I don't understand Google's game here. I thought Mozilla was being showered with cash from Google? If Google is now betting on Chrome, are they going to continue supporting Mozilla? Mozilla is a pretty small-budgeted non-profit and I think they rely heavily on Google's support.
I know a lot of people in the Green Party here in Germany who deliberately use Firefox because they deem it to be the most politically correct browser. My impression is that a lot of them neither realize that Firefox is indeed primarily sponsored by Google (which they consider evil), nor that Chrome/Chromium is open source, just as Firefox. They prefer Firefox for touchy-feely, not technical reasons. So there's a mar…
Google wants strong competition in spaces where they don't make money (in fact this is how all well-run corporations operate)... so throwing some pocket change at one of their "competitors" in the browser space is very good for their business (it keeps other competitors like Microsoft busy).
Google even mentioned (I remember this from 2003 or so) they want competition in their profitable areas (search) since being a monopoly is a) soul-damaging and b) invites government regulation.