was the key thing preventing us from getting a deal done with them”.
In a Nutshell
- 2014: DuckDuckGo becomes an option on Apple devices.
- 2016: Apple shows interest in making DuckDuckGo a default in privacy mode.
- 2017-2018: Executive meetings between Apple and DuckDuckGo.
- 2019: The potential deal collapses.
The revelations from Weinberg shed light on the intricate and often obscured interplay between tech giants, revealing how financial agreements can potentially influence and even obstruct deals that might alter the landscape of user options and data privacy in the digital realm.
