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Defaults are powerful. Psychological research has repeatedly demonstrated that nearly people don't change defaults, opting instead to apply systems and settings the style they are configured out-of-the-box. That'southward why then many battles have been fought over questions like what the default browser in Windows should exist, and it's why Apple can get abroad with charging Google an awful lot of money to exist the default search provider on iOS.

Goldman Sachs annotator Rod Hall believes Apple is charging Google $9B for search defaults in 2022, up from $4B in 2022 and $1B back in 2022, co-ordinate to Business organisation Insider. Goldman believes Apple earns more than revenue on those payments than they do on either iCloud or Apple Music.

"We believe this revenue is charged ratably based on the number of searches that users on Apple'southward platform originate from Siri or within the Safari browser," Hall wrote. "We believe Apple is one of the biggest channels of traffic conquering for Google."

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Apple's accountants like to talk nigh the visitor'southward earnings from its "Services" sectionalization equally being driven by Apple Music, iCloud, or the App Store more by and large. But Hall and his fellow analysts aren't at all certain that's actually the instance. Business Insider notes that Goldman believes 24 percent of Apple tree'south services revenue is driven by TAC (Traffic Acquisition Fees). AppleCare supposedly accounts for another 17 pct.

We've noted how much more expensive device repairs on Apple devices take gotten if you don't buy AppleCare and work directly with the company on the repairs. While Apple tree tin't make information technology literally illegal for third parties to repair devices, the company has taken multiple steps to brand it every bit inconvenient every bit possible, including rolling out "updates" intended to brick devices if they'd previously been repaired by third parties in the name of device security.

"Services" as a grouping of products accounted for 13 percent of Apple'south revenue in 2022. With smartphone sales flattening out and iPad sales down sharply since the product family debuted, Apple tree has looked to increment revenue without shipping college product volumes. That's led to sharp increases in iPhone prices on the consumer side and certainly hasn't given the company any incentive to keep its phone repair costs low. With the cancellation of the iPhone SE and the introduction of the significantly more-expensive iPhone XS, XS Max, and XR, Apple volition continue to drive its earnings per quarter skyward, even if its shipped volume of devices stays the same or decreases. An actress $4B worth of Services revenue courtesy of Google's renegotiated contract won't hurt, either.

Now Read: Apple Announces iPhone XS, XS Max, and XR, Apple Just Killed the Best, Most Affordable iPhone Information technology E'er Built, and Apple's iPhone X Repair Fee is Over One-half the Cost of the Phone