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Yeehaw! Bumper crop of new gTLD launches

Kevin Murphy, September 15, 2014, Domain Registries

There’s a definite wild west flavor to today’s crop of new gTLD launches, in a week which sees no fewer than 16 strings hit general availability.

Kicking off the week, today Minds + Machines brings its first wholly-owned TLDs to market.

Following the successful launch of .london, for which M+M acts as the back-end, last week, today we see the launch of the less exciting .cooking, .country, .fishing, .horse, .rodeo, and .vodka.

Afilias’ rural-themed .organic also goes to GA today.

As does .vegas, an oddity in the geo-gTLD space as it’s a city pretty much synonymous with one vertical market, gambling. Or three vertical markets, if you include booze and prostitution.

.vegas names do not require a local presence, so I’m expecting to see gambling businesses the world over attempt to capitalize on the Vegas brand regardless of their location.

A second batch of launches is due on Wednesday September 17.

Sticking with the wild west theme, RightSide’s .republican is due to go first-come, first-served.

With a somewhat more eastern flavor, Radix Registry’s first new gTLDs — .website, .press and .host — all hit GA on the same day.

Donuts’ .loans, .life, .guide and .church all enter their standard-pricing phases, while .place and .direct enter their premium-priced Early Access Period on Wednesday too.

Radix’s first gTLD landrushes only risk-free if you shop around

Kevin Murphy, August 27, 2014, Domain Registries

Radix Registry has gone into landrush with its first new gTLDs, promising a “risk-free” experience for buyers who want to get into .website, .press and .host early.

But different registrars are handling the phase in different ways — with a staggering range of prices — so you could still lose money on domains you don’t get unless you shop around.

Business head Sandeep Ramchandani confirmed that while Radix does not have any nonrefundable components at the registry end, it’s up to the individual registrars to decide whether to follow suit.

Radix has set up a microsite to help would-be registrants compare prices and find a registrar with a refundable fee.

It’s a useful tool, because prices vary wildly by registrar.

For .website, the lowest-cost of the three gTLDs, you’ll probably want to avoid Go Daddy. Its “priority pre-registration” service costs a whopping $174.98 for a bog-standard domain, compared to landrush fees around the $40 mark at all the other listed registrars.

General availability pricing for .website appears to be in line with .com, with Name.com and Go Daddy both listing GA domains at $14.99.

.press and .host, which cater to rather more niche markets, have correspondingly higher base pricing. Both will hit GA with pricing ranging from $100 to $130, it seems.

To apply for names in either during landrush you can expect to pay between $250 and $360, depending on registrar.

You’re also going to have a harder time finding a registrar that will refund landrush fees in .press and .host; Radix currently lists four registrars doing this for .press and only two for .host.

For premium names, Radix is going the now fairly industry standard route of charging premium fees on renewals as well as the initial registration.

investing.website will set you back $3,125 a year at Name.com, for example, while whiskey.website will cost $312.50 a year.

Go Daddy is not yet carrying Radix premium names.

Some names have five-figure renewal fees attached, Ramchandani said.

But he added that Radix has only set aside “a few hundred” premium names in each of the three TLDs, a much lower number than most previous new gTLD launches.

The idea is to get domains out there and in the hands of users, he said.

The new microsite also carries a few downloadable spreadsheets of supposedly attractive names that are available at the basic, non-premium registration fee.

Seasoned domain investors might find some bargains there (assuming they don’t go to landrush auction), but there are also some oddities.

Is wellnessfinder.website worthy of a recommendation, just because the domain+website wellnessfinder.com sold for €300,000 in 2011?

And to what possible use could you put a vagina.press? I shudder to think…

Millions spent on new gTLDs as 11 auctions settled

Kevin Murphy, April 30, 2014, Domain Registries

New gTLD portfolio applicants settled at least 11 new gTLD contention sets last week, sharing the spoils of a private auction that looks to have totaled seven figures in sales.

Applicant Auction carried out auctions for 13 contested strings last week, which I believe lasted at least three days.

I’ve been able to determine that Donuts won six sets, Uniregistry won three and Minds + Machines won two. Radix seems to have lost at least five auctions, walking away with a great big pile of cash instead.

.hosting — Uniregistry won after Radix (which owns .host) withdrew.

.click — Uniregistry beat Radix.

.property — Uniregistry won after withdrawals from M+M and Donuts.

.yoga — M+M won, beating Donuts and Uniregistry.

.garden — M+M beat Donuts and Uniregistry again.

.娱乐 — Donuts won this string (Chinese for “.entertainment”) after Morden Media withdrew.

.deals — Donuts beat M+M and Radix.

