Mozilla Corporation, the non-profit foundation behind the popular Firefox web browser, has announced that they fired 250 employees, roughly 25 percent of its workforce.
The company cited the fallout from the coronavirus pandemic and a new focus on profitable product development to justify the layoffs. It is the second workforce reduction so far this year after the departure of 70 employees in January and joins the first financial losses in 20 years.
“Today we are making significant changes to Mozilla Corporation,” wrote Mitchell Baker, CEO of Mozilla Corporation, on the official blog. “Our pre-COVID plan is no longer working. We are also restructuring to put a sharper focus on new product development and go towards what the market demands.
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“This is difficult to internalize and I wish there was some other way to prepare Mozilla for success in building a better Internet,” added Baker. “I desperately wish that all those who choose Mozilla as an employer can stay as long as interest and skills are connected. Unfortunately, we can’t make that happen today.
The Foundation says which will permanently close its operations in Taipei, Taiwan, and will shortly detail the rest of the affected personnel, mainly in the United States and Canada. Also se will offer another 60 employees the change of equipment.
The reason why Mozilla fired so many employees
These are not good times at Mozilla. Its star development, the Firefox browser, is in a worrying situation, in a negative market share slope that has lasted for more than two years and is key to accessing a multitude of Internet services, the large electronic commerce market, search and the fabulous online advertising business.
Microsoft’s strategic shift away from its own rendering engine to use Google’s Chromium has left Mozilla alone. The company has already advanced its fears that users and developers will abandon what is currently the only real alternative to Chromium.
On the other hand, Mozilla’s income comes mainly from the contract it has with Google. A huge unit that covers 90% of the total budget of the company. And there are no alternatives. The previous agreement with Yahoo!, precisely to avoid dependence on Google, ended in disaster. Black clouds for Mozilla, might have started with them firing so many employees.