Domaining, A Risky Business

[DeluxeNames.com]

If you stop and think about it, Domaining is a risky business.

Your taking a huge risk when you invest a significant amount into domains (which is what a lot of us have done here including myself).

You're betting that a totally new system to navigate the internet won't overtake domains any time soon (which many companies are working on).

You're betting that an enterprising company won't find a way to market keywords so well that they'll effectively replace domains.

You're betting that China won't come out with it's own Icann with a whole new set of domain extensions that, with all the anti-Americanism going around, could overtake Icann if enough other countries jumped in (until it was shown to be reportedly false, there was news reports that China was thinking of doing exactly that. Honestly, I don't doubt that China is considering doing exactly that, though they wouldn't want to admit it yet). The "false" news report here: http://news.com.com/China+creates+own+Internet+domains/2100-1028_3-6044629.html

You're betting that the United States won't finally cave in to the international pressure they are currently under (and their getting it from all sides) to transfer control of Icann to the United Nations and that the United Nations (proven to be the fair and intelligent institution that it is (LOL) could do any number of things to make the value of your domains decline. Maybe they'll add many new extensions that will water down the value of all domains or raise the rate of a .com so much that only big businesses can afford to own them. Maybe, because of the UN's history of being a tool for other countries to oppose the preceived domination of the United States, the UN will find a way to "balance" the ownership of domains so that it won't be tipped so heavily in the US's favor. It will be much like the "balancing" that took place in South Africa where you would lose your farm land because you were white, only this time, because you happened to live in the US.

What other domaining risks have I missed?

What are your opinions of what will end the value of domains as we know it?

 

[DNjet]

I for one think its too late for any of that to happen , the .com world is fully embeded.

 

[jdk]

I think the next biggest task will be going from IP4 to IP6. I am not too concerned about another country(ies) taking control of the internet.

 

[Dale Hubbard]

I think the next biggest task will be going from IP4 to IP6. I am not too concerned about another country(ies) taking control of the internet.

I agree jdk. That's a much more significant issue. Anyway, users control the internet, not governments, at the end of the day.

 

[Ian]

these are changing times and don't think such a move has any chance to happen. there are key arenas the UN will remain an incompetent player and one of those is in as far as technology--internet is concerned. it is rather too late for them to think of creating any king of equality. Any communist move by the institution will certainly be countered by its major financial supporters-including the US and other industrialized nations. In my opinion there is no chance of such a draconian move going through.

 

[DeluxeNames.com]

I think the next biggest task will be going from IP4 to IP6. I am not too concerned about another country(ies) taking control of the internet.

Could someone please exlplain a little bit about what it means to go from IP4 to IP6 (the new internet protocol) and the risk it could possibly pose to our domain system?

 

[Dale Hubbard]

It's only a matter of being able to employ more IP addresses, in simple terms. Nothing to worry about.

 

[domainuncle]

Concerning the risky business, I guess every business is risky and no one can really predict the future. So domaining would be the same in my view. If people are lucky then they can get their investment back happily.

 

[DNA]

I think no business is risky unless you lose your heart. I have seen people making money from sand (sarcastic). There will be some way. WHere there is a will, there is a way.

 

[Creature]

Re: earlier thread:

http://www.dnforum.com/f17/google-b...se-thread-151650.html?highlight=dotworlds.net

What if Microsoft took over the company www.dotworlds.net and offered an Explorer address. eg:

go.fish
make.music
download.films
watch.television
buy.cars

 

[Dale Hubbard]

Unfortunately for M$, the internet is a space they can't monpolise.

 

[plato1]

Exactly, which is why China and dotworlds do what they do. They might already be quite successful. It would be weird if Microsoft were already talking to the Chinese (or dotworlds)

 

[DeluxeNames.com]

Below is an interesting post on the other forum. Doesn't this "UnifiedRoot idea sound a lot like Dotworlds.net except that the've managed to get an ISP to pass out their "upgrade"? If Dotworlds was bought out by a mamoth ISP like AOL or Comcast, I think their new domains would have a chance, not a good chance but at least a chance. What do you think? I think Dotworlds has a lot better chance than the company in the post below, UnifiedRoot.com, as their prices are ridiculously high.

Here's the scenario I'm thinking of: AOL buys Dotworlds and continues to offer all their members as well as the general public their domains for free at least for another year. They combine these free domains with AOL's free webpage builder software so that many of their members (people like free) take advantage of it to build family and personal sites. In order for their non-AOL friends and family to view the family pictures they also have to install DotWorlds "upgrade." Then many of these non-AOL users take advantage of these free domains and it spreads like a chain reaction. Isn't this plausable? Free is powerful and social networking is still the best form of advertising.


[The following posted by member, "BinaryMan" on the other forum]:

And what about this Unified Root? Will it make domaining obsolete?
24.11.05
UnifiedRoot launches new generation Internet domain names 'around the dot'

Bron: UnifiedRoot

Amsterdam, 24 november 2005 - Effective today it will be possible to register top-level domains (TLDs) 'behind the dot' such as .airport, .company. The Amsterdam-based company UnifiedRoot has created a new and simplified Internet addressing system allowing the registration of more logical, easy-to-remember, easy-to-locate domain names. These domains no longer need to fit within top-level suffixes such as .com, .net, .org, or country codes such as .nl, .uk, or .fr. As a result, navigation on the web becomes easier and more intuitive, while operating within the existing Internet infrastructure.

