

"Really having an executive who understands the product experience, who's really engaged in it, has been a real high point. "Marissa has a very strong product focus, which is wonderful," Baker said. Mozilla has been working with Yahoo for months on the partnership, and relations with Yahoo's new CEO have been good, Baker said. We're working through this with Microsoft." So Microsoft has some rights at that point, so do we. "We may want to contemplate changes on both sides. "We are coming to the midpoint of the 10-year agreement" with Microsoft, Mayer said after reporting results for Yahoo's fiscal third quarter of 2014. Yahoo declined to comment on specific revenue share terms of that deal. However, Yahoo keeps some of the revenue - indeed, all of it for mobile searches. Yahoo sold off its search business to Microsoft five years ago, and Microsoft powers Yahoo search results. That was a 6 percent year-over-year increase, Yahoo said. For Yahoo, that was still enough for quarterly search revenue of $450 million, after payments to the affiliates that helped drive some of that search traffic.

Mozilla's share of browser usage has been slipping in recent months, and Yahoo is third place with 10 percent of US searches in October, according to ComScore. The Yahoo-Mozilla deal is an alliance of underdogs.

Mozilla isn't actively looking at other search changes right now, Baker said. Mozilla is keeping Baidu in China and switching back to Yandex in Russia. The new deal with Yahoo is only one change in which Mozilla will become more locally flexible, the nonprofit organization said. Mozilla has toyed with search-engine changes before, for example with a dalliance with Yandex in Russia, by setting Baidu as the default search engine in China and by making Bing, from erstwhile rival Microsoft, another option. Our agreement came up for renewal this year, and we took this as an opportunity to review our competitive strategy and explore our options," the organization said. "Google has been the Firefox global search default since 2004. Google didn't immediately respond to a request for comment.įirefox was an early leader in building a search box directly into the browser, but after a decade sending traffic to Google, Mozilla concluded it was time for a change. "This could mean a significant switch in market share away from Google toward Yahoo." "Google should be concerned," said Dawson. Still, Jan Dawson, chief analyst at Jackdaw Research, thinks many Firefox users will not bother to change the default settings. Firefox users will continue to be able to change their default search engine. The more that people search, the more opportunities advertisers have to show ads, including ads associated with search terms that might not otherwise be common enough. Search volume is important to search engines. In 2012, the most recent year for which figures are available, that search revenue brought in the lion's share of Mozilla's $311 million in revenue. Some of those searches produce search ads, and Mozilla has been funded primarily from a portion of that revenue that Google shares. With millions of users who perform about 100 billion searches a year, Firefox is a major source of the search traffic that's Google's bread and butter. In another part of the deal, Yahoo will support the Do Not Track technology for Firefox users, meaning that it will respect users' preferences not to be tracked for advertising purposes. The change will come to Firefox users in the US in December, and later Yahoo will bring that new "clean, modern and immersive search experience" to all Yahoo search users. "This is the most significant partnership for Yahoo in five years." "I'm thrilled to announce that we've entered into a five-year partnership with Mozilla to make Yahoo the default search experience on Firefox across mobile and desktop," Yahoo Chief Executive Marissa Mayer said in a blog post Wednesday.
