Microsoft CEO Satya Nadella‘s decade-long pursuit of an Apple search deal finally found satisfaction in an unexpected way – through OpenAI‘s partnership with the iPhone maker. “I’ve been trying to get an Apple search deal for like 10 years, and so when Tim finally did a deal with Sam, I was the most thrilled person,” Nadella revealed in a recent podcast.
Apple and OpenAI announced a partnership back at WWDC this year, that integrates ChatGPT across Apple’s ecosystem, including iOS, iPadOS, and macOS.
The Microsoft chief’s enthusiasm stems from his company’s dual relationship with OpenAI as both an investor and commercial partner. “It’s better to have ChatGPT get that deal than anybody else because we have both a commercial and investor relationship with OpenAI,” he explained.
This revelation comes months after Nadella’s testimony at Google’s antitrust trial, where he disclosed Microsoft’s extensive efforts to replace Google as Apple’s default search engine. The attempts included an extraordinary offer to drop the Bing brand name from Apple devices and even a proposal to sell Bing to Apple around 2020.
During the trial, Nadella emphasized the crucial importance of being Apple’s default search provider, describing it as a “game changing” opportunity. “Whomever they choose, they king-make,” he stated. He also suggested that Apple leveraged Microsoft’s interest to “bid up the price” in their negotiations with Google, which currently pays Apple approximately $8 billion annually for the default search position.
While Microsoft did briefly succeed in powering Apple’s Siri and Spotlight searches between 2013 and 2017, they never secured the coveted Safari browser default position. Apple’s services chief Eddy Cue maintained that Google remained their choice simply because it provided “the best search results.”
Now, with OpenAI’s new relationship with Apple, Nadella sees a silver lining in Microsoft’s decade of unsuccessful attempts, suggesting that the outcome aligns with Microsoft’s strategic interests through its OpenAI partnership.