Any second-level domains (SLDs) that appear in front of the dot, such as info.company will be owned, offered, and managed by the holder of the TLD.

Internet Service Providers (ISPs) resolving the UnifiedRoot will now be able to provide their subscribers with automatic access to an 'inclusive' Internet directory. This directory recognizes all current domain names as well as some 2500 new TLDs already recognized in the UnifiedRoot directory. As ISPs adopt this new naming structure, the new addressing system is expected to take hold immediately and grow rapidly.

Erik Seeboldt, Managing Director of UnifiedRoot said: "UnifiedRoot has created a logical and essential next step in the evolution of Internet addressing. We are building a user-base -a kind of 'open domain initiative'- free of the restrictions imposed by the current dot-com top-level domain system. No longer will a company have to worry about holding and administering its brand under several second-level domains as part of the various TLDs - such as .com, .net, .uk - in order to ensure its customers are able to find them. Companies can also structure their second-level domains to direct customers to items and places where the company wishes. We are launching this project with worldwide partners such as Internet Service Providers and companies in the technology and telecommunications sectors. The current domain structure is the subject of intense criticism and a new naming system is inevitable if the Internet is to evolve."

UnifiedRoot owns and manages a network of root servers which includes 13 master root servers strategically located around the world. UnifiedRoot will conduct the registration of top-level domains under objective and transparent policies and strict ethical guidelines.

Today, end users can easily configure their systems to resolve UnifiedRoot TLDs by following instructions available on UnifiedRoot's website, www.unifiedroot.com. This change will give them access to all publicly available TLDs. To make this easier for their customers, ISPs can also point their DNS servers to the UnifiedRoot servers with a simple directory upgrade. Several major ISPs are already offering UnifiedRoot's naming system to their clients. Tiscali, one of the leading pan-European ISPs, resolves the UnifiedRoot for some 4.8 million end users in six countries.

 

[plato1]

As far as I can tell dotworlds is a much more sophisticated all round system. dotworlds also offers email which is 110% crucial (i dont think these guys do which is a bit of a gap if u ask me). dotworlds also offers hosting which makes it a COMPLETE package and it probably has a hellava LOT more users.

dotworlds are giving all their stuff free, the other guys are charging...well some rather strange numbers.

Frankly, I bet on dotworlds to suddenly really get popular. Seeing what thay are doing I bet it has a lot more investment (serious investment) behind it.

 

[italiandragon]

People living in the year 999 were saying the world was ending in the year 1000.

 

[plato1]

oh no - did i miss the end of the world - must have overslept again?

 

[italiandragon]

yep....and you missed the one in 2000 too....too bad we`ll wait the one for the 3000

 

[DeluxeNames.com]

Some in the other forum are comparing domains to real estate and I don't know if that's a good analogy. I think some Domainers are getting tunnel vision.

In real estate, if the market crashes, at the end of the day you still own land or a building or both. That's something you can touch, see, and live in that will still have some value.

If the domain system as we know it is replaced, at the end of the day you own nothing at all.

I'm playing the "Devil's Advocate" in this thread because, once in a while, I think it's good to take a step back and assess what our business is really about and to avoide the "domain tunnel vision". I believe domaining is worth the risk and I will not be stoping any time soon.

 

[Rarethings]

I think the next biggest task will be going from IP4 to IP6. I am not too concerned about another country(ies) taking control of the internet.

Bingo.

Also, I think the UN has enough on its plate right now. I don't think they could even devote resources to domain names right now.

 

[plato1]

Some in the other forum are comparing domains to real estate and I don't know if that's a good analogy. I think some Domainers are getting tunnel vision.

In real estate, if the market crashes, at the end of the day you still own land or a building or both. That's something you can touch, see, and live in that will still have some value.

If the domain system as we know it is replaced, at the end of the day you own nothing at all.

I'm playing the "Devil's Advocate" in this thread because, once in a while, I think it's good to take a step back and assess what our business is really about and to avoide the "domain tunnel vision". I believe domaining is worth the risk and I will not be stoping any time soon.

I agree with much of what you said. There is a real risk of major price fluctations - could seriously effect - especially for anyone who might go too enthusiastic and overstretch the hope of a quick killing (yes I know fortune favors the brave). Nevertheless, this is a futures market with an intangible as the commodity. Thats why I think "new markets" must be taken advantage of.

The dotcom is tried and tested but maybe the development of different areas (like dare I say it - like dotworlds) will offer opportunity to develop other product new (and maybe even profitable) lines. As has been pointed out here, more and more people are jumping on ".com traders association" and end up just making things a lot tougher. Now its like an overcrowded property market. Now everyone thinks you just buy a domain in the morning and sell it for a massive profit in the afternoon - so everyone overpays etc etc.......ruins the market ........classic bubble strategy. Really Some of the rubbish for sale outthere is beyond belief. What I am saying is that some imagination and forward thinking is required. Other areas have gotta be considered. not so profitable selling horses and carts once the motor car got invented. Maybe something like dotworlds (a no risk option) is a place to start