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January 06, 2009

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The Lowdown



 

Here's the The Lowdown from DNJournal.com! Updated daily to fill you in on the latest buzz going around the domain name industry!

Compiled by Ron Jackson  
(DN Journal Editor/Publisher)

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For the 4th consecutive year Directi/Skenzo has been named one of Asia's Top 500 Fastest Growing Tech Companies by Deloitte & ToucheDeloitte said Directi/Skenzo achieved a phenomenal average revenue growth rate of 141.97% annually over the past three years to

Directi co-founders Divyank Turakhia 
and Bhavin Turakhia (right)

retain its place on Asia's elite Fast 500 list. Directi/Skenzo is a leading, multi-national, internet products and media company that builds innovative, mass-market, products and services used by millions of users worldwide. The company was founded by the Turakhia brothers (Bhavin and Divyank) in 1998 and has grown since then to encompass a $300 million+ group of businesses. Domain owners will be especially familiar with their Skenzo parking service and their LogicBoxes registrar solutions platform.

Divyank Turakhia, co-founder of Directi and CEO of Skenzo (who was featured in our September 2008 Cover Story), said “It is an absolute honor and I feel very proud to receive this award for being recognized as a top growth company for the fourth time in a row. We have been on

this List every year since 2005. This award clearly represents our strength and our commitment to becoming a global leader in every business that we operate. We have higher budgets than ever before for continued growth in 2009. We will be focusing on both organic and inorganic growth this year.”

Bhavin Turakhia, co-founder and CEO of Directi added, “We have done it again. And what’s more, we are just warming up. We have always been an idea enterprise and hence, even while other companies are fighting for stability, we continue to recruit the most talented people and invest heavily into research, development and creating processes that will allow us to continue recording exponential growth. It goes without saying, we couldn't do this without the support of our dedicated team of talented individuals.”  

(Posted Jan. 6, 2009) To refer others to the post above only you can use this URL:
http://www.dnjournal.com/archive/lowdown/2009/dailyposts/01-06-09.htm

With the growing interest in domain development we have often talked about the importance of producing unique content to attract visitors to your new site. The value of 

content has not been lost on advertisers either - they too are devoting increasing resources to creating their own content as a way to connect with customers. 

While traditional ad platforms are expected to shrink by double digits in 2009, the amount of money marketers will spend on creating content will see strong growth despite the recession.  Gavin O'Malley wrote about this in an article an Online Media Daily last week, noting "56% of marketing and publishing decision-makers plan to increase their content marketing spending next year, Junta42 (an online marketing resource and vendor-matching 

 

tool) found after surveying its community of corporate marketers and publishing/agency professionals. What's more, a full 31% expressed their intention to increase spending on content significantly."

Joe Pulizzi, the founder of Junta42 and co-author of the book Get Content. Get Customers, told O'Malley, "These findings are an acceleration of what we've been seeing for the past few years." The marketers said that social media will be at the top of their investment list this year. O'Malley wrote, "In terms of most important products/tactics, social media resonated with 68% of subscribers, followed by e-newsletters/email (60%), blogs (56%), case studies (55%), online video (51%), white papers (46%) and microsites (43%).

These are people who make their living by attracting an audience. Their example is a good one to follow if you are about to start promoting a newly developed site and hope to attract visitors and keep them coming back.

(Posted Jan. 5, 2009) To refer others to the post above only you can use this URL:
http://www.dnjournal.com/archive/lowdown/2009/dailyposts/01-05-09.htm

In the face of all of the dire predictions for 2009 we're going to kick off 2009 with some good news. The success of many domain and website owners is based on online ad spending. By all accounts, ad budgets in general will be slashed in 2009, with one exception. You guessed it - online. BusinessWeek Magazine's Jeffrey Rayport explained what is going on in a new article this week titled Why Online Ads Are Weathering the Recession.

 

Rayport wrote, "Barclays Capital lowered its projections for U.S. ad spending to a negative 10% next year...Every one of the traditional media platforms is getting hit, with newspapers taking the brunt of the pressure, with a drop of 17%, followed by TV (minus 15.5%), magazines (minus 15%), and radio (minus 13%). The only bright spot this time is online advertising, which, despite a series of downward revisions, is still expected to grow between 6% and 10% next year over 2008 levels."

Any sector that can grow at that rate in the face of the biggest financial storm in decades has something going for it. Certainly, one could easily get depressed with the steady stream of bad news we see each

day, but you can rest assured that the future belongs to the sector you operate in - the Internet.  

