Google and Mozilla have struck a search deal for another three years. Google will be paying a little bit under $300 million to renew the deal. This is a huge jump from a previous arrangement that Google had with Mozilla. Google had to outbid other companies like Microsoft and Yahoo! for the search deal. The $900 million agreement is the minimum revenue guarantee for delivering search queries that will be garnered by consumers using Firefox.
Microsoft was pushing heavily for the deal because they are spending a lot of money to grow Bing’s market share. Although Microsoft still has the dominant market share with the Internet Explorer browser, Google is quickly catching up with their Chrome browser.