3 ms·
The Foundation owns the Corporation. MoFo is tiny, probably tens of people. MoCo was huge with over a 1000, now I’d guess it’s about 700. MoCo exists to write F
by jonathankoren 6y ago
The Foundation owns the Corporation. MoFo is tiny, probably tens of people. MoCo was huge with over a 1000, now I’d guess it’s about 700. MoCo exists to write Firefox and various other Mozilla products. MoFo exists to give out grants and to own MoCo.
It’s a weird setup sure, but it wasn’t originally like this. Originally there was just the nonprofit Mozilla, but IRS rules got in the way. If I remember correctly, the IRS requires a certain amount percentage of income for a nonprofit to come from donations, and Mozilla was below that threshold because they were making too much money from the Google search deal (which legally is selling a product). Mozilla split themselves this way to get around the tax laws.
If Mozilla was founded today, they’d probably incorporate as a B corp, but those didn’t exist back in the early aughts, so they have this strange setup instead. They could always reincorporate as a B Corp, but there’s no benefit to do so.
- mercutio2 6y agoMozilla's setup is bog-standard for non profits with associated revenue-generating operations. People thinking this is a strange setup usually just don't have much experience with non-profits with revenue.