GoDaddy.com(R) Outraged Over ICANN(R) Giving VeriSign(R) Monopoly Most Profitable Line of Business Would See Gratuitous Price Hikes



    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
 www.BobParsons.com.
     For information on Go Daddy(R) products and services, visit
 www.GoDaddy.com.
 
     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 -
                (C) 2006 GoDaddy.com, Inc.  All Rights Reserved.
 
 Available Topic Expert(s): For information on the listed expert(s), click
 appropriate link.
 Bob Parsons
 http://profnet.prnewswire.com/ud_public.jsp?userid=350318
 Warren Adelman
 http://profnet.prnewswire.com/ud_public.jsp?userid=350320
 
 

SOURCE GoDaddy.com

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