[AccessD] OT: Charging for Domains

Jim Lawrence (AccessD) accessd at shaw.ca
Fri Aug 1 19:05:54 CDT 2003


No Archive

To whom it may concern:

The following article is indirectly related to everything from the web so it
may be relivant.

Jim

Article to follow....


A proposal is underway that threatens to undermine the competitive secondary
domain market, affecting millions of domain consumers and their small
businesses – and imposing a minimum of a $24 charge on the acquisition of
expiring domain names.

This anti-competitive, anti-consumer proposal is referred to as the Wait
Listing Service (WLS). The Internet Corporation for Assigned Names and
Numbers (ICANN), the organization that oversees the domain naming system,
has approved a proposal by VeriSign – the former government sponsored
monopoly – to charge registrars a minimum of $24 to backorder an expiring
(i.e., used) domain name. In turn, registrars will add a “markup” to this
and, as a result, the price will skyrocket for customers.

It’s important to note that this “WLS charge” does not include the price for
registering the domain name should the backorder be successful.

ICANN’s decision will replace today’s competitive marketplace for expiring
domain names with a monopoly system operated by VeriSign. What’s more,
VeriSign is currently negotiating with ICANN for the right to change the
price of the WLS any time it wants. Incidentally, when VeriSign first
floated the WLS proposal, it wanted to charge $40!

Today, you can backorder and register an expired domain name for a fraction
of that price. That’s because a robust competitive market for expired domain
names currently exists. For example, Dotster currently offers NameWinner, an
affordable and successful back-order service. Dotster welcomes competition
from other companies who offer similar services. This healthy competition
keeps prices down and customer service levels up, while allowing companies
to invest in new technologies to better support you and your business.

Without competition, VeriSign will not be compelled to invest in new
technology or improved customer service. Without competition, VeriSign may
also be able to charge whatever it wants for expired domain names in the
future. Without competition, many domain name registrars who compete with
VeriSign may be forced to close because the market for their services will
cease to exist. This is precisely the reason the domain industry was
deregulated in 2000. Why is ICANN now attempting to turn back the clock and
grant VeriSign another monopoly?

Based on the above concerns and public outcry, Reps. Brian Baird and Jay
Inslee of Washington have introduced legislation that will stop WLS from
going into effect until the Government’s General Accounting Office (GAO) has
completed a comprehensive study of ICANN’s policies and procedures.

Dotster strongly supports the above mentioned legislation to uphold the
integrity of our industry’s governing body and to sustain a robust
competitive Internet marketplace. We have also joined other registrars, our
competitors, to form the Domain Justice Coalition in opposition to the WLS.
Further, thousands of consumers have signed a petition to ICANN to stop the
WLS.

I urge you to help us stop the WLS. Please send your congressional
representative a prewritten letter that explains in detail the WLS issue and
its anti-consumer, anticompetitive implications and encourages him/her to
co-sponsor the legislation. For contact information on the representative in
your area, visit www.house.gov/writerep/. For more information on the WLS or
the Domain Justice Coalition, visit www.stopwls.com.




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