Title: Microsoft’s Attempt to Sell Bing to Apple Allegedly Thwarted by Google
In a surprising turn of events, Microsoft claims that its efforts to sell its search engine, Bing, to tech giant Apple were unexpectedly hindered by none other than Google. The revelation comes from Mikhail Parakhin, Microsoft’s CEO of Advertising and Web Services, who revealed that the company offered Apple an unprecedented deal, offering more than 100% of the revenue or gross profit to secure Bing as Apple’s default search engine.
However, Apple’s dealings with Google seemed to pose a significant roadblock, with the proposal ultimately being rejected. Microsoft maintains that it went above and beyond, offering to pay Apple a higher amount than what Google was providing, which was estimated to be around 60%.
This rejection by Apple has led Microsoft to suffer a severe financial setback, with the company potentially facing a loss in the billions. This raises questions as to whether Apple’s decision to stick with Google is solely based on financial considerations or if other factors come into play.
Microsoft asserts that its deal, compared to Google’s, was superior. The company claims it had thoroughly analyzed the revenue payments that Google was making to Apple in the United States. Microsoft firmly believed that it presented a more lucrative offer, making its rejection all the more perplexing.
Additionally, Microsoft tried to sway Samsung into considering Bing as its default search engine. Unfortunately for Microsoft, these discussions were swiftly terminated by Samsung due to its contractual obligations with Google. Despite Microsoft’s plea to at least have the opportunity to rival Google’s offer, Samsung refused to budge.
To reconcile the situation, Microsoft suggests an alternative approach for Apple. It believes that instead of fully severing ties with Google, Apple could have considered partnering with Microsoft exclusively in the United States, while still continuing its collaboration with Google in the rest of the world.
In conclusion, Microsoft’s attempt to sell Bing to Apple, with an unprecedented financial offer, reportedly fell through due to Apple’s existing partnership with Google. The subtle implications surrounding Apple’s refusal to switch search engines prompt speculation about non-financial incentives at play. Microsoft acknowledges that it might not have had the necessary bargaining power in this situation and is left contemplating the next move in the ever-evolving search engine landscape.