Independence From AOL
On July 15, 2003, AOL announced that it would close down its browser division, which was in essence Netscape's Mozilla. AOL laid off most of Netscape's employees and hackers, except for some who were transferred to other divisions. Netscape signs were seen being pulled off its building, confirming what many took as the end of Netscape. AOL will be keeping the Netscape brand for its portal, but the company will no longer pay anyone to develop the Mozilla codebase.
On the same day, the Mozilla Foundation was created. The Foundation is a non-profit organization composed primarily of developers and staff from Mozilla Organization and owns the Mozilla trademark (but not the copyright to the source code, which is retained by the individual and corporate contributors, but licensed under the GPL, MPL and LGPL). It received initial $2 million donations from AOL, IBM, Sun Microsystems, and Red Hat, and $300,000 from Mitch Kapor.
Many people had been expecting this after AOL reached a settlement with competitor, Microsoft, with a deal for the AOL software to use Internet Explorer for the next 7 years. Netscape had always been seen as a bargaining chip for AOL against Microsoft.
Read more about this topic: History Of Mozilla Application Suite
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