Apple Inc. is exploring significant changes to the search engine powering its Safari web browser, potentially shifting away from Google's default service. The move comes as the U.S. Justice Department's antitrust lawsuit against Google's parent company, Alphabet Inc., challenges the long-standing arrangement between the two tech giants.
Eddy Cue, Apple's senior vice president of services, testified Wednesday that Apple is "actively looking at" reshaping its browser's search capabilities. This strategic review is in response to the possibility that the government's legal action could disrupt the partnership.
The core of the U.S. government's case against Alphabet Inc. centers on the lucrative agreement where Google pays Apple an estimated $20 billion annually to be the default search provider across Apple devices. The Justice Department contends this deal stifles competition in the search market.
Should the lawsuit force a change, Apple is considering focusing Safari on search engines powered by artificial intelligence. This exploration reflects broader shifts within the technology industry toward integrating AI into core services.
The potential loss of the estimated $20 billion annual payment from Google could have notable implications for Apple's services revenue and creates uncertainty for the Alphabet Stock. The outcome of the Justice Department's challenge poses a substantial risk to Google's dominant position in mobile search traffic originating from Apple's large user base.
Cue's testimony provides insight into how Apple is preparing for various outcomes as the government pursues its case against Alphabet. The executive's comments were made public during proceedings related to the lawsuit on May 7, 2025.
Apple's evaluation includes assessing alternatives and developing strategies should the deal be invalidated or altered by court order. A pivot towards AI-centric search aligns with the ongoing industry trend of embedding advanced computational models into user-facing applications.
The ongoing legal battle underscores the increasing government scrutiny faced by major technology firms and highlights the dependencies within the digital ecosystem. Eddy Cue stated the company is "actively looking at" alternative paths for search within Safari as a direct result of the litigation's uncertainty.