Rayport closed his must read piece by predicting that this recession will forever change the way Madison Avenue does business. Rayport wrote, "Why would advertisers budget on faith when they could invest in measurable returns? Why would brands lavish dollars on mass media when they could target only those consumers who matter most? Why would marketers continue to allocate less than 10% of their budgets to interactive (in measured media), when consumers are spending more than 35% of their time with interactive platforms even today? It's not that online advertising will supplant traditional media. It won't. But a new and different ad equilibrium will emerge from the coming economic recovery—and it will represent a radical shift from anything we've known before."  

Keep in mind that those comments come from someone employed by a traditional media outlet, but obviously not someone who has his head buried in the sand. 
(Posted
Jan. 2, 2009) To refer others to
the post above only you can use this URL:
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Today our hope and prayer that each of you will have your best year ever in 2009. When I came across the quote below it immediately made me think of our friends and colleagues in the

domain business. In two sentences the genius who wrote it captures the spirit and good fortune that we have been blessed with:

"I feel that you are justified in looking into the future with true assurance, because you have a mode of living in which we find the joy of life and the joy of work harmoniously combined. Added to this is the spirit of ambition which pervades your very being, and seems to make the day's work like a happy child at play."  
- Albert Einstein

(Posted Jan. 1, 2009) To refer others to the post above only you can use this URL:
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The Internet has now passed newspapers and trails only TV as the most popular source for news according to a new report from the respected Pew Research Center for the People & the Press. In 2008, 40% of Pew's survey respondents said they got most of their national

and international news from the Internet, versus 35% for newspapers. That is a huge 16-point jump for the Internet which had only a 24% share in Pew's survey just one year ago

With non-stop horror stories about he decline of the newspaper industry everyone knew that the Internet was steadily gaining ground on the papers, but this is the first time the web has 

completely overtaken newspapers in the minds of news consumers. The web now has its sights set on dislodging TV from the top spot and that change already appears to be well under way

The Pew report said "For young people the internet now rivals television as a main source of national and international news. Nearly six in ten Americans younger than 30 (59%) say they get most of their national and international news online; an identical percentage cites television. In September 2007, twice as many young people said they relied mostly on television for news than mentioned the internet (68% vs. 34%)."  By overcoming that 34-point deficit in just one year, the Internet is obviously gaining momentum at a spectacular pace. It will surely pass TV in the under 30 demographic by this time next year on its way to becoming the #1 news source among all media platforms.
(Posted Dec. 31, 2008) To refer others to the post above only you can use this URL:
http://www.dnjournal.com/archive/lowdown/2008/dailyposts/12-31-08.htm

Pingdom.com just published an interesting article analyzing the upsurge in WIPO disputes over the past five years. They found that the number of WIPO cases has doubled since 2003. That reversed a trend from 2000-2003 that saw disputes dropping each year.

While Pingdom posits that the introduction of Google Adsense might be the key factor in the increasing number of domain disputes I think a bigger factor has been the steady rise in domain values that began in late 2003. When mainstream media started reporting on the domain boom, awareness of the high value of good domains became far more widespread. That prompted legal experts in our annual State of the Industry reports to predict that WIPO cases would shoot up as covetous parties looked for ways to get their hands on those valuable assets without paying market value for them. 

In our January 2006 report, attorney Ari Goldberger noted, ""We witnessed a big increase in domain name disputes in 2005 as the increased value of domains justified the associated legal costs. There were also more attempted reverse domain name hijackings and domain thefts. Domain owners need to make protection of their domains a primary part of their business strategy, being careful to avoid collisions with parties that own trademarks identical or confusingly similar to their domains. That means being careful to avoid PPC links for products sold by such trademark owners or their competitors. In 2006, as ecommerce continues to grow internationally, there will be more and more disputes of all kinds involving domain names - the real estate and storefronts of the Internet." 

Pingdom's new report shows how prescient Goldberger was when he made those comments almost three years ago. Since complainants have won 85% of WIPO cases even those with flmsy claims are emboldened to make a run at domains they would like to take from current owners. 

We have several other bits of news for you today. The aftermarket for Australia's .au ccTLD domains just got a big boost with the announcement that a major Aussie registrar, NetRegistry, has signed an agreement with a new Australian domain sales site, Netfleet, to help develop and promote their aftermarket platform. Netregistry CEO Larry Bloch thinks the Australian aftermarket has a lot of growth potential but added, “Currently our efforts are 

focused on education as much as anything – most people do not even realize that (.au) domain names are now tradeable assets so it’s a question of creating the industry as well as satisfying the demand."

