Yahoo, along with Microsoft, eyeing default search partner for iOS

Yahoo! has seen a turn-around of recent, with a new leader who is not afraid to spend some cash, the company is looking to iOS for it’s next burst in growth. Specifically, the company wants to become the default search provider on iOS devices instead of Google.

The information comes from Re/Code who says that Yahoo! is working on its search services in hopes to boost revenue through advertisement. If that strategy sounds familiar, it’s because Google makes the majority of its income from advertisements and Mayer is a former Google employee. A key move to help boost the bottom line will be take the default search position away from Google and place Yahoo in that spot.

The problem Yahoo! may face though, is that Microsoft and it’s Bing search engine, are vying for the same position, according to our own sources. Microsoft and Apple have become better friends recently with Microsoft brining many of its services to iOS such as Office and OneNote (for Mac) . More so, Siri also uses Bing, which is likely how Microsoft hopes to convince Apple to give them the default search position on iOS.

Why would Apple want to ditch Google as the default search? The answer is simple, searches on Google provide the company with advertising revenue which then goes to pay for Android. Steve Jobs hated Android and the company knows that Android is the biggest threat to iOS; we would hedge that the company is not loving the idea that they are helping their competitor by boosting advertising revenue

With millions of iOS devices currently in use, cutting ties with Google as the default provider on iOS could hurt Google’s bottom line to a measurable degree.

For Apple, dumping Google as the default provider makes a bit of sense but they also have to be careful, as many users prefer to use Google maps on their devices instead of Apple maps. If Google were to pull its map app in protest, it could upset Apple’s user base.

The next time we might see Apple change the default search setting is when it debuts iOS 8. The OS is typically shown off in June at the company’s WWDC conference and we have no reason to think this year’s conference will be any different.

One thing to consider, Apple likely won’t give up its default search setting for free. Mozilla makes a tidy some of money from Google for being the default provider on Mozilla. Knowing this, Apple could open the position for bidding and let the market decide what the position is truly worth as it is believed that Google is already paying upwards of one billion for this privilege. 

Via: Re/Code

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30 Comments

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I don't care what the default is, but please, Apple, give us an option to stop asking us to change the default in Safari. I get that Siri gets its search results from Bing. But it is infuriating that when those results are open in Mobile Safari, I'm asked to switch my default search engine every ####ing time.

So long as they don't lock it to Bing. The fact that the default search can't be changed from Bing on Windows Phone is one of the reasons I've stayed with iOS.

Yahoo and Bing have horrible search result. The reason people use Google is not because they are mostly default search engine but because Google gives most of the relevant search results. No one uses search engine thinking which company is getting advertising revenue.

"The problem Yahoo! may face..." ... is that it is Yahoo. New leader, yea, but... Yahoo, in its almost comedic fails.

Or maybe I still carry a grudge from the destruction of GeoCities.

See MS using some sort of deal that would persuade Apple to use Bing, and they are both pretty much in bed with each other over patents and so why not go the whole 9-yards

jasondefaoite said,
I thought Yahoo was using the Bing engine?

Yahoo has its own engine it was powered by bing just like one day it was powered by google. mostly, bing is now bigger than yahoo

As much as I prefer Google's results, I see no harm in trying to bid to be the default provider. I mean, if they're willing to push hard to get to that spot then they're willing to push hard to make the service better. Also more users means more data which leads to better search engine.

Basically, go for it. Hopefully it will stir up some competition!

They better pick Bing then because Yahoo will be swallowed by Google in the next few years. That's what you get when you have a Troyan Horse as CEO.

Ronnet said,
They better pick Bing then because Yahoo will be swallowed by Google in the next few years. That's what you get when you have a Troyan Horse as CEO.
Google can't buy Yahoo. They already have 90% of the search engine market, so it would be very weird and market destroying if Google is allowed to buy Yahoo.

Majesticmerc said,
Is that not the "in thing" now? Plant one of your own guys as CEO and let the small fish get eaten by the big fish?

you cant really "plant" your person.. The board of directors needs to pick/vote the new CEO in. So in reality it is the board of directors (shareholder representatives) that is trying to be swallowed up to maximize shareholder value by setting up for an easier takeover.

Studio384 said,
Google can't buy Yahoo. They already have 90% of the search engine market, so it would be very weird and market destroying if Google is allowed to buy Yahoo.

Perhaps they won't swallow Yahoo then but keep them on a lease. This means they'll have neutered one of their competitors which is just as good, perhaps even better. They can keep up the appearance of not having a monopoly.

Whatever it is, Mayer doesnt seem trustworthy to me. A Google employee from the early days who immediatly starts destroying the ties between Yahoo and MS the moment she takes the CEO position... Her colors are very clear.

Studio384 said,
Google can't buy Yahoo. They already have 90% of the search engine market, so it would be very weird and market destroying if Google is allowed to buy Yahoo.
As long as Bing is a viable competitor in search I don't think Google would have any problem swallowing Yahoo, and I'm sure Mayer would do her best to facilitate this.

What search capabilities worth anything does Yahoo have of its own anyway? I thought Mayer was trying her best to squirm out of their agreement with Microsoft to use Bing? Did she succeed?

I'd prefer Bing... I can understand why Apple would not want to default to Google, but Bing would be the best choice I think.