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Cailianshe News, August 6 (Editor: Shi Zhengcheng)Unintentionally, the logic that best highlights the value of US technology giants' investment in AI actually appeared in the court's judgment.

In a 286-page ruling, the U.S. federal court on Monday supported the Justice Department's claim.It was determined that Google's practice of "paying" operating system operators to make Google's search engine the default setting for system browsers violated antitrust laws.This is also the first time that the US government has won a major antitrust case in more than two decades. Of course, Google has also made it clear that it will appeal.

(Source: Cover of the judgment)

Although it is Google sitting in the dock,But this ruling directly hit another technology giant - Apple。

Court documents show that over the past decade, Google's payments have risen from billions of dollars to more than $26 billion, with the lion's share going to Apple.Taking 2022 as an example, Google will pay Apple more than $20 billion, bought the position of default search engine for Safari browser.

As a commercial secret, both parties kept the payment arrangement secret. However, during the trial, a witness from Google accidentally revealed thatGoogle and Apple have agreed to return 36% of the money earned from search ads on Apple devices to Apple.This probably explains why this amount of money has grown so rapidly in recent years.

Even for a global consumer electronics giant, losing $20 billion in “passive earnings” is an unbearable pain. Apple’s current annual revenue is slightly over $380 billion, and its net profit is roughly $100 billion.

The value of AI transformation is still rising

If this verdict had happened last year, the market would have roughly priced it in as "Apple losing $20 billion in revenue," but the situation this year is very different.

Apple just released "Apple Intelligence" in June this year, integrating an AI chatbot that can search for information online into the Siri digital assistant and other software.Although this suite will not be available until October at the earliest, and many of its core functions will not be updated until next year, it undoubtedly provides Apple with hope for revenue in the "post-search engine" era.

Well-known technology journalist Mark Gurman said that Apple is movingOpenAIofChatGPTIntegrating into the system, there is also hope to introduce Google’s Gemini chatbot.Over time, the company could steer consumers toward Siri and AI rather than web browsers. This gives Apple the opportunity to strike new, non-exclusive deals with AI companies like Google without getting picked on by the U.S. government.

According to previous reports, the cooperation mode between Apple and OpenAI is also similar to distribution - after Apple users subscribe to ChatGPT membership, OpenAI will return part of the commission to Apple.

What happens next?

Monday's ruling did not include how Google should remove its "monopoly" status, and the judge plans to hold a hearing next month to discuss the trial time on this topic. From a practical point of view, the court is unlikely to force Apple to exclude Google search engines from the system, but is more likely to require it to change its default settings to create a more fair competitive environment.

A possible solution is:On Apple devices in the EU, when consumers first open the browser, Apple will show them different search engine options. In addition to Google, there are also search site competitors such as Microsoft Bing and DuckDuckGo.

Regardless of how the lawsuit plays out, Apple's operating system is going to see big changes in the coming months as it looks to roll out a suite of smart features that will gradually transform the way people use their phones and other devices.

For example, the upgrade of the Siri digital assistant includes an upgrade to the text chat function, which makes it easier for users to issue query requests to AI anywhere on their mobile phones, tablets, and computers.

(Shi Zhengcheng, Cailianshe)