Organizers of the T.R.A.F.F.I.C. Silicon Valley 2009 conference coming up in April are reminding those thinking about attending that tomorrow night (Dec. 31) at midnight is the deadline to get a free 7-DVD set as an early registration bonus. The DVD's feature Steve Forbes, Terry Jones, Tom Gardner, Barbara Corcoran, Jim McCann, John Reese plus Andrew Miller and Mike "Zappy Zapolin" speaking at previous T.R.A.F.F.I.C. shows. 

NameMedia has also put out word about another free BuyDomains webinar coming up Thursday, January 29. This one will cover "How to Leverage Google Analytics to Support Your Small Business Goals". The agenda is scheduled to touch on these topics:

  • Why the Right Domain Name is Critical for Your Small Business Website

  • How to Read Reports, Compare to Regular Stats and use the Data

  • Overview of Organic and Paid Search

  • Q&A Session

(Posted Dec. 30, 2008) To refer others to the post above only you can use this URL:
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The collapse of newspapers triggered by the migration of readers to the Internet has started a chain reaction that is causing related dominoes to fall one by one. According to a story in the 

New York Times, "The Comics Are Feeling the Pain of Print", the venerable comic strip, a newspaper staple for over a century, is the latest traditional institution facing extinction.

Like the papers, major comic syndicators are hoping to save themselves by moving to the web themselves. The author of the Times article, Leslie Berlin wrote, "In November, United Feature Syndicate, which distributes 50 comics, including “Peanuts,” 

Dilbert” and “Get Fuzzy,” made its full archives and portfolio available free on its Comics.com Web site. The company also added social networking features for tagging and rating comics. Visitors can have comics sent to them via e-mail or RSS feed." 

Berlin added, "In the past, Comics.com displayed the current day’s strips and a 30-day archive free. Anyone wishing to see older comics or receive comics via e-mail had to pay a subscription fee of less than $20 a year. However, The syndicate decided that the subscription model “was limiting the audience for comics, and It appears to have been right." After the charge was dropped, November traffic to the site increased 48%, to 571,000 unique visitors in the U.S. alone.

Comics.com is currently more of a marketing tool than a major source of revenue. Lisa Wilson, senior vice president of syndication for United Media, told the Times the site does bring in money from advertisers, including cellphone companies and Netflix, but its primary function is to build a fan base and provide links to sites where fans can buy books, calendars and other items featuring characters from the comics. Wilson said the site is “a platform for what comes next.”

Yet more evidence that the future of almost all forms of media is on the Internet. That migration is one of the key factors underpinning the value of memorable domain names like Comics.com, a name that is playing a key role in the shift of comic strips to the web.
(Posted Dec. 29, 2008) To refer others to the post above only you can use this URL:
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The dates and location for the 2009 GeoDomain Expo have been announced. After being held in Chicago this past July, the show moves to San Diego in 2009 and also gets a change of 

season with spring time dates April 24-25. Mark Burgess and his team at SanDiego.com will be hosts for this fifth annual edition of the geodomain industry's premier event. 

The 24th and 25th (a Friday and Saturday) are the public show dates. As in the past, there will be 

private sessions for Associated Cities members only the day before the show officially opens (those sessions will be held on Thursday, April 23). The conference is staged by Associated Cities and they have posted more information about the 2009 event on their website

While you are at the Associated Cities site, be sure to check out a new article published this week in which several well-known geodomainers; David Castello, Jessica Bookstaff and Sean Pilfold share their bullish expectations for the geodomain business in 2009.

Incidentally, for those who attend both the GeoDomain Expo and T.R.A.F.F.I.C., the April 2009 dates will be a convenient fit. The next T.R.A.F.F.I.C. conference will be held in Silicon Valley April 27-30

With the GeoDomain Expo closing on Saturday night (April 25), you can travel up the California coast on Sunday (April 26) and be at the Santa Clara Marriott in plenty of time for the opening of T.R.A.F.F.I.C. on Monday (April 27). For show goers from the East Coast that will be much easier than making two trans-contintental trips in April.

