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VeriSign Can Raise .net Prices in 2007

Posted by ryuzaki0 on from the prices-rising dept.

miller60 writes "ICANN is lifting restrictions on VeriSign's pricing of .net domains as of Jan. 1, 2007, eliminating a cap that dictated the amount VeriSign could charge registrars for each .net domain. The cap, now at $4.25 per name, expires at the end of 2006. The pricing details were not included in a draft contract published by ICANN prior to the bidding process, but negotiated after VeriSign prevailed in a controversial evaluation by Telcordia. VeriSign must give six months before any price change, allowing time to lock in current pricing with multi-year renewals."

4 of 101 comments (clear)

  1. Break the chains! by pongo000 · · Score: 2, Informative

    Maybe now's the time to give serious consideration to long-standing alternative root servers like OpenNIC. And the only way alternative roots will catch on is if individuals fed up with the greedy ways of domain registrars demand that their ISPs allow them port 53 access (or better yet, also include the alternative root zones with the ISP nameserver's own root zones).

  2. Re:What about 3rd party registrars? by Sawbones · · Score: 3, Informative

    They're not raising their own prices, they're raising the price they sell domains to companies like Dotster. When you buy something through them you pay $9 (or whatever) per year, of which $4.25 goes to verisign since they need *some* money to run the physical infrastructure for handling all of the lookups. So for dotster to keep their $5 per domain profit margin they'll have to raise their rates by as much as whatever verisign increases their price by.

    --

    Ad in classifieds: Pandora's Box (no box) $5
  3. Re:What about 3rd party registrars? by Wesley+Felter · · Score: 2, Informative

    It affects all .net domains. Dotster is "buying" your domains from VeriSign and "reselling" them to you; they'll always add a markup on top of VeriSign's "wholesale" price.

  4. What does this money go toward? by naelurec · · Score: 2, Informative

    If the current rate to Verisign is $4.25 per domain and there are 5,324,213 registered .net domains as of January 16th.. thats $22,627,905. So exactly what is all this money used for?

    A few distributed dns servers and a (should be) highly automated system for managing domains and a handful of support people? That sure doesn't seem like $22m worth of expenses.. what else is it used for?