Google and Apple are often touted as bitter rivals. But the world is more complex than that, and both firms also have deals with each other in place. Yahoo plans to disrupt one of these deals, aiming to replace Google as the default iOS search engine.
Yahoo has been trying to gain back its position as a highly successful web-based entity. The company has acquired Tumblr, perked up its content online and boasted its ad revenues over the last few years. However, what Yahoo desperately needs is a break into the mobile space. The future of the company depends largely upon how well it fares with the mobile users.
Reports have it that Yahoo’s CEO, Marissa Meyer, has set her sights on the iOS platform. She wants Yahoo to replace Google as the default search engine on iOS devices. While that seems a somewhat far-fetched notion, it may actually make sense for Apple which have had a rocky relationship with Google.
Deal between Google and Apple:
Despite being rivals, Google and Apple have a deal in place which overlooks Google’s place as the default search engine on iOS devices. Google reportedly pays a hefty $1 billion for the spot. Such a deal is beneficial for both because for Apple, this payment is pure profit while for Google, ad revenues from iOS devices make up for a huge portion of its total earnings.
Google has similar deals with other platforms. In 2010, the company reportedly paid Mozilla $247 million in return for being the default search engine on the browser. This number has certainly bumped up since, although no public information about any new deals between the two is available. Google has brokered similar deals with many platforms and services, which has ensured its position as the leading online search engine.
Can Yahoo make this happen?
So while Marissa Meyer is about to pitch her plan to Apple executives, can Yahoo really be a good replacement of Google? In its current form, Yahoo is certainly ill-equipped to take on the search giant. In fact, if Apple replaces Google with Yahoo as the default search engine on iOS devices, the move may result in a backlash from the iOS users. Yahoo needs to improve its services and online search and bring them at par with the best. Once that happens, it may threaten Google’s dominion in the mobile market.
Courtesy: Digital Trends