Marriott Hotel - Santa Clara, California
Site of T.R.A.F.F.I.C. Silicon Valley 200
9

This will be T.R.A.F.F.I.C.'s second appearance in the Silicon Valley. A very successful show was held at the same hotel in 2006.
(Posted Dec. 26, 2008) To refer others to the post above only you can use this URL:
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 Merry Christmas to each and every one of you! 

Somehow, not only for Christmas but all the long year through, 
The joy that you give to others is the joy that comes back to you. 
And the more you spend in blessing the poor and lonely and sad, 
The more of your heart's possessing returns to you glad. 

John Greenleaf Whittier (1807-1892)

Christmas began in the heart of God. It is complete only when it reaches the heart of man.

In a story that has transcended the domain business and made headlines at every mainstream business news outlet, Verizon Communications Inc. said it has been awarded $33.2 million in what it called the largest cybersquatting case ever. A federal court in 

California ruled that  OnlineNic.com, a large, long-established domain registrar based in San Francisco "unlawfully registered at least 663 domain names that were either identical to or confusingly similar to Verizon trademarks." The company was awarded $50, 000 per name for OnlineNIC's "bad-faith registrations" that were intended to steer traffic away from Verizon's sites (federal law provides for a penalty of up to $100,000 per name). 

 

OnlineNic lost by default because they did not even bother to show up in court to defend the case, a very surprising situation given that a judgment of this size could bankrupt the registrar. A couple of thoughts immediately crossed my mind when this news broke. #1 - what could OnlineNic have possibly been thinking! Verizon has been vigorously going after those infringing their trademarks for a long time now and their 2007 lawsuit against iREIT was major news in the domain industry that OnlineNic had to know about. Why would they hold a massive lot of clearly infringing names when doing so put a huge target on their back and their entire business at risk? 

The second thing that came to mind is how does Verizon continue to win judgments against cybersquatters when Verizon is one of the most active cybersquatters on the Internet themselves!? As anyone who uses Verizon as an internet service provider knows (they happen to be my ISP too) any time you mis-type a name in your browser, the typo (if there is not an existing website with the 

misspelled name) leads to Verizon's own in-house landing page with PPC links monetizing those typos - including countless trademarked terms. For example, I just typed HulettPackerd.com into my browser and was sent to a Verizon page loaded with PPC links to Hewlett Packard products (see screenshot below).

How is this different from what OnlineNic just lost $33 million for doing? Infringement is infringement. Make no mistake, I think OnlineNic was dead wrong (not to mention plain stupid) for what they did - but I think Verizon is dead wrong in what they are doing in monetizing other company's typos too. Do you think they are turning the money earned from pages like this over to Hewlett Packard? Neither do I. The rules should apply equally to everyone. When Verizon does it they call it a "service". When someone else does it they call it "cybersquatting". I think it is the latter, but in any case what is good for the goose is good for the gander.
(Posted Dec. 24, 2008) To refer others to the post above only you can use this URL:
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Name Media has decided to pull to their planned IPO citing market conditions, according to their regulatory filings. The Massachusetts-based domain conglomerate (parent company of

BuyDomains, the AfternicDLS and several parking services), originally filed for a $172.5 million IPO in November 2007. In a news report today, Reuters is reporting that the number of companies that have withdrawn a planned IPO this year now rises to 103

Reuters said, "The market turbulence has led to the slowest year in IPOs since 2003, with more than three times as many deals withdrawn as those that have gone ahead. 26 tech companies have canceled their IPO plans this year. Those deals would have yielded an estimated $2.5 billion in proceeds, according to Thomson Reuters data."

 

(Posted Dec. 24, 2008) To refer others to the post above only you can use this URL:
http://www.dnjournal.com/archive/lowdown/2008/dailyposts/12-24-08.htm

PC World magazine presented an interesting piece of domain history in a new article published this week about The Internet's 100 Oldest Dot-Com Domains. Writer J.R. Raphael 

noted that the first dot-com domain registered was Symbolics.com on March 15, 1985 (a good trivia question to ask around the bar at the next domain convention). Raphael added, "The site belonged to a computer manufacturer 

known for its Open Genera Lisp and Macsyma computer algebra systems. Symbolics declared bankruptcy in the early 90s but is still under operation with new owners. That means Symbolics.com is the Internet's oldest still-functioning dot-com domain - and, I must say, it still looks like it was designed in 1985."

