Adlink buys sedo!

[Theo]

US is still the world's dominant commercial market. .com is still the world's dominant TLD.

Back on subject, Sedo has been suspiciously quiet on the subject of acquisition.

 

[Rubber Duck]

US is still the world's dominant commercial market. .com is still the world's dominant TLD.

Back on subject, Sedo has been suspiciously quiet on the subject of acquisition.

Yes, those statements are true, but a still unrealistically strong dollar tends to over state the situation and new economic super-powers in terms of Gross GDP, if not on a per capita basis, are emerging fast.

I agree that dot com will always be a bench-mark, but it is difficult to understand how anyone can think up orginal valuable domain names, when there are already 37M dot coms registered. I believe that in conventional English domains there is a limit of about 1M domains per TLD that could be described in anyway as capable of providing a commercial advantage. The demand for domains globally is accelerating and the short-term milestone for total registrations is going to be in excess of 100M. This suggests that some broadening of the market is inevitable.

I would suggest that a good part of recent registration are either foriegn language or IDN. My own research suggests that about 2M dot com IDN and probably another 1M or more in other denominations.

On the subject of the aquisition, as pointed out in my earlier posting,the original article makes it clear that the buyer already had controlling interest in SEDO, so it really just a group consolidation rather than anything startling. Not much to comment on really. Will have quite an impact on how the consolidated accounts are presented but beyond that I can't see it making any reall difference in the real world.

Best Regards
Dave Wrixon

 

[Theo]

LOL

"an unrealistically strong dollar" ?

The Euro was $0.92 when it was introduced - currently it's at $1.26
So the dollar is actually competitive, based on an objective value of the trade traffic between the US and the countries of the European Union.
On the other hand, China has kept the exchange rate of their currency against the dollar fixed for years - at 1/8th of the dollar. This is an artificial economy that if it were to be deregulated it would collapse.

On the subject of IDN domains, let's not go through this again for Pete's sake. IDN's stand no chance compared to com/net/org/co.uk/de domains.

 

[Rubber Duck]

LOL

"an unrealistically strong dollar" ?

The Euro was $0.92 when it was introduced - currently it's at $1.26
So the dollar is actually competitive, based on an objective value of the trade traffic between the US and the countries of the European Union.
On the other hand, China has kept the exchange rate of their currency against the dollar fixed for years - at 1/8th of the dollar. This is an artificial economy that if it were to be deregulated it would collapse.

On the subject of IDN domains, let's not go through this again for Pete's sake. IDN's stand no chance compared to com/net/org/co.uk/de domains.

The EU is a mess due to financial mismanagement by the new central bank, largely due to Germans and French blaming everyone else for the mess they have created.

I am not sure of the exact exchange rate at launch but I am pretty sure it was worth more than the dollar then. Perhaps 0.92 is correct but it would have been the other way round.

The problems with the dollar are more to do with structure of US economy and the way it is financed than manipulation by the Chinese. Indeed, the Yuan probably isn't greatly undervalued. To talk of a Chinese economic collapse just because the system is heavily regulated and undemocratic, ignores the economic fundamentals. The US economy needs to borrow massive amounts of money from the far east and depends on the importation of cheap manufacturered goods. The world is changing. This is heralded most clearly by the fact that IBM no longer manufacturer the standard PC, for so long known as the IBM compatible. Tell me, how many US cars do see in Europe?

The bottom line is that America is at high risk of a period of stagflation, which is not frankly good news for anyone. From an external veiw point it is difficult to see the political will to even have a serious debate on the key issues, which is rather worrying. The only trajectory for the dollar is down, which will not only reflect difficult times for the US economy, but will hurt the European economy hard as well. Even the Chinese won't be celebrating if the demand for goods starts to dry up, which is real possibility.

What is clear is that when the dust settles the US and EU postions in the world order will be diminished in relative terms. China and India will have significantly more influence and power, with a whole train of other economies following in their wake. It may not be a comfortable picture, but it is one we are all going to have to adjust to. Denial will only exacerbate the situation.

Best Regards
Dave Wrixon