SCOTTSDALE, Ariz., March 1 /PRNewswire/ -- GoDaddy.com, the No. 1
registrar of domain names worldwide, is outraged by the Internet Corporation
for Assigned Names and Numbers' (ICANN) 9-5 vote last night to approve a new
.COM registry agreement with VeriSign. The agreement grants VeriSign
uncontested price increases and perpetual monopoly power, which will lead to
exorbitant profits at the expense of the Internet community.
ICANN, the governing body of the Internet, has been working to settle a
lawsuit with VeriSign, which manages .COM and .NET domain name extensions.
The proposed settlement agreement would allow VeriSign to raise registration
fees by seven percent annually in four of the next six years without
cost-based justification. It also would give VeriSign control of the .COM
registry indefinitely, as it extends VeriSign's "presumptive renewal" right
when the proposed settlement agreement expires in 2012.
"We are bitterly disappointed, but we're not giving up yet. It's simply a
bad deal for the industry and registrants everywhere," said Bob Parsons, CEO
and Founder of GoDaddy.com. "The fact that this monopolistic deal was
approved is a loud signal that major changes are needed at ICANN."
GoDaddy.com joined other top registrars, representing approximately
57 percent of all registered .COM names, in petitioning ICANN to address
concerns with the proposed settlement. The ICANN board vote came only one
week after the close of the public comment period, and without modifications
to any of the raised issues.
According to a Credit Suisse(R) analyst, the .COM registry is VeriSign's
highest margin business. One forecast puts the net present value of just the
price increases in this agreement alone at about $1 billion.
"I personally don't have a problem with VeriSign making a fair profit, but
that's not what we're talking about here," Parsons said. "I have a big
problem with VeriSign's windfall profits being accomplished outside of the
free enterprise system in which the rest of us must compete. I find it
particularly outrageous that because of the special privilege VeriSign wants
to be granted, all of us who use the Internet may be denied the economies and
innovation that come along as a natural part of our competitive environment."
The new .COM registry agreement still requires approval from the U.S.
Department of Commerce. The controversial agreement has also prompted
lawsuits by the Coalition for ICANN Transparency and the World Association of
Domain Name Developers. Additionally, some members of Congress have already
expressed concerns with the deal.
Parsons encourages all Americans to write to their Representatives and
Senators and voice their opposition to the agreement. He is helping to
facilitate this by providing a form letter people can send to their elected
officials. For a copy of the action letter and more on Parsons' views, visit
For information on Go Daddy(R) products and services, visit
About The Go Daddy Group, Inc.
GoDaddy.com, Inc. is the "on-ramp" to the Internet for individuals and
businesses worldwide, providing a one-stop shop for acquiring, creating and
safeguarding a unique online identity. GoDaddy.com offers a comprehensive
line of Internet products and services, including domain name registration,
web hosting solutions, personalized email packages, SSL certificates, web
development tools, eCommerce utilities and more. GoDaddy.com is the world's
No. 1 domain name registrar, both in terms of new registrations and domains
under management. The Go Daddy Group includes three ICANN-accredited domain
name registrars: flagship registrar GoDaddy.com, Inc. (www.GoDaddy.com),
membership-based registrar Blue Razor(R) Domains, Inc. (www.bluerazor.com),
and reseller registrar Wild West Domains(R), Inc. (www.wildwestdomains.com).
The Go Daddy Group also offers private domain name registration services
through Domains By Proxy(R), Inc. (www.domainsbyproxy.com), as well as SSL
Certificates through its SSL Certificate Authority, Starfield Technologies(R),
Inc. (www.starfieldtech.com). The Go Daddy Group registers or renews a domain
name every 3 seconds and has nearly 12 million domain names in its portfolio.
The Go Daddy Group is also the world's largest web host in terms of hostnames.
- The Go Daddy Group -
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