Google is all set to pay $300 million per year to Mozilla for their deal which was renewed earlier this week. The deal allows Google to be the default search engine for Mozilla’s Firefox browser.

It is sure to extent the collaboration between the two companies by at least 3 years. The deal which stood at $100 million in the last year has seen a high jump in the numbers due to the stiff competition Google is getting from the other search engines like Yahoo and Bing (Microsoft’s product).

Microsoft’s Bing was considered the main rival of Google. It is to be noted here that rivalry between the two also extends to the web browsers. At present Microsoft’s long living Internet explorer takes away the number one spot in the race of the various web browsers.

Though Google’s chrome is not far behind with the second spot and is fast filling up the gap between the two (with the increasing number of users day by day!).

Though Yahoo was also competing, the huge prices were not acceptable by the company who is busy fighting some internal issues for the time being.

It is to be noted that though the deal expired in November but still Mozilla continued displaying Google as its default search engine. Also even after signing the new deal Mozilla has retained its current partnerships with the other search engines like Bing, eBay, Yandex, Yahoo and Amazon. This is seen as a minor step to wean itself away from Google on Mozilla’s part.

Earlier, Google’s head of search Alan Eustace has termed Mozilla as a very valuable partner. He even confirmed the willingness of Google to continue working with the Mozilla. Though Mozilla has refrained itself from any comments related to the agreement.