Rumor has it that Google pays Apple $100 million to be the default search engine on the iPhone. Frankly, that was more than I expected. This particular rumor surfaced after another rumor indicating that Apple and Microsoft, not a heavy weight in search, were in talks to make Bing the default search engine on the next version of the iPhone.
There was some indications as the Bing app for the iPhone works pretty well. Now, the question is how much more Google is willing to pay to keep Google the default search engine on the iPhone? $150 Million? $200 Million? And can Google afford to say enough is enough should Jobs push harder to squeeze more money from Google?
I'm not sure Apple is ready to go with Bing. And I wonder if Google realizes this. Why is that?
Google is search to many mobile users and Bing really won't be dethroning Google in mobile search any soon if at all. And there is no reason why Apple would want to help Microsoft's long-term goal. It's simply not in Cupertino's interests at all.
Google will be the search engine king for the mobile market while Bing struggles on as an iPhone app and, hopefully, become more relevant and serious challenger to Google on a resurging Windows Mobile platform. Meanwhile, Apple will extract more money from Google, buy itself some time until its own search engine is release.
Note: Don't be surprise if Apple buys one of the existing search engines on the market.