news US Gov lets Verisign increase .Com pricing

[offthehandle]

Just saw this.

https://domainnamewire.com/2018/11/01/breaking-u-s-gov-grants-verisign-com-price-hikes/

“Content Neutral Operations. The parties agree that Verisign will operate the .com registry in a content neutral manner and that Verisign will participate in ICANN processes that promote the development of content neutral policies for the operation of the DNS.”

Removal of the Maximum Price restriction under Section 7.3(d)(i) (Maximum Price) of the .com Registry Agreement, which by way of clarification will continue to be subject to Section 3(a) of Amendment 32 setting forth the standard and process for removal;
https://www.ntia.doc.gov/files/ntia/publications/amendment_35.pdf

I haven’t studied this document, but it seems that “premium domains” like one word .com’s, couldn’t Verisign figure a way to invent some new pricing tiers to be introduced like the new gtlds?

 

[NYJimbo]

"Price hikes can’t begin for two years from now. Verisign will still have to get ICANN’s approval for any price hikes, but ICANN has previously acquiesced. ICANN is likely to grant price hikes in return for a higher cut of the action."

Meh....

 

[Internet.Domains]

I saw 7% over the last 4 years mentioned. That is such a minimal amount it's almost laughable......Actually it is laughable.

 

[campout]

It's 7% a year for 4 years in a row, I think. So it could be a 31% price hike by 2024.

 

[Internet.Domains]

It's 7% a year for 4 years in a row, I think. So it could be a 31% price hike by 2024.

Still a modest hike to most all customers. Seems crazy that there was a campaign for something so small (to most).

 

[NYJimbo]

If my math is correct, a $12 .com reg might cost at the most $15.72 as of 2024.
But I doubt they will do the max % increase per year. Likewise, many registrars charge much less than $12, so.... meh....

On the other hand if you are paying $35 a year through NetSol, well you deserve to get ripped off.

 

[urlurl]

do they really need the money, whats the purpose of the hike, and where the hell does all this money go anyways?

 

[offthehandle]

do they really need the money, whats the purpose of the hike, and where the hell does all this money go anyways?

Fancy dinners and business travel worldwide?

https://onlinedomain.com/2018/06/26...-67-68-69-will-be-at-mexico-malaysia-germany/

ICANN people think they are rock stars spending millions on meetings around the world!
Konstantinos Zournas April 12, 2018

https://onlinedomain.com/2018/04/12...ending-millions-on-meetings-around-the-world/

 

[GeorgeQuang]

Legal Criminal

 

[mr-x]

Still a modest hike to most all customers. Seems crazy that there was a campaign for something so small (to most).

Not modest if your holding 1K domains.

 

[Internet.Domains]

Not modest if your holding 1K domains.

I can see your point, that's why I used the word "most" twice.

 

[Bob Hawkes]

While it is more modest than some feared, 7% per year (I realize only starting 2 yr from now) after 4 yr and compounding would make (rough figures) $8 wholesale become almost $10.50. At the current number of registrations, the registry is taking in over $300 million extra per year. I think the key question is do they need that amount for what is already a stable huge cash machine for them? But it looks final, barring ICANN not going along, so we all will need to live with it.

 

[tonyk2000]

A quick google search revealed:

Guide to the Lobbying Disclosure Act

Section 6: Quarterly Reporting of Lobbying Activities - Organizations must report expenses as they are incurred, though payment may be made later.

I am neither a lawyer nor U.S. citizen, so the above quote does not necessary apply here. But, if does (since Verisign is U.S. based) - can general public obtain such a report, and determine did Verisign have any lobbying expenses in the first place? Just for educational purposes. Anobody knows?

 

[Rick Ace]

It's 7% a year for 4 years in a row, I think. So it could be a 31% price hike by 2024.

Eeeek!

Will there be "premium" renewals now though? That would kill. I haven't finished reading the document either.

 

[Ategy]

Just to clarify ... it's 4 increases of 7% allowed within the 6 years of the contract extension. The decision is truly incomprehensible if this is indeed true!

 

[Domains - Wanted]

Never mind whether this is 7% increase or more. Never mind the useless, fruitless public campaign against this. What's needed here is another campaign entirely, aimed at breaking Verisign's monopoly! If so, I vote for the introduction of a transparent, international tender process! You'll see how fast Verisign lowers .com and .net pricing at the first serious public push in this direction!

 

[Rick Ace]

Never mind whether this is 7% increase or more. Never mind the useless, fruitless public campaign against this. What's needed here is another campaign entirely, aimed at breaking Verisign's monopoly! If so, I vote for the introduction of a transparent, international tender process! You'll see how fast Verisign lowers .com and .net pricing at the first serious public push in this direction!

Be careful what you wish for. It might make it easier for the new international system to raise renewal prices. There's no easy solution to this.

 

[Domains - Wanted]

Be careful what you wish for. It might make it easier for the new international system to raise renewal prices. There's no easy solution to this.

What "new international system"?

There is a very easy solution. It's called competition! The company meeting all technical conditions, that offers the lowest pricing, wins the next 10 year contract. No price increases allowed. Verisign is welcome to compete.

 

[Rick Ace]

What "new international system"?

There is a very easy solution. It's called competition! The company meeting all technical conditions, that offers the lowest pricing, wins the next 10 year contract. No price increases allowed.

And who exactly ensures no price increases would be allowed? ICANN? They can do that now, if they'd like to do it.

No one other than ICANN is currently qualified to make such rules. So, who do you suggest regulates price increases?

Competition hasn't solved all our problems. The registrar for .com will have a monopoly of a sort when it goes to one company. And the lowest pricing will continue to increase.

 

[Domains - Wanted]

And who exactly ensures no price increases would be allowed? ICANN? They can do that now, if they'd like to do it.

The 10-year binding contract, which the offerent agrees to, ensures this. Subject closed... for the next 10 years!

Then, ten years on, there is a new tender, covering a period of another 10 years, where everyone (of consequence) is invited to bid again.