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Wholesale Price for .COM and .NET is going up ($23,000,000.00 windfall)

April 5th, 2007 by Jay Westerdal

642Yep, $6.42 is the new price. The Registry for .COM and .NET, Verisign, has issued its order. Pricing is going up! Verisign quietly negotiated the ability to raise prices on their domain names every year from now until, well forever. They can negotiate the ability to raise prices at least 7% a year for 4 of the next 6 years. And 2 more times if it is for security or stability. My bet is that the price will go up for the next 6 years, every year. So starting on October 15th, expect Registrars to reveal their new pricing as they feel the impact and pass the increased cost on to domain holders.

This little price change will increase Verisign’s profit $23,000,000.00. Had ICANN put the contract out to bid, pricing would be going down right now. One registry said they would have lowered the wholesale price to $2.00 a domain.

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Posted in ICANN, Verisign |

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