Mozilla Set to Earn Nearly 1 Billion from Google Search Deal

Mozilla-FirefoxEarlier this week, Mozilla announced a new search agreement with Google that will ensure that Google remains Firefox’s default search provider for at least the next three years. However, Mozilla had declined to share exactly how much Google had agreed to pony up for this privilege. Now, Kara Swisher has managed to learn the juicy details.

Contrary to speculation from so-called pundits and analysts, the renewal of the search partnership got delayed not because of lack of interest from Google, but due to intense competition from Microsoft. Even Yahoo, which also uses Bing’s results, was in the race. As a result of Microsoft’s heightened interest, Google was forced to provide a minimum revenue guarantee of 300 million per year for three years, which is almost a three folds increase from the previous agreement.

Mozilla will continue to have search partnerships with Microsoft Bing, Amazon, eBay, and Yahoo. However, it is the default search engine agreement that yields the maximum benefits for both sides. Opera’s default search agreement with Google will expire at the end of March, 2012. It will be interesting to see how much Opera Software, whose desktop browser is estimated to have less than 10% of Firefox’s market share, will be able to extract from a search deal.

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