Apple may have ambitions to compete with Google in this multi-billion dollar market.
Google is facing an antitrust battle with the US government, causing Apple to face court proceedings over its relationship with the search giant. This could force Apple to reconsider its multi-billion-dollar deal with Google and replace Google Search with its own, which it has been working on for a long time. Apple has been experimenting with search in its services like the App Store, Maps, Apple TV, News, and Spotlight, which assists users in finding things on their devices. However, web results are still powered by Google or Bing.
Apple's AI division, led by John Giannandrea, is integrating its internal search, "Pegasus," into the iOS and macOS experience. The company has also invested in AI and search technologies, such as Laserlike, which could serve as the foundation for its search engine. Apple's continuous efforts to improve its search capabilities suggest it is just a matter of time. During the ongoing legal battle between the US Department of Justice and Google, Apple's senior vice president, Eddy Cue, testified that Apple doesn't see a need to create its own search engine, as Google's search is the best. However, Gurman believes this argument may be more about protecting Google from potential legal issues, as if the US government determines Google has violated antitrust laws, its partnership with Apple may be at risk, potentially costing billions of dollars.