Google Comes to Mozilla's Aid, but That May End

Is Google (NASDAQ: GOOG) just a good citizen, or is there a reason it supports nonprofit operation Mozilla, which operates the Firefox browser? Google has a browser of its own — Chrome. And Chrome has gained substantial ground on industry leader Microsoft’s (NASDAQ: MSFT) Internet Explorer.

AllThingsD reports that Google will pay Mozilla $300 million per year to be the default search engine for Firefox over the next three years. Therein lies Google’s incentive. But it is one that naturally collides with the search company’s own goals to rule the browser market.

Microsoft and Yahoo! (NASDAQ: YHOO) apparently each made offers to be Firefox’s default search partner, but Google wrote the largest check.

The news demonstrates the fine line that Google is willing to walk as it tries to keep and increase market share in both the search and browser markets. The Mozilla deal shows that search still trumps browser. The relationship may reverse itself over time though, depending on what Google expects from Chrome.

The real battle over browser market share may end up being on smartphone and tablet devices. Google has a natural advantage because people often use the browser on their portable devices that they use on their PCs. Chrome may be a Trojan Horse for Google’s other products like maps and mail. It is still not clear what all of Google’s hidden intents are for mobile versions of Chrome.

The Google deal with Mozilla is short, even in quickly passing internet years. It may be the last one between the two organizations. The browser carries with it features and functions Google may need more and more in its battle with Microsoft’s huge suite of products. Eventually Mozilla may no longer be an important strategic partner for Google.

Douglas A. McIntyre