GoDaddy launches “ultra-premium” domain marketplace

If you’re going to launch a marketplace for “ultra-premium” domain names, you couldn’t pick a better domain to launch it on than DomainNames.com, and that’s what GoDaddy has done.

Via its Afternic secondary market business, the site was officially announced today. GoDaddy is reaching out to investors who own a “category-defining .com, a rare two-letter gem, a single-word .com or .ai, or a numeric masterpiece”.

While the company says it’s invitation-only, it it’s also asking investors to submit their names for consideration via a form on the new site, so that’s probably only half-accurate.

It’s looking for names it reckons could fetch six-figure asking prices and above.

If you want to know what GoDaddy thinks is “ultra-premium”, consider that the 110 domain names listed at launch are almost exclusively one–English-word or two-character .com names, with a handful of one-word .ai domains thrown in.

Domains will be actively marketed by the service and sellers have to sign an exclusivity agreement with GoDaddy.

That said, the domains don’t seem to have custom landers. Visitors to the listed names are greeted with a variety of Afternic/GoDaddy parking pages, some of which even have buy-it-now prices listed.

Decades-old US registrar gets a spanking

ICANN Compliance has filed a wide-ranging breach notice against an American registrar that’s been accredited for over 20 years.

Cincinnati-based Netdorm, which does business as DnsExit.com, has been handed a long list of alleged contract violations and an October 16 deadline to fix things or risk termination.

As we’ve seen regularly recently, the registrar’s apparent failures to carry out the technical migrations from Whois to RDAP and from NCC Group to DENIC for escrow services are the biggest of ICANN’s concerns.

Netdorm is also past-due on its fees and has a long checklist of administrative and transparency failures, according to the Compliance breach notice.

Despite being accredited since 2004, the company has been chugging along with fewer than 6,000 gTLD domains under management for many years. It gives away third-level subdomains for free and claims to run over a million of them.

Com Laude buys larger rival Markmonitor

Consolidation in the corporate registrar market continued this week, with Com Laude announcing that it is buying longstanding rival Markmonitor for an undisclosed sum.

Markmonitor is being spun out of Newfold Digital, which acquired it for $302.5 million three years ago, with Newfold saying it wanted to “simplify its portfolio” and focus on Network Solutions and Bluehost.

Both companies compete in the brand protection and corporate domain management space, managing domain portfolios and dot-brand gTLDs on behalf of high-value clients.

Markmonitor is the larger registrar by far in terms of gTLD domains under management, with over a million domains at the last count. Com Laude has about a quarter of that number on its accreditation.

Ben Crawford will remain CEO of Com Laude and Stu Homan will remain head of Markmonitor. The company will maintain its offices in Idaho, London, and Tokyo.

Just last week Com Laude said it was acquiring rival new gTLD consultant Fairwinds Partners. Expect to see Com Laude’s fingerprints on a lot of new gTLD applications next year.

Epik took down Charlie Kirk doxing site

Epik confirmed that it took down a web site dedicated to doxing people who celebrated the murder of right-wing American podcaster Charlie Kirk.

Epik said it had “removed” the Charlie Kirk Data Foundation — originally titled Expose Charlie’s Murderers — from its platform.

The company said it “will not provide services to anyone who generates credible security threats”.

While the site — originally at charliesmurderers.com before switching to ckdf.org — hosted an unmoderated database of personal information on tens of thousands of people who had allegedly celebrated Kirk’s murder online, Epik seems to have removed it on more technical grounds.

The registrar said the original domain was registered “using false information” in violation of its terms, and that there were “verifiable DDoS (distributed denial-of-service) threats” connected to the site.

Both domains in question are now at Namecheap, though neither resolve to a web site at time of publication and the group’s social media accounts appears to have been dormant for a few days.

Epik was once known as a safe haven for right-wing extremism but has since said it’s turned over a new leaf.

Another registrar goes AWOL

ICANN has started takedown procedures against another registrar that appears to have disappeared from the face of the Earth.

The registrar is 0101 Internet, based in Hong Kong, not to be confused with 101 Domain, which is based in Ireland and California and a completely different company.

0101 has been around for 15 years and had a little over 1,000 domains under management at the last count, mostly .com. Its DUM peaked at over 10,000 over a decade ago but has been declining since.

Currently, its web site doesn’t reliably resolve, which may be the reason ICANN can’t find contractually required information there. Archives show the place on its site where you would usually expect to see a company name or logo, it has just said “Your Brand” for the last few years.

The main problem outlined in ICANN Compliance’s breach notice is that 0101 has not been escrowing its registrant data with DENIC, which could cause problems when its customers’ domains are migrated to a new registrar.

It also hasn’t been paying its ICANN fees, according to the notice.

