Apple Planning Own Search Engine?

There's a lot of talk now about Apple thinking of replacing Google as the default search engine on iPhone, however the most interesting quote is from BusinessWeek suggesting Apple is working on their own search engine:
Even if it’s consummated, an Apple-Bing deal may prove short-lived. The person familiar with Apple’s thinking says Apple has a “skunk works” looking at a search offering of its own, and believes that “if Apple does do a search deal with Microsoft, it’s about buying itself time.” Given the importance of search and its tie to mobile advertising — and the iPhone maker’s desire to slow Google — “Apple isn’t going to outsource the future.”
It reminds me of Steve Ballmer's telling quote from the second Engadget Show in late 2009:
It doesn't feel very optional to be a significant player in the computer business in 2009 and not be trying on Search.
We're possibly about to see Google forcefully uprooted from iPhone OS 4.0, with Apple now owning their own mapping company, advertising company, and now in talks to bring Bing in as the default search engine. Let's hope the YouTube app doesn't get pulled, a lot of people use it regularly. Perhaps it will be moved to a download on the App Store? I guess Apple needs something to do with their new $1bn server farm. :-)

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