Apple is in talks with Microsoft to make Bing the default search engine on the iPhone instead of Google, BusinessWeek magazine reported on January 20. BusinessWeek, citing two people familiar with the matter, said the talks have been under way for weeks and reflect the growing rivalry between Apple and Google, which is currently the default search engine on the iPhone.
Apple also recently bought mobile advertising company Quattro Wireless, two months after Google purchased Quattro Wireless rival AdMob.
BusinessWeek said the discussions between Apple and Microsoft on replacing Google with Bing, which Microsoft launched in June, could still unravel and may not be concluded quickly. The magazine noted that being the default Web search engine on the iPhone carries financial benefits for Google, which collects money from advertising placed alongside search results and shares it with Apple.
BusinessWeek, which was bought recently by Bloomberg financial news agency, said that making Bing the default search engine on the iPhone could require users to adjust the phone settings if they want to search the Web using Google. The magazine also said that Apple is looking at providing a search option itself and that a deal with Microsoft may be "about buying itself time."