Why do they take money from Google to be default search provider in Safari. Seems at odds with their commitment to privacy no?
Again, that's just marketing. They can't market privacy with Google as their main search engine.
Google only gets an anatomized request from your device. They receive no identifying information. No Apple ID, no Device ID, no IMEI, no e-mail address, no phone number. Apple restricts the information that Google gets. So Apple can absolutely claim they are taking your privacy seriously while still giving consumers the option to use Google.
It's the same way Apple uses Google servers for iCloud data. Google doesn't have access to any of your iCloud data even though it's on their servers.