0101 has until October 3 to come into compliance or risk losing its contract.

gTLD loses its second-largest registrar after breach

ICANN has terminated another registrar’s accreditation, this time putting about 10,000 domains at risk.

The registrar in question is Dubai-based Intracom Middle East, which does business at domains.gdn.

As the domain suggests, the company specialized in .gdn domain names. It had about 10,000 of them under management at the last count, sold for under a dollar each for the first year.

It was the .gdn registry’s second-biggest registrar after Dynadot.

ICANN Compliance is terminating its contract for not paying its fees, not implementing RDAP, and generally not publishing required transparency information on its web site.

As I noted in May, its web site appeared to be down, and archived versions of the site suggested it had been hacked at least once recently.

ICANN, which had been chasing Intracom for a little over a year, said it will follow the De-Accredited Registrar Transition Procedure to move the company’s remaining domain names to a new registrar.

Reseller loss hits Tucows’ DUM but not revenue

Tucows reported revenue growth in its domains business in the second quarter, despite its domains under management going down due to a major reseller.

The company said last night that domains revenue was up 8% annually to $67.6 million at the end of June, with adjusted EBITDA for the segment going up 12% to $12.5 million.

But Tucows had 24.02 million domains under management at the end of the quarter, down from 24.3 million three months earlier. David Woroch, CEO of the domains business said in prepared remarks:

As anticipated, total domains under management and transaction volumes declined modestly—down 2% and 3%, respectively—reflecting the continued impact of one reseller that has moved a portion of its portfolio in-house.

Despite this, revenue for the wholesale/reseller domains channel rose 8% on last year to $57.3 million. Retail domains revenue was up 10% year over year to $10.3 million.

Including all of the company’s non-domains businesses, Tucows Q2 revenue was up 10.1% to $98.5 million and adjusted EBITDA was up 37% to $12.6 million, both compared to the year-ago quarter.

GoDaddy counts cost of losing .co deal

GoDaddy has revealed how hard losing its .co registry back-end deal will hit revenue, but insisted that it has no plans to exit the registry business.

The company said in its second-quarter earning release that it anticipates “an approximate 50 basis point headwind to bookings and revenue” when the deal expires in the fourth quarter.

So that’s 0.5%, or about $6 million given GoDaddy’s quarterly revenue came in at $1.2 billion in the second quarter. CFO Mark McCaffrey said the loss will be “immaterial in and of itself” and will not prevent the company hitting its financial targets.

The loss of the .co deal (possibly coupled with the separate recent loss of the .in deal) inspired one analyst to ask executives whether the company has plans to exit the registry business, but McCaffrey said there was “no change in our philosophy”:

This was a one-off situation where we went out to rebid and the profitability metrics that were needed to continue in this relationship just weren’t there for us. So I would say it’s more on the strategy of our profitable growth and making sure we stay disciplined to our framework versus a change in philosophy

Dejargonizing this, it appears GoDaddy is saying “the other guys could do it cheaper”. In the case of .co, the other guys were Team Internet, which will receive 8% of .co’s gross revenue, versus the 19% GoDaddy was getting. (Update: Team Internet says in the comments that GoDaddy bid this time at 9%.)

For the second quarter, GoDaddy reported overall revenue up 8% at $1.2 billion and net income of $199.9 million, up 37% compared to the same quarter last year.

The “Core Platform” reporting segment, which includes domain name sales, saw revenue up 5% year over year to $753.7 million. Vanilla domain sales and aftermarket sales were both up 7%.

Namecheap loses attempt to bring back .org price caps

ICANN seems to have won a big victory in its ongoing tussle with Namecheap over price caps for .org and .info domains.

A California court ruled late last week that it cannot force ICANN into pricing talks with the registries for the two gTLDs, denying a motion that Namecheap filed back in April.

The dispute dates back to 2019, when ICANN removed price caps from Public Interest Registry’s .org registry contract, which had limited PIR to 10% annual increases.

Namecheap used ICANN’s own Independent Review Process accountability mechanism to challenge this decision and won, kinda, in 2022.

The IRP panel found ICANN had breached its bylaws and issued “recommendations” such as commissioning an economic report into price caps, deciding if price caps should return, and if so then talking to the registries about bringing them back.

When there’d been little action by early 2024, Namecheap sued to get the backing of the court for the IRP decision. It was successful, with the court ruling this February that the IRP findings were valid.

In the meantime, ICANN had obtained its economist’s report and passed a resolution stating that it should not bring price caps back to the two registry contracts.

But Namecheap had a final crack at getting the court to force ICANN into price cap. In a motion this April, it asked the court to instruct ICANN to “approach the registry operators for .ORG and .INFO to agree to some form of price control”.

The court didn’t buy its arguments, however, last week denying Namecheap’s requests on the grounds that ICANN had in fact considered the IRP panel’s recommendations:

Namecheap provides evidence that