.city — Donuts beat TLD Registry and Radix.

.forsale — Donuts beat DERForsale.

.world — Donuts beat Radix.

.band — Donuts beat What Box?

Minds + Machines disclosed this morning that the four auctions in which it was involved cost it $5.97 million.

It’s not possible to work out how much .garden and .yoga cost the company; the $5.97 million figure is net of the money it won by losing .property and .deals, ICANN refunds and auctioneer commissions.

However, it seems reasonable to assume that the average price of a gTLD, even not particularly attractive ones (.garden? Really?), has sharply risen from the $1.33 million I calculated from the first 14 auctions.

In January, M+M raised roughly $33.6 million for auctions with a private share placement. The company is listed on London’s Alternative Investment Market.

The company said it now has an interest in 28 uncontested applications.

Also today, the Canadian Real Estate Association withdrew its Community application for .mls, but this is not believed to be related to the auctions. It has a non-Community application for the same string remaining.

ARI and Radix split on all new gTLD bids

Kevin Murphy, March 31, 2014, Domain Registries

Radix no longer plans to use ARI Registry Services for any of its new gTLDs, I’ve learned.

The company has already publicly revealed that CentralNic is to be its back-end registry services provider for .space, .host, .website and .press, but multiple reliable sources say the deal extends to its other 23 applications too.

I gather that the split with ARI wasn’t entirely amicable and had money at its root, but I’m a bit fuzzy on the specifics.

The four announced switches are the only four currently uncontested strings Radix has applied for.

Of Radix’s remaining active applications, the company has only so far submitted a change request to ICANN — which I gather is a very expensive process — on one, .online.

For the other 22, ARI is still listed as the back-end provider in the applications, which have all passed evaluation.

Radix is presumably waiting until after its contention sets get settled before it goes to the expense of submitting change requests.

CentralNic kicks out ARI as back-end for four new Radix gTLDs

Kevin Murphy, March 23, 2014, Domain Registries

CentralNic has replaced ARI Registry Services as the exclusive back-end registry services provider for four new gTLDs.

Radix, the new gTLD portfolio applicant formerly affiliated with Directi, will use CentralNic “exclusively” for .press, .host, .website and .space, according to a press release this morning.

ARI was originally listed on Radix’s applications as the technical services provider for all four, but as a result of change requests submitted in January ARI is out and CentralNic is in.

All four were either originally uncontested strings or have since been won by Radix at auction.

The news of the switch follows the announcement last month that CentralNic has also become a “preferred” back-end for portfolio applicant Famous Four Media, alongside ARI and Neustar.

ROTD conducts first new gTLD auction as One.com wins .one

Kevin Murphy, February 25, 2014, Domain Sales

Danish registrar One.com has won the .one contention set in the first private auction carried out by new gTLD consultancy Right Of The Dot.

One.com beat Radix, the United Arab Emirates-based portfolio applicant, to the string. Radix withdrew its application last week. The price has not been disclosed.

ROTD, Mike Berkens and Monte Cahn-managed company, has been competing with Applicant Auction for contention set resolution services and this is its first win.

The .one auction was carried out using a “single sealed bid second price” methodology, in which all participants privately submit a single bid and the winner pays the second-highest losing bid.

In this case, One.com will have paid Radix whatever bid Radix had put forward, with ROTD and escrow partner Escrow.com taking their fees from the winning bid.

Applicant Auction uses an “ascending clock” method, where bids are set in increments by the auctioneer over the space of several rounds, with bidders choosing to stay in or drop out in each round.

Cahn said in a press release: “Our Single Sealed Bid Second Price auction method protects the participants from ‘auction fever,’ which often causes over-bidding as people get emotionally tied to the process of winning at any cost due to time committed and sometimes throw their budgets out the window.”

Directi joins Domain.com family in $100m deal

Kevin Murphy, January 29, 2014, Domain Registrars

Endurance International, the holding company behind brands such as Domain.com and HostGator has closed the acquisition of top ten registrar Directi and some related companies.

The acquisition, which was announced last September is worth between $100 million and $110 million — $25.5 million in cash and the rest in shares and a promissory note.

The deal includes Directi properties BigRock (a registrar), ResellerClub (the reseller-focused registrar), LogicBoxes (the registrar management service) and webhosting.info.

It does not include Radix Registry, the company that applied for 31 new gTLDs, 28 of which applications are still active.

Directi CEO Bhavin Turakhia “has agreed to be closely involved in the integration of the two companies”, but it doesn’t sound like he’s taking on a permanent role at Endurance.

Endurance may not be a familiar brand in and of itself, but its businesses include Bluehost, HostGator, Domain.com, FatCow, iPage and Mojo Marketplace.

