According to outside estimates, Firefox has about 15 percent of the market, Internet Explorer has more than 78 percent, and Apple’s Safari a little less than 5 percent. Mozilla has 90 employees and revenue of more than $100 million in the last couple of years.

Image Credit... Lonni Sue Johnson

Mozilla plans to make enough money to keep growing. But a windfall came in the form of a royalty contract with Google, which, like the other search companies, is always competing for better placement on browsers. Under the agreement, the Google search page is the default home page when a user first installs Firefox, and is the default in the search bar. In the last two years, the deal has brought in more than $100 million. (Google has a similar placement with Apple’s Safari.)

So far, no one has figured out how to balance keeping an open-source or collaborative project fully financed while remaining independent and noncommercial. Wikipedia, for example, holds occasional fund-raisers, while its leaders debate if it should take steps toward some sort of sponsorship or advertising.

Thanks to the Google agreement, the Mozilla Foundation went from revenue of nearly $6 million in 2004 to more than $52 million the next year. The foundation plans to increase its work force, and to add some engineering capability. In 2005, the foundation created a subsidiary, the for-profit Mozilla Corporation, also led by Ms. Baker, mainly to deal with the tax and other issues related to the Google contract. (The foundation’s 2006 tax return has not yet been made public, but Ms. Baker said the Google revenue will remain about the same.)

She described the decision to align with Google as an organic one that predates the official release of Firefox. “We had Google in a beta version for a long time, so we approached them first,” she said.

Mitch Kapor, who is on the Mozilla board, said that accepting a deal with Google was a no-brainer. “Always on my mind, in all my involvement is, how is it going to be sustainable?” he said. “I am a big believer that begging is not the right business model. When it began to become clear there was a business opportunity, in monetizing search in the browser, I saw this as a great opportunity.”