[hinkley]

Google didn't give Apple 20% of their revenue for the year, they were responsible for 20% of their profit. AAPL is $2.8T and their P/E is 28. They earn about $100B a year. And if I'm recalling their profit/revenue ratio correctly, that's $100B on about 400B in revenue. Making Google's money 5%, not 20%.

That's still a lot for a default URL.

[refulgentis]

The post says "almost 20% of Apple's profit", and you note the profit was $100B and the payment was $20B, making it 20% - is something going over my head?

[IncreasePosts]

Yes - all $20B isn't pure profit. It must take 25% of an engineers time to maintain the search box in safari. So lets say it is only $19,999,899,999 in profits.

[sureIy]

Your math is off. They have to pay the engineers whether it’s towards Google or Microsoft. Those $20B are pure profit

[IncreasePosts]

No, if they deleted the search box and didn't need to maintain it, there would be no engineer required to maintain it.

[sureIy]

Makes zero sense. No search box will ever be dropped. If it’s not Google it’s Microsoft or Apple.