Only nine more domain names were registered in the 12 months following the registration of Symbolics.com. The ten oldest domains include four 3-letter domains (a category that remains popular to this day). Those historic ten names are: 

1. Symbolics.com: March 15, 1985
2. BBN.com: April 24, 1985
3. Think.com: May 24, 1985
4. MCC.com: July 11, 1985
5. DEC.com: September 30, 1985
6. Northrop.com: November 7, 1985
7. Xerox.com: January 9, 1986
8. SRI.com: January 17, 1986
9. HP.com: March 3, 1986
10. Bellcore.com: March 5, 1986

When you consider that any name could have been registered in those early days, it is a bit surprising what was NOT registered - but back then no one had an inkling how valuable domain names would become a little over a decade later.  You can review PC World's entire 100 Oldest Domains list here
(Posted
Dec. 23, 2008) To refer others to
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Veteran domainer Mike "Zappy" Zapolin, one of the co-founders of the Internet Real Estate Group (IREG) that we profiled in a 2005 DN Journal Cover Story, met with Israel's President, 

Shimon Peres, last week when Zappy was a featured speaker at the Globes Israel Business Summit in Tel Aviv. Israel's Globes business magazine also ran a profile of Zapolin just before his appearance at the conference.

In that magazine interview Zappy said, “Although the current economic situation is dismal, the Internet is a ray of light where it is possible to do business on a larger scale than ever before. Today, 21% of content consumed is online, but just 7% of the money channeled to the advertising industry reaches the Internet. This gap will narrow.”

At IREG Zappy and his partners scored big with the sale of Beer.com for $7 million, CreditCards.com for $2.75 million and Shop.com at $3.5 million.

IREG's Mike "Zappy" Zapolin and Israeli 
President Shimon Peres last week in Tel Aviv

These days the company concentrates on developing their prime generic domains, like Chocolate.com, rather than selling them. IREG also owns gems like Insurance.com, Patent.com and Jeans.com.

When Globes asked Zapolin how the current recession would affect online advertising he noted, "It’s true that the growth rate in the online advertising industry is slowing, but it’s still growing, and it will only continue to grow in the coming years. Advertisers are now abandoning traditional advertising channels and rushing to the Internet, where it’s possible to measure the marketing and to create a high ROI (return on investment).” In another interesting tidbit from the interview Zapolin revealed that he is planning to publish a book soon that will include tools for finding good domains and tips for creating reputation, reliability, and traffic.

(Posted Dec. 22, 2008) To refer others to the post above only you can use this URL:
http://www.dnjournal.com/archive/lowdown/2008/dailyposts/12-22-08.htm

The U.S. Government has joined the chorus saying "Not so fast!" to ICANN's plan to start rolling out an unlimited number of new global domain extensions next year. In a report just released this afternoon, Reuters reporter Kim Dixon said the U.S. Department of 

Commerce, the branch that oversees ICANN, sent a letter to the domain name system's oversight body yesterday (Dec. 18) stating "It is unclear that the threshold question of whether the potential consumer benefits outweigh the potential costs has been adequately addressed." 

Commerce went on to say that ICANN needs to prove it can handle a potentially huge influx of applications and how it will police issues related to intellectual property rights. The government agency also said that any introduction of new names must not jeopardize the stability and structure of the domain name system. You can read the full text of the DOC letter here.

With the Commerce letter coming in the wake of objections lodged by a trade association representing thousands of nationally known brands and trademark holders, an anti new TLD tide is obviously on the rise. In any case it appears that the rollout of new extensions will have to be delayed while ICANN deals with all of the objections that are now coming to the fore. Thanks to David Castello for the tip on this breaking news.
(Posted Dec. 19, 2008) To refer others to the post above only you can use this URL:
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If you missed yesterday's GoDaddy Radio Show featuring GoDaddy Founder and CEO Bob Parsons chatting with Domain Name Wire's Andrew Allemann the program is available for 

replay on the GoDaddy Radio home page. Parsons invited Allemann to come on the program to talk about articles Andrew posted at DNW that were critical of GoDaddy. Those articles prompted Parsons to order a couple of major changes at the company including a rollback in starting bid prices for high traffic domains at GoDaddy's aftermarket auction site, TDNAM.com and a decision to shut down a domain warehousing subsidiary called Standard Tactics.  

I thought Allemann and Parsons both came off very well in what turned out to be a cordial information-rich discussion. Most corporate CEOs automatically become defensive in the face of 

criticism and seek to demonize their critics. Parsons' response was the exact opposite. He welcomed Allemann's critiques and said hearing unbiased outside opinions like that are invaluable in helping the company fix things that aren't being done right. 

