Mozilla got a new "interim" CEO just a few days ago, and the first order of business appears to be layoffs. Bloomberg was the first to report that the company is cutting about 60 jobs, or 5 percent of its workforce. A TechCrunch report has a company memo that followed these layoffs, detailing one product shutdown and a "scaling back" of a few others.
Mozilla started as the open source browser/email company that rose from the ashes of Netscape. Firefox and Thunderbird have kept on trucking since then, but the mozilla.org/products page is a great example of what the strategy has been lately: "Firefox is just the beginning!" reads the very top of the page; it then goes on to detail a lot of projects that aren't in line with Mozilla's core work of making a browser. There's Mozilla Monitor (a data breach checker), Mozilla VPN, Pocket (a news reader app), Firefox Relay (for making burner email accounts), and Firefox Focus, a fork of Firefox with a privacy focus.
That's not even a comprehensive list of recent Mozilla products. From 2017–2020, there was "Firefox Send," an encrypted file transfer service, and a VR-focused "Firefox Reality" browser that lasted from 2018 to 2022. In 2022, Mozilla launched a $35 million venture capital fund called Mozilla Ventures. Not all Mozilla side-projects are losers—the memory-safe Rust programming language was spun out of Mozilla in 2020 and has seen rapid adoption in the Linux kernel and Android.
Mozilla is a tiny company that competes with some of the biggest tech companies in the world—Apple, Google, and Microsoft. It's also very important to the web as a whole, as Firefox is the only browser that can't trace its lineage back to Apple and WebKit (Chrome's Blink engine is a WebKit fork. Microsoft Edge is a Chromium fork). So you would think focusing on Firefox would be a priority, but the company continually struggles with focus.
The Mozilla Corporation gets about 80 percent of its revenue from Google—also its primary browser competitor—via a search deal, so Mozilla isn't exactly a healthy company. These non-browser projects could be seen as a search for a less vulnerable revenue stream, but none have put a huge dent in the bottom line.
TechCrunch managed to get an internal company memo that details a few "strategic corrections" for the myriad Mozilla products. Mozilla has a "mozilla.social" Mastodon instance that the memo says originally intended to "effectively shape the future of social media," but the company now says the social group will get a "much smaller team." Mozilla says it will also "reduce our investments" in Mozilla VPN, Firefox Relay, and something the memo calls "Online Footprint Scrubber" (that sounds like Mozilla Monitor?). It's also shutting down "Mozilla Hubs," which was a 3D virtual world it launched in 2018—that's right, there was also a metaverse project! The memo says that "demand has moved away from 3D virtual worlds" and that "this is impacting all industry players." The company is also cutting jobs at "MozProd," its infrastructure team.
While chasing the trends of VR and metaverse didn't work out, Mozilla now wants to chase another hot new trend: AI! The memo says: "In 2023, generative AI began rapidly shifting the industry landscape. Mozilla seized an opportunity to bring trustworthy AI into Firefox, largely driven by the Fakespot acquisition and the product integration work that followed. Additionally, finding great content is still a critical use case for the Internet. Therefore, as part of the changes today, we will be bringing together Pocket, Content, and the AI/ML teams supporting content with the Firefox Organization. More details on the specific organizational changes will follow shortly." Mozilla paid an undisclosed sum in 2023 to buy a company called Fakespot, which uses AI to identify fake product reviews. Specifically citing "generative AI" leads us to believe the company wants to build a chatbot or webpage summarizer.
The TechCrunch report interprets the memo, saying, "It now looks like Mozilla may refocus on Firefox once more," but the memo does not give an affirmative statement on "Firefox the browser" being important or seeing additional investments. In 2020, the company had another round of layoffs and said it wanted to "refocus the Firefox organization on core browser growth," but nothing seems to have come of that. Firefox's market share is about 3 percent of all browsers, and that number goes down every year.
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