information Why your website (domain) is about to get more expensive

[NickB]

Something we all know about......but still an interesting read....for me anyway

“A lot of the antitrust focus [in Washington] is on Google and Facebook, and Verisign goes under the radar with this money-printing business.”

Zak Muscovitch, general counsel of the Internet Commerce Association

https://www.politico.com/news/2022/04/09/website-domain-more-expensive-00023524

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[AEProgram]

Good thing domain costs are not anchored with inflation or a domain would be 250 dollars now. Buyers are also lucky that most domainers price their domains real low. Most sales of good names are buyers making off like bandits.

 

[DomainNature]

In response to questions by POLITICO, Verisign cited a paper by experts at the Massachusetts Institute of Technology to criticize domain resellers that buy popular domain names and flip them for a profit. But that paper also estimated that each of Verisign’s 7 percent price increases will add at least $85 million to the company’s bottom line.

Because of the high rate of renewals for .com websites, “even modest increases in their pricing could significantly increase their revenues,” the authors said of both Verisign and registrars like GoDaddy.

They added that even if Verisign were to increase prices to $50, “that would be unlikely to reflect a sufficiently significant cost increase to impact most serious businesses’ decisions regarding whether or not to register a domain name.”

From this I understand the price increase is caused against us domainers so that we will not be able to renew if we have allot of domains.
This is what i get with my poor English understanding.
Please correct me if I m wrong.
edit: i personally know that Verisign itself is involved in such business that we do ourselves, so no need to pretend to be a saint dear Verisign.

 

[Future Sensors]

Thanks for sharing @NickB

Zak Muscovitch of ICA has written this good piece as well (Nov, 2018)

https://circleid.com/posts/20181112_verisigns_attempt_to_increase_fees_unjustified_despite/

Index of his posting:

1. Investment Lawfully Exists in Every Marketplace
2. Professional Domain Investors Control an Estimated 10% of .com Domains
3. Domain Name Investors Offer a Valuable Service by Providing Liquidity to an Illiquid Market
4. Domain Name Pricing and Availability Would be Little Different Even in the Imagined Absence of Domain Name Investors
5. Verisign Encourages Domain Investing and Has Benefited Greatly From It
6. Verisign Sells Domains at Premium Prices
Conclusions

 

[lock]

Cater to market. If asking price for large soda became same for the small whilst you kept same asking price on domains then base market well above settled price history.