TLDH raises $5 million from gTLD auctions

Kevin Murphy, October 25, 2013, Domain Registries

Top Level Domain Holdings made almost $5 million by losing auctions for the .lawyer and .website gTLDs this week, according to the company.

The London-listed company told the markets today that it has added £2.97 million ($4.81 million) to its coffers as a result of the auctions, in which Radix won .website and Donuts won .lawyer.

The number is net of the 4% cut taken by Innovative, which conducted the auctions, and the two $65,000 refunds TLDH will receive from ICANN when it withdraws the applications.

Some portion of the $4.8 million TLDH will have received from Donuts, where .lawyer was a two-horse race.

Radix’s winning bid for .website will have been split evenly between TLDH and Donuts.

At least one of these TLDs seems to have sold for significantly more than the average private auction selling price, which was $1.33 million after the first 14 Innovative auctions.

Innovative has managed auctions for 18 strings, but we don’t know the total price of the latest four.

The .website and .lawyer deals means TLDH now has £10.1 million ($16.3 million) in cash reserves, according to a company press release.

It still has 43 contested applications, however. On a $16 million budget — quite a lot less than some of its portfolio rivals — the company is going to have to make some smart tactical moves to maximize its gTLD portfolio.

“Our strategy remains to best monetise those applications where we see least value so that we can maximise our ability to acquire those names in which we see greatest value,” chairman Fred Krueger said in the press release.

It still has stakes in 25 uncontested gTLDs.

NOTE: An earlier version of this story contained inaccurate statements — failing to take into account that .website was a three-way contest — about the average selling price of new gTLDs at auction.

Directi’s Radix wins .website gTLD auction

Kevin Murphy, October 23, 2013, Domain Registries

Directi-affiliated TLD registry Radix, has won the private auction for the .website gTLD, according to Radix.

The company beat rival portfolio applicants Donuts and Top Level Domain Holdings to the string, in an auction that was managed by Innovative Auctions, likely one of several going on this week.

There’s no outstanding Governmental Advisory Committee advice or objections to the Radix application, so its path to contracting and eventual delegation should be relatively uncontroversial now.

The price was undisclosed, Innovative’s standard terms.

Directi is in the process of being acquired by Endurance International, owner of Domain.com, which promised Radix up to $62 million to help with its gTLD auctions.

Domain.com owner files for $400m IPO, to spend $110m buying Directi

Kevin Murphy, September 10, 2013, Domain Registrars

Endurance International, owner of Domain.com and HostGator, plans to raise up to $400 million in a Nasdaq IPO, and said it will spend up to $110 million of that buying Directi, India’s largest domain registrar.

As part of the proposed acquisition, Endurance has also agreed to bankroll Directi’s new gTLD auctions to the tune of $62 million.

The acquisition is not final, and appears to depend on a number of targets related to the IPO and Directi’s revenue performance. Endurance’s S-1 filing with the US Securities and Exchange Commission reads:

In August 2013, we entered into a master share purchase agreement to acquire all of the outstanding capital stock of Directi from Directi Holdings, the seller, for an amount we estimate will be between $100 million and $110 million in cash or, at the election of the seller, a combination of cash and shares of our common stock, subject to the satisfaction or waiver of specified customary closing conditions and the achievement of specified financial targets.

The acquisition would close in the fourth quarter this year.

As well as running a top-ten registrar (and a few dozen others), Directi subsdiary Radix Registry has 29 active new gTLD applications, 26 of which are contested.

Endurance proposes to help Radix win these contention sets. On new gTLD auctions, the S-1 says:

in connection with our proposed acquisition of Directi, we entered into agreements with entities affiliated with Directi Holdings related to participation in the auction of new top level domain extensions and domain monetization activities, pursuant to which, among other things, we may be obligated to make aggregate cash payments of up to a maximum of approximately $62 million, subject to specified terms, conditions and operational contingencies.

Endurance is a complicated company. Its most familiar brands include Domain.com, iPage, FatCow, Homestead, Bluehost, HostGator, A Small Orange, iPower and Dotster.

But since December 2011 it has been controlled and majority owned by Warburg Pincus and Goldman Sachs, which paid a reported $975 million.

Its annual revenue for the last three calendar years has been $87.8 million, $190.3 million and $292.2 million. It’s currently not profitable, recording a net loss of $139.2 million in 2012.

It has seven million domains under management and had 3.4 million customers at the end of June 2013.

Judging by the S-1, the company has over a billion dollars of debt. Directi acquisition excluded, most of its IPO proceeds would go towards paying off some of that debt.