Allemann came to the discussion very well prepared and brought up a number of other questions about GoDaddy policies that elicited answers from Parsons that produced a lot of insight into the company's reasoning. Knowing Andrew and being a fan of his work, I knew he would be up to the occasion and he certainly was.

Though GoDaddy has been called out on more that one issue this year their customers obviously feel they are doing a lot of things right. They are the world's biggest registrar and now command 46% of the new registration  

Andrew Allemann
DomainNameWire.com

market. Though the private company doesn't release exact figures Parsons said their sales topped $250 million this year and were in the neighborhood of $500 million

When you reach those kinds of dizzying heights it is easy to become arrogant and think that you know it all. To his credit Parsons, who was featured in a 2004 DN Journal Cover Story, still comes across as a regular guy who, despite amazing entrepreneurial success, has managed to keep both feet on the ground and his ears open to new ideas. Kudos to both men on a good show.

Sedo's Martin Osusky

While we are handing out compliments, Sedo deserves one as well. The aftermarket giant announced Wednesday that it has received an A+ rating from the Better Business Bureau (BBB).  The A+ grade is the highest the BBB awards and it represents the organization’s belief that Sedo is operating in a trustworthy manner and will make a good faith effort to resolve any customer concerns. 

Sedo's Director of Customer Relations Martin Osusky said, "This A+ rating reflects the knowledge, patience and commitment of Sedo’s Customer Support Team. I’m proud to see Sedo being recognized and rewarded for the level of dedication we provide to our customers every day.” You can see Sedo’s Better Business Bureau profile here.

(Posted Dec. 18, 2008) To refer others to the post above only you can use this URL:
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Even though 2008 was a bad year for the economy it was a boom year for the world's biggest domain registrar - GoDaddy.com. The company's sales shot up a stunning 42% this 

year and GoDaddy founder Bob Parsons made sure his employees knew they were appreciated by treating them to a $2 million holiday party last Saturday night in Phoenix. The gala event was staged at Chase Field (home of the Arizona Diamondbacks major league baseball team) and featured live performances from Joan Jett, .38 Special and comedian Sinbad

In addition to a fabulous feast, there were prize drawings that doled out free motorcycles and cash awards as high as $5,000. Parsons told the crowd the largesse was possible, even in a severe recession, because the company was part of a new economic order being driven by the Internet. "We're helping put millions of people on the Internet so they can be part of the new order. The new economy is going to allow America to rise from the ashes of this recession," Parsons said.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Bob Parsons
GoDaddy Founder & CEO

 

 

 

 

 

There was more news from GoDaddy this week. Reacting to a story written by Andrew Allemann at DomainNameWire.com, the company made a major policy change in pricing domains listed on their TDNAM.com aftermarket auction site. Domains with traffic and existing revenue were being assigned a significantly higher opening bid than other domains on the site, prompting Allemann to observe that the practice essentially amounted to the auction house bidding against its own customers. Upon reflection, and to his credit, Parsons agreed and ended the pricing disparity. 

Parsons didn't stop there. He also invited Allemann to be a guest on his GoDaddy Radio Show this afternoon at 4pm (US Eastern time). Andrew has been critical of GoDaddy on several other issues this year so the discussion should be a very open and interesting one. 

Andrew Allemann
DomainNameWire.com

(Posted Dec. 17, 2008) To refer others to the post above only you can use this URL:
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Major trademark holders and national advertisers are calling on ICANN to stop, or at least slow down, its plan to roll out an unlimited number of new global TLDs in 2009. Last night 

Broadcast & Cable magazine reported that the Association of National Advertisers (ANA), in a letter to ICANN CEO Dr. Paul Twomey, called the proposal premature and counterproductive. ANA represents 9,000 brands that spend $100 billion annually on advertsing and marketing. 

ANA Executive VP Daniel Jaffe said, "Presently, ANA’s members expend substantial sums of money monitoring domain name abuse, defensively registering domains (sometimes in the hundreds or even thousands) and prosecuting squatters and other violators. 

These new costs are likely to escalate substantially" if ICANN moves forward with its plans. Jaffe added that ANA does not think ICANN has shown a demand that justifies the "massive burdens" the plan would impose and should reevaluate the plan. 

Also Monday, the Internet Commerce Association (ICA), a trade association representing domain owners, sent a detailed <