It sounds to me like this is a per device deal. It makes sense that the number would grow annually. From what I saw in the article it doesn't make mention that

It sounds to me like this is a per device deal. It makes sense that the number would grow annually. From what I saw in the article it doesn't make mention that Apple is extorting this money out of Google either. It seems that people see the 1 Billion dollar figure and assume something sinister is afoot. I would not doubt that this figure was the result of negotiations between the two companies.