DomainTools Blog

SnapNames was recently awarded patent #7,742,160, as brought to light at Domain Name Wire. The primary points of the patent cover the ability to capture domain names dropped for non-renewal, ‘tagging’ names and acquisition monitoring services.

Primary competitors in the dropped names capturing mechanism include NameJet and Pool, both of which could be in violation. The tagging process is quite interesting as well. Tagging names is their method of quantifying interest of a name. It would appear that you could lose your “next in line” status if they decided to send a higher-ranked domain to auction.

Of particular note is their description of domain monitoring services. Their stated claims in the invention ostensibly constrain the monitoring services to apply only to monitoring and valuing expiring domains. However, their description of the monitoring service states, among other examples, that a monitoring service could be used to “track competitor’s movements” and have “multiple subscribers per domain”. The monitoring services could be “offered independently from … the acquisition services”. Those statements may broaden the application of the patent beyond simple acquisition services and could directly affect monitoring services currently offered by many companies in the industry.

Not only does the patent give the lawyers at Oversee.net, SnapNames’ parent company, something to do, but it could affect the marketplace and healthy competition. If SnapNames pursues this patent and requires competition to license the technology, they could become the only contender in the dropped names aftermarket and monitoring services – a huge advantage for them, but it may prove unhealthy for the market. Or, it could be good… ? Healthy competition can spur innovation.

So while this may be a boon for SnapNames and Oversee, it’s an even better win for their lawyers, depending on how the patent is interpreted, as they weed through potential violators.

Network Solution and eNom domain names that expire or delete will be landing in a new auction house this afternoon. The brand new NameJet appears to be a joint venture between eNom and Network Solutions. It appears eNom owns the NameJet.com domain name or at least controls it and Network Solutions owns the NameJet Trademark. The company NameJet, LLC was registered in Delaware on Oct 3rd. Traditionally domain names from those two domain companies have gone through Snapnames prior to deleting. Network Solutions started the process a few years ago when Snapnames struck a deal to be the primary auction place for all expiring domain names that Network Solutions was letting delete. Then earlier this year eNom’s deleting domain names started appearing at Snapnames.

NameJet is launching this afternoon, you can be assured that they are actively talking to other registrars to join the program. Snapnames was the first and biggest Pending Delete auction marketplace, I think it will be a matter of time before NameJet takes that title. The company that controls the Network Solution deleting domains controls the market. NameJet seems to have come out of no where and is moving fast. The caliber of Network Solutions domains is awesome because most of the generic domain names where registered at Network Solutions back before the multiple registrar system was invented.

Taryn Naidu was the past president of Pool.com joined eNom last year around November. It would be likely that Taryn is the project leader for NameJet. Paul Stahura was quoted last year saying, “Taryn is a true domain name player whose expertise coupled with his solid reputation is very valuable. We have our sights set on growing the aftermarket business, and with Taryn’s experience, we can implement our new aftermarket strategy.”

I will keep everyone posted as more details of NameJet come out.

UPDATE: It appears the NameJet is live. ClubDrop has moved its auctions to NameJet.com. ClubDrop is dead, long live NameJet.

This is not good news for Oversee.net. Oversee.net just purchased Snapnames for $35 Million and it looks like their investment is going to go south very quickly. Network Solutions has filed for a trademark on NameJet, a service that will feature that same services Network Solutions current partner Snapnames is providing. For the guys that cashed out of Snapnames they had perfect timing or perhaps they awoke the sleeping whale by not offering the company to them. Network Solutions may have been angry they were not consulted or offered the Snapnames sale. Since most of the value of Snapnames is locked up around Network Solutions expiring domains it will be interesting to see this play out.

The domain name NameJet.com was purchased off of Afternic a while ago and it stands to reason that purchase was by the first registrar, the almighty Network Solutions. While the domain is currently at eNom the chance that eNom is involved in the new service seems remote. I talked with a high level source at eNom and they had no idea what NameJet was. I would expect Network Solutions to make an announcement soon that all expiring domains inside Network Solutions will no longer Transfer-Fulfill through Snapnames.

Snapnames has a patent pending on what they do with Network Solutions, so I wonder if that will stop Network Solutions or if Network Solutions will fight the patent before it is finalized.

This was first spotted by trademark watcher TradeMork.