Wednesday 21 November 2012

Google to pay almost $300 million to Mozilla to keep it the default search engine on Firefox


Google and Mozilla have had a good (and sometimes bad) relationship when it comes to business. The two are partners in one context and opponents in another. But still, they both kind of depend on each other to some extent. Google’s Chrome and Mozilla’s Firefox are two of the most used browsers on more than one platform, and they both want to keep it that way. And since Firefox has a very good market share, Google wants its presence on it as the default search engine.


Google’s contract with Mozilla for this expired in November this year and now its time to renew that contract. And for the next year, Google is ready to pay Mozilla almost three times the money it paid last year. In the latest “State of Mozilla” report, it is clearly understandable that Google has contributed 84% of Mozilla’s $123 million in 2010, and that means Mozilla is lot dependent on Google for its own survival, dont you think so?
Now that Google is ready to increase the pay by three times, which comes to almost $300 million, Mozilla will be a bit short to $1 billion in revenue for the next year. That’s a great leap if you ask me. We will still see Google as the default search engine on Mozilla Firefox if this contract is signed, and I have no complaints. And since almost 94-96 percent of Google’s revenue comes from ads, this investment is very important for the company.

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