Unknown Mozilla dev addon "Looking Glass 1.0.3" on browser

This is what it looks like: https://imgur.com/a/mriUw

It scared the hell out of me! Are these guys losing their minds?

It was reported as a bug and the response thus far is indeed underwhelming for such a severe issue: https://bugzilla.mozilla.org/show_bug.cgi?id=1424977

>Are these guys losing their minds?

Yes

I don't know what the hell is going on with Mozilla. Ever tried to install Firefox on Android? The new tab page is full of ads by default!

And this is the company we are supposed to trust? Because right now I feel like I trust Google more, and that's a lot to say.

Adds are annoying yes, but they are only bad for your privacy if they track and profile you. Adds allow for free stuff and they can be done the right way. Granted this is becoming more and more rare so I understand your standard association of adds with distrust. The adds you refer to are non tracking (please tell me if I'm wrong though) and will slowly be replaced by sites you visit (often).