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Mozilla signs new three year deal with Google

by Steven Williamson on 21 December 2011, 10:48

Tags: Mozilla, Google (NASDAQ:GOOG)

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Mozilla and Google have extended their partnership for at least the next three years, negotiating a confidential deal that will result in a “significant and mutually beneficial revenue agreement.

Under this multi-year agreement, Google Search will continue to be the default search provider for hundreds of millions of Firefox users around the world,” said Gary Kovacs, CEO, Mozilla.

Mozilla has been a valuable partner to Google over the years and we look forward to continuing this great partnership in the years to come,” said Alan Eustace, Senior Vice President of Search, Google.

Mozilla Firefox currently uses Google as the default search engine and the latter pays Mozilla each time someone uses its service via the popular web browser. The referral scheme has netted Mozilla millions of dollars in revenue.

In 2010, 98 percent of Mozilla’s $123 million revenue was apparently made through search engine referrals, including those via Bing, Yahoo and Amazon. However, 85 percent of the total revenue in 2012 is said to have been made through Google’s search engine.

This week Firefox released the latest version of its browser, which apparently improves stability and browsing speeds by up to 30 percent.


HEXUS Forums :: 14 Comments

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Works out as good value for Google - especially with the number of eyeballs and return visitors it brings.
However, 85 percent of the total revenue in 2012 is said to have been made through Google’s search engine.

Apologies if this is a business thing/to do with financial years working differently, but is this a typo that is meant to be 2011 or is it predicted income (and so shouldn't be in the past tense)?
Mozilla is a not for profit, what happens to all this money anyway? :) Do they have staff costs etc?
I realise the deal is mutually beneficial, but if I were the guys at Mozilla, I would be deeply uncomfortable about 6/7ths of my income coming straight from my biggest competitor, who could pull the plug at any time Mozilla gets on its nerves and consign Firefox to oblivion.

Millennium
Mozilla is a not for profit, what happens to all this money anyway? :) Do they have staff costs etc?

Think about it - staff costs, hardware costs, admin costs, etc.
Mattus
I realise the deal is mutually beneficial, but if I were the guys at Mozilla, I would be deeply uncomfortable about 6/7ths of my income coming straight from my biggest competitor, who could pull the plug at any time Mozilla gets on its nerves and consign Firefox to oblivion.

….
Agreed, but that's more of a reflection of Google's dominance in the search engine arena than anything else.