March 14, 2006 – (HOSTSEARCH.COM) – Web hosting and domain name provider GoDaddy.com (http://www.godaddy.com) is to petition the U.S. Department of Commerce in a bid to stop approval of the contentious “.com” Registry Agreement between ICANN and VeriSign. GoDaddy and other key domain name players are asking for the agreement to be “reworked in a way that is fair and equitable”.
As previously reported the agreement from VeriSign and ICANN stems from a lawsuit settlement and allows VeriSign to raise registration fees by seven percent per year over four of the next six years and offers VeriSign "presumptive renewal" over the “.com” registry without opposition or a competitive bidding process until 2012.
"We will not sit back without a fight. This deal is outrageous. It's monopolistic because it locks in price hikes and eliminates good old-fashion competition. It's a mistake Secretary (Carlos) Gutierrez can stop," said Bob Parsons, CEO and Founder of GoDaddy.com. "This deal would give VeriSign a monopoly in the “.com” registry -- the source of its highest profit margin. The “.com” price should be going down, not up. The fact ICANN ignored an avalanche of negative comments on this proposed agreement says it all," he added.
A letter sent to the Department of Commerce detailed GoDaddy’s objection to the agreement and made particular reference to the presumptive renewal aspect of the agreement which, GoDaddy claims makes "absolutely no sense for the community, or stability and security as a whole." GoDaddy.com has also joined forces with other key registrars to submit a “Motion for Reconsideration” to the Department of Commerce.
