Yahoo has replaced Google as the default search engine on Firefox browsers in the US, as Yahoo chief executive officer Marissa Mayer seeks out more partnerships to boost the Web portal's traffic and revenue.
Google had been the automatic search option for the Internet browser, developed by California-based Mozilla, since 2004.
Under the agreement announced yesterday, Google, Microsoft’s Bing and other search services will be available as alternatives.
Ms Mayer, who has been working to turn around the company since taking the helm two years ago, is looking for ways to bolster Yahoo’s search business, which makes up about 40 per cent of sales, minus revenue passed to partner sites.
Earlier this year, Yahoo, which depends on Microsoft for its search technology, struck a deal with Yelp to deliver content from the review website.
“At Yahoo, we believe deeply in search -- it’s an area of investment, opportunity and growth for us,” Ms Mayer said in a statement.
“This partnership helps to expand our reach in search and also gives us an opportunity to work closely with Mozilla to find ways to innovate more broadly in search, communications and digital content.”
Yahoo’s search service is under pressure, with the Web portal’s share of the US search-advertising revenue projected to shrink to 5.6 per cent in 2014 from 6.1 per cent last year, according to EMarketer.
Google has maintained its leadership, claiming more than 70 per cent of the market since 2010.
Yahoo shares rose 1.1 per cent in extended trading after the announcement.
The stock declined 2.3 per cent to $50.58 at the close in New York, leaving it up 25 per cent this year. Firefox has also lost ground to other browsers, according to NetMarketShare.
In October, it held 14 per cent of the global market, compared with 21 per cent for Google’s Chrome and 58 per cent for Microsoft’s Internet Explorer.
“It’s a nice little win for Yahoo, but I expect the boost will be fairly small in terms of search market share,” said Danny Sullivan, founding editor of Marketing Land and Search Engine Land.
“Having said that, since Yahoo’s own search share is so small, picking up a percent or two can go a long way for their revenue.”
Bloomberg
