During the U.S. vs. Google antitrust trial, Microsoft’s CEO Satya Nadella echoed the widely acknowledged fact that Google reigns supreme in the online search realm. Nadella emphasized this by stating, “Everybody talks about the open web, but there is really the Google web.” The Department of Justice has filed a lawsuit against Google, alleging that the company maintained a monopoly on the online search market through exclusive agreements. One key aspect of the government’s case revolves around Google’s exclusive deal to be the default browser on Apple’s Safari.
Google has argued that its position is not as influential as it is made out to be, as users have the option to switch their search engine. Nadella, however, dismissed this claim as “bogus.” He explained that “defaults are the only thing that matter” and emphasized that if Microsoft had the same position through its search engine Bing, it would be a game changer.
Nadella revealed that if Apple were to switch to Bing, Microsoft would face an annual loss of over $15 billion USD (approximately $20 billion CAD). Despite this potential financial setback, Nadella expressed his willingness to make the move. Microsoft would even conceal Bing’s branding within the search engine for Apple users and comply with any privacy requirements set by Apple. Such a position would be incredibly powerful.
Nevertheless, Microsoft has not succeeded in persuading Apple to make the switch. Nadella shared that he has focused on exploring the possibility throughout his tenure as CEO but has yet to see Apple open to the idea.
Nadella also expressed concerns about Google further solidifying its dominance with the ascent of artificial intelligence (AI). Microsoft has made substantial investments in OpenAI, the company behind ChatGPT, which employs Bing as its default search engine. Furthermore, Microsoft leverages ChatGPT to power Bing Chat.
However, Nadella voiced apprehension that Google could strike exclusive deals, allowing companies to share data for training AI systems solely with the tech giant, effectively cutting off other search engines from accessing critical resources.
