New TLD operators are going to have to face the reality of the market. Some are still keeping ridiculous premiums on their domain names because they think the domains will be worth that much someday. When is that day? Are they comfortable not selling domains until that day? In many cases, registries should give away domains they’ve priced at a premium to someone who will develop them.
I think the premiums are like lottery tickets to some registries. Every once in a while they have the matching numbers and someone pays $50k or $100k for a name. That makes up for a lot of $10 registrations. So maybe it’s the best model in this environment.
Read MoreI think some of the visceral reaction in the domain business has been because of new TLD operators “putting down” .com in their marketing. If you’re heavily invested in .com domain names then you might look at this marketing as an attack on your assets and your business. So when you see the people that you viewed as dissing your own business fail or struggle at their own, it could be a good feeling...
