Network Solutions' Answer To All Its Problems: 100 Year Registrations!!

adoptabledomains · Mar 25, 2004

timechange said:
I predict that on October 17th, 2039 the earth will be destroyed by a gigantic asteroid, thus engaging the exit plan of Network Solutions :-D

Can you be a little more specific and give me a time of day? I might want run a morning going out of business special on my domain names that day.
:laugh: :laugh: :laugh:

Digital Address · Mar 28, 2004

Edwin said:
The compound interest stuff is interesting (pardon the pun) but the correct values are:-

$995 now = $995
$995 in 100 1-year installments of $9.95, compounded @ 5% = $25,969.75

So yes there's a big difference, but it's not quite as outlandish as earlier posters were estimating (not sure how you did your math, fellows)

$995. compounded DAILY:

Second day's value = $995.1363014
Third day's value = $995.4089601
Fourth day's value = $995.8180883

Compounding every day on a HIGHER number! (Similiar to the Persian Parable about "geometric exponential progression" [one grain of wheat on first day, two grains of wheat on second day, four grains of wheat on third day, etc., eventually leading to every grain of wheat in the world well before the 64th day!])

After 10 years of daily compounding, according to my "financial" calculator, $995. becomes $1,640.42, 25 years - $3,472.59, 50 - $12,119.48, 75 - $42,297.46, and 100 - $147,619.83! (Used wrong "Present Value" for my earlier result!)

And the real bad news is that in 100 years, a decent house will be priced in the tens to hundreds of millions of dollars! :wink:

Nexus · Mar 28, 2004

Wm. M. said:
After 10 years of daily compounding, according to my "financial" calculator, $995. becomes $1,640.42, 25 years - $3,472.59, 50 - $12,119.48, 75 - $42,297.46, and 100 - $147,619.83! (Used wrong "Present Value" for my earlier result!) :wink:

IMO, you guys have to do a little more calculating. I think the "questionable" zone fo NetSol's offering is NOT 100 years. Its the 90 years that they are holding, and haven't necessarily performed a service for (registry interaction, etc). When you buy the 100 year package... NetSol pays for 10 years, and adds a year to THAT for every extra year that follows... keeping you at the "maximum" registration period every year (this is how it is described when you read it). So, after 90 years, they'll have paid the registry in full for your 100 year registration.

ALSO, they're NOT holding the 90 years of money for the entirety of the 90 years. Each year, they lose another $9.99 of that to the cost they've quoted you. (We know in reality they're only paying $6 to the registry, but not trying to deconstruct their business, we can keep it to the figures they presented). That means, the 90-year "principle" is actually "shrinking" each year by $9.99. By the last year, they're only hold $9.99 of the original principle. Doesn't impact the net effect of the compounding in a dramatic way, but it substantially effects the accuracy of the numbers being suggested around here.

I still don't think this is all that "outrageous". Its a gimmick. Different from a "scam". Like getting a "FREE" computer for signing up for 5 years of Internet access through MSN. Or, if you get _____ "for life", by any company, and have to read the fine print. If you don't know its a "gimmick", you should pinch yourself. If you do, you might just decide that it makes sense for you.

~ Nexus