Network World picks up variable domain pricing story.
Domain owners have been commenting on ICANN’s proposed new gTLD structure including the potential for “variable pricing”, and the technology media is starting to pick it up.
Today Network World published a story titled “New top-level domain plan dangerous, too costly, critics tell ICANN” that summarizes criticism of the plan. Although most of it discusses trademark concerns, the story also mentions a number of criticisms of the lack of pricing controls:
Many commentators also questioned ICANN’s variable pricing scheme, which would allow the registrars of the new domains to charge different prices depending on the popularity of a particular domain name instead of the uniform, regulated prices available today in .com or .net.
Critics say variable pricing for new domains is unfair, and they worry that VeriSign would be able to get a similar pricing scheme for .com if it were approved for the new domains. Variable pricing, they say, would create inequities where VeriSign could charge $1 million a year for one domain name such as Google.com and only $6 a year for another name like joetheplumber.com.
This is exactly the type of attention we need on this issue. Big companies need to understand the danger and take action.
Reece says
Not surprising to see big companies taking notice — it’s going to affect them afterall if it does come about.
Adam says
didn’t someone bring up the fact that verisigns pricing was tied to the ICANN v. Verisign settlement agreement. I would think you’d have to unwind that agreement in order for variable pricing to even come in to play, no ?
Andrew says
@ Adam – it is in the settlement. However, the registry contracts include a provision that allows them to get provisions that other contracts have in them. So if another contract has a provision for no pricing controls, they could potentially get that to supersede the guaranteed increases in the settlement.
M. Menius says
The dissent seems to be hitting on key points while the comments of MarkMonitor are raising some very specific concerns about needed corporate protections (i.e. future stakeholders in any new gTLD).
A new gTLD registry renewal fee is being questioned as unreasonably large and in need of the same cost restriction that individual domain registrants require for any one domain. Margie Milam (MarkMonitor) writes “The proposed ICANN fees serve as a significant deterrent to corporations considering whether to apply for a new TLD for their brand.”
Some smaller companies who want their own TLD may need few second level registrations, but under the proposed agreement would have to shell out to ICANN an annual RECURRING FEE of $75,000. Yes, that sounds extraordinarily high!
M. Menius says
There are many corporate level submissions being posted today at the ICANN forum most opposed to new TLD’s or expressing grave concerns about serious negative impact. Microsoft, Time Warner, U.S. Chamber of Commerce, GoDaddy, American Bankers Association among many others.
If ICANN persist in the face of so much expressed opposition, fireworks and huge public criticism are sure to follow. And lawsuits as well.
Neustar (.BIZ registry) have stated that if ICANN allow unregulated pricing for the NEW tld’s, then Neustar want price restrictions removed for their .BIZ namespace. This is the catastrophic tipping point that will destroy the internet and internet businesses. If one registry can negotiate ICANN concessions, then ALL OF THEM WILL. And domainers will be facing years of litigation to protect their names and internet businesses against massively inflated tiered-pricing costs.