- Google paid $26.3 billion in 2021 to be the default search engine.
- This is more than three times what Google paid in 2014.
- Google says that these payments are necessary to maintain its competitiveness.
An Alphabet’s Google senior executive revealed that the company spent an enormous $26.3 billion in 2021 to ensure its search engine is the default option on web browsers and mobile devices. This disclosure came during the antitrust trial in the Justice Department, as reported by Bloomberg News on Friday.
The revealed numbers show a substantial rise in Google’s payments for default status, exceeding more than three times the 2014 amount. This information was disclosed by Prabhakar Raghavan, a high-ranking company executive overseeing search and advertising.
In 2021, Google’s search advertising revenue reached a significant $146.4 billion, with the Bloomberg report featuring Mr. Raghavan pointing out that the cost of securing default settings was its most substantial expense.
As of now, there has been no response from Google to a request for comment.
The company has continuously asserted the legality of its revenue-sharing agreements and emphasized its significant investments in maintaining competitiveness within its search and advertising sectors.
Moreover, Google has contended that users have the liberty to change their default settings to another search provider if they are not satisfied, and many users do choose to do so.
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Google had expressed concerns about disclosing these numbers, arguing that it could weaken the company’s position in future contract negotiations. Nevertheless, Judge Amit Mehta, overseeing the case, decided that the figures should be made public, as outlined in the report.
