The world of technology is complicated and agreements between companies are rarely public. Incredibly interesting information about Google and what this company pays mobile manufacturers to use their applications. Yeah it’s about time you know that Google pays Samsung, Xiaomi or Sony because your devices can be searched in your browser or buy applications in your store. Everything is monetized, so the manufacturer of your mobile not only makes money from the sale of the device itself.
This is what companies earn every time you search on Google
That the majority of mobile phones on the market have Google as the main browser and almost all of its applications are pre-installed is no coincidence. Google itself spends a large amount of millions every year so that the ecosystem has a presence on almost every Android. Today we are a little closer to getting to know how much is this outlay.
Thanks to Epic and its lawsuit against Google and Apple, an agreement between Google and the main smartphone companies has come to light. In a filtered document you can read that Google promises 8% of the revenue generated by your browser searches.
This means that companies like Samsung or Xiaomi earn 8% of everything that is generated in Google by users. It is for this reason that Xiaomi, Sony or Samsung are interested in having the Google application installed default. Every time you use it and report a benefit to Google, you are also reporting it to the manufacturer of your mobile.
Greater benefits for not having other app stores
Google’s market lust is such that it has been discovered that paid more to manufacturers that did not include other app stores on their mobiles. The agreement runs until 12% of search earnings when the manufacturer does not include its own app store.
Also, companies like LG or Motorola increased their profits in these deals with a percentage of between the 3 and 6% of the benefits of Google Play obtained by users. This, again, due to the fact of not installing applications for the sale of applications by default, something that Huawei or Samsung usually do.
Unfortunately we cannot know how much money Google has paid to Samsung, Motorola or Xiaomi by user searches, but now we can know that round between 8 and 12% plus possible income from Google Play.
The manufacturer of your phone did not stop making money from you after selling you the deviceEvery time you use it or buy an application, it is very possible that you are pocketing a fraction of a penny for it.