Ecosia's Proposal to Take Over Chrome: A Good Idea?

Ecosia Proposes Stewardship of Google Chrome

Christian Kroll, the CEO of Ecosia, a Berlin-based nonprofit search engine, questions whether his company’s proposal is truly unreasonable. Ecosia has proactively submitted an unsolicited request to be granted a 10-year “stewardship” role for Google’s Chrome browser, presenting an alternative to a forced sale to a competitor.

A Novel, Though Unconventional, Idea

While the concept is undeniably unconventional, it also demonstrates a degree of ingenuity.

Ecosia publicly announced on Thursday that it had delivered a formal proposal concerning Chrome to both Google and U.S. Judge Amit Mehta. The judge is anticipated to issue a ruling this month regarding remedies stemming from his 2024 landmark decision, which found Google to be maintaining an illegal monopoly in the realms of internet search and advertising.

The Department of Justice and Potential Buyers

A potential remedy requested by the Department of Justice involves compelling Google to divest Chrome. Google has resisted this demand, and has indicated its intention to appeal the initial ruling. Nevertheless, numerous competitors have expressed interest in acquiring Chrome since the decision.

Both OpenAI and Perplexity have signaled their willingness to purchase the browser. Last week, Perplexity even submitted an unsolicited cash offer valued at $34.5 billion.

Valuation and Ecosia’s Proposal

Perplexity’s offer was largely considered insufficient, particularly given that it exceeds Perplexity’s total funding to date. Analyst Brad Erickson of RBC Capital Markets suggested that OpenAI might be prepared to offer a substantially higher price.

Ecosia estimates that Chrome is projected to generate $1 trillion in revenue over the next decade, suggesting an auction could potentially value it “in the hundreds of billions.”

Consequently, Ecosia’s request to be granted Chrome without cost – including control over approximately 60% of the revenue it generates – appears, at first glance, to be quite audacious.

Utilizing Revenue for Climate Action

The proposal outlines a commitment to allocate these billions towards climate-focused initiatives, aligning with Ecosia’s core mission. Established in 2009, the nonprofit currently donates millions of dollars monthly and collaborates with local communities and NGOs in over 35 countries.

Specific projects detailed in the Chrome proposal include rainforest protection, global tree-planting and agroforestry efforts, legal action against polluters, and investment in the development of green AI technologies.

Financial Arrangement and Stewardship Details

The remaining 40% of the revenue ($400 billion, according to Ecosia’s estimate based on the $1 trillion projection) would be remitted to Google. Google would retain ownership of the intellectual property and could even continue to serve as the default search engine.

At the end of the 10-year stewardship period, control could be transferred to another entity or the arrangement could be reevaluated.

Existing Relationship and Chromium Foundation

Ecosia currently has a revenue-sharing agreement with Google, as it utilizes Google’s search engine. Furthermore, Ecosia has already developed its own browser based on the Chromium open-source engine, which also powers Chrome.

Kroll believes this existing relationship and technical foundation lend credibility to the stewardship proposal. He states, “We would be happy to manage Chrome for them.” Ecosia is also prepared to guarantee continued employment for the existing Chrome team.

Broader Objectives and Alternative Solutions

Kroll acknowledges that the primary objective is to encourage the judge to consider alternatives to conventional divestiture strategies, such as selling or spinning off Chrome. These traditional approaches would likely maintain Chrome’s power and financial resources within the control of large technology companies.

“We have a proven ability to achieve what others deem impossible,” Kroll asserts. He hopes to stimulate consideration of alternative outcomes, stating, “Who knows what might come out of it?”

We are dedicated to continuous improvement, and your insights are invaluable. By sharing your perspective and feedback on TechCrunch and our coverage, you can help us enhance our services! Please complete this survey to let us know how we’re doing and enter for a chance to win a prize!