discussion Price increase of Dotcom extension

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shahed_sajid

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Hi,
Verisign wants to increase the price of dotcom extension, is a news discussed among the domainers for years. A 7% arise per year is a proposal.
Recently many people talks about that and some are telling that the time is very near, may be couple of months.

What is your opinion on this?
Is it true that dotcom price will finally increase? When?

As registered dotcom domains are way ahead than all other extensions, what will be the impact on the market if it really happens?
 
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amplify

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I don't like that they are able to raise it significantly higher than inflation.

However, they are a publicly traded company working for those $VRSN holders. As for a company, it hasn't seen much growth for 2020-2021. The increase in rate is sure to add growth back to the stock. Hopefully, they use some of this to pay their debt so that they can pay their shareholders a dividend. If they offered a 3.75% dividend, and you held 1 share to 1 domain, you would ask yourself, "What 7%?"

I suspect a year-after-year increase will shake out some bad domains. People are less likely to hold the ones that they're not heavily invested in if it gets no feelers.

(I do not hold $VRSN)
 

Neoget

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I think this is a self shot to Verisign, but who knows maybe Zuckerberg is behind this to take over the internet, so people don't need to create their own website, in fact this will push many users to FB and other social media platforms without the need to have a personal website.
 

aleksey.k

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Zuckerberg should be opposed at any cost. As well as other giga-tech companies
I think this is a self shot to Verisign, but who knows maybe Zuckerberg is behind this to take over the internet, so people don't need to create their own website, in fact this will push many users to FB and other social media platforms without the need to have a personal website.
 

amplify

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I think this is a self shot to Verisign
I don't get how a 7% increase can harm Verisign in any way.

If you think of domain name investing, the ideal outcome is for your (1) domain to land in the hands of an end-user. Do you think $100 per year is even something that the large majority of businesses couldn't pay to renew? This is nothing for them and in almost every case is a business expense, which are writeoffs to save more profit.

I remember domain registrations in the late 90s/early 2000s being $99 for 2 years for a .com. Inflation accounted for, that would be $80 per domain renewal today ($160/2 years). This of course didn't stop investors getting into names that could very well have gone nowhere — ones regard as ultra-premium yacht-buying material. There are still even gTLDs out there that cost around there that you can own instead of the .com too.

The only people that this is going to hurt are those investors that take a shotgun quantity approach to domain name investing. That is, they fire a shotgun shell with each buckshot being a new domain in hopes that just one sold make up for the other hundred not sold.

Investors will need to eventually step back and reevaluate their approach before they quickly go broke as a quantity mindset might not be reliable for each passing year of 7% increases.
 

shahed_sajid

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Hi,
In present days it's very common that thousands and thousands of dotcom domains become expired and most of them are useless. Many new domainers with enough budget want to take chances to create fortune and on the way, they registered lots of domains where most of which are drop domains. If the price increase quantity of total domain registration will surely decline. We see that even lots of domain investors bid in the auction to get a potentially valuable name at a high price, so a price hike will not affect them. Agree with @amplify.

@Neoget, Zuck is a big name in tech but he is actually a "single entity". But my thought is there are a lot of other forces who don't let Zuck set the social media platform as the only internet thing.
 

slickdots

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We should all buy Verisign stock. That's the moral of the story.
 
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