You are here: Home » News-IANS » Business-Economy
Business Standard

Google paid Apple nearly $9.5 bn in 2018, estimates Goldman Sachs

IANS  |  San Francisco 

To remain the default on devices, paid nearly $9.5 bn in traffic acquisition costs (TAC) in 2018, thereby contributing massively to the maker's services revenue, estimates

is focusing on services revenue amid slowing sales in emerging markets like

According to a report in CNBC on Tuesday, what paid in TAC represented a third of Apple's profit in the segment.

warned that while the fees paid by will continue to make up a large portion of Apple's services revenue into 2019, the rate of growth will be slower.

The firm suggested that to boost its revenue in the services segment, Apple needs to be less reliant on Google's contribution.

"Apple will need to add mid to high single digits growth back to Services revenues through successful launch of the 'Apple Prime' bundle including original video that we expect to be rolled out this Spring/Summer," was quoted as saying in a note on Monday.

Google pays device makers like Apple traffic acquisition costs to be the default



(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Wed, February 13 2019. 17:50 IST