Google props up Mozilla

 

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Posted on 25 Oct 2007 at 09:49

The extent to which the Mozilla Foundation relies on Google has been revealed in the Firefox owner's latest financial statement. The figures show 85% of its revenue is derived from the search giant.

"Mozilla has a contract with a search engine provider for royalties. Approximately 85% of Mozilla's revenue for 2006 was derived from this contract," says the statement.

The deal involves Mozilla setting the default homepage of its browser to a customised Google search page, and placing a Google search box in the browser's toolbar.

"As in 2005 the vast majority of this revenue is associated with the search functionality in Mozilla Firefox, and the majority of that is from Google," says a blog post from Mitchell Baker, CEO of Mozilla.

The first contract with Google ended in Novermber 2006, but it was renewed for two years. Late next year though, the Foundation will be in the precarious situation of again needing renewal of the contract which funds most of its operations.

Currently the foundation is in good financial health, with revenue remaining higher than expenses, and a healthy cash surplus.

"Mozilla's revenue in 2006 exceeded our expenses. Our assets at the end of 2006 were $74,148,710, up from $52,396,387 at the end of 2005. In 2007 we expect our expenses to be significantly higher as we have continued to hire and fund more people and develop additional programs," says Baker.

Author: Matthew Sparkes