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August 28, 2008 10:34 AM PDT

Mozilla's Google subsidy to last three more years

by Stephen Shankland
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Mozilla and Google have extended a search deal through 2011, providing some financial security to the backer of the open-source Firefox Web browser.

"We've just renewed our agreement with Google for an additional three years. This agreement now ends in November of 2011 rather than November of 2008, so we have stability in income," Mozilla Foundation Chairman Mitchell Baker said in a blog post Wednesday. (Updated: there was a misleading timestamp on the post; a Mozilla representative told me it actually went live Wednesday evening.)

Google pays for prominent placement in Firefox, including the default home page and the default choice in the search box.

The deal has been lucrative for the Mozilla Foundation, whose two subsidiaries create Firefox and the Thunderbird e-mail software. In 2006, Google supplied $56.8 million of Mozilla's revenue--85 percent of the total for the foundation.

Google is the default search provider in the Firefox search bar.

Google is the default search provider in the Firefox search bar.

(Credit: Mozilla/Google)

And the money will come in handy. Firefox grew to its current position as the second-ranked Web browser during a hiatus when Microsoft rested on its Internet Explorer laurels.

Now Microsoft is fighting back hard with Internet Explorer 8, and Apple is spreading its Safari browser to Windows, the iPhone, and iPod Touch. Even fourth-ranked Opera Software is determined to stay in the game.

Mozilla hopes to release Firefox 3.1 by the end of the year with improvements to JavaScript execution speed, the ability to run JavaScript tasks in the background, and built-in video and audio support.

(Via TechCrunch.)

Stephen Shankland writes about a wide range of technology and products, but has a particular focus on browsers and digital photography. He joined CNET News in 1998 and since then also has covered Google, Yahoo, servers, supercomputing, Linux and open-source software, and science. E-mail Stephen, or follow him on Twitter at http://www.twitter.com/stshank.
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by jackdaniels08 August 28, 2008 11:04 AM PDT
Go Google! Go Firefox!
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by gsmiller88 August 28, 2008 1:31 PM PDT
Firefox users are like the Prius drivers of the web.
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by asadotzler August 28, 2008 1:42 PM PDT
"And the money will come in handy. Firefox grew to its current position as the second-ranked Web browser during a hiatus when Microsoft rested on its Internet Explorer laurels. "

Actually, IE 6 SV1 which included pop-up blocking and add-on management shipped with XP SP2 in late 2004 just as Firefox 1.0 was heading out the door and IE 7 shipped two years ago. I wouldn't exactly call shipping a two new browser over 4 years via Windows Update to the hundreds of millions of Windows users "resting on ones laurels."

Firefox continues to take market from Microsoft IE _despite_ Microsoft's all out push of IE 7 and Windows Vista for the last couple of years.

- A
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