Yahoo and Mozilla have inked a deal as part of which Mozilla would make Yahoo as the default search engine on its Firefox browser for the next five years in the United States on both mobile and desktop platforms.The companies further said that they will explore other future product integrations and distributions. The strategic move will see Mozilla switching the Firefox’s default search engine for the first time in last six years from Google. According to several reports and estimates, the company made close to 90 percent of its revenue by keeping Google as the default search engine on its web browser.
Despite being rivals, Mozilla and Google maintained a healthy relationship. As part of their three year partnership (which was signed in 2011), Google was paying Mozilla a hefty sum of $300 million per year. According to analytics firm StatCounter, Firefox has roughly 16 percent of market share on the desktop in the United States. Mozilla’s browser competes with Microsoft’s Internet Explorer, and Google’s Chrome, both of which have more share than Firefox. In the mobile space, Firefox is yet to make a significant dent.
“At Yahoo, we believe deeply in search – it’s an area of investment and opportunity for us. It’s also a key growth area for us – we’ve now seen 11 consecutive quarters of growth in our search revenue on an ex-TAC basis. This partnership helps to expand our reach in search and gives us an opportunity to work even more closely with Mozilla to find ways to innovate in search, communications, and digital content. I’m also excited about the long-term framework we developed with Mozilla for future product integrations and expansion into international markets.” wrote Marissa Mayer, CEO Yahoo in a blogpost.
The new “Yahoo experience” will debut next month. It will offer “a clean, modern and immersive design that reflects input from the Mozilla team”, notes Mayer. Neither of the companies shared financial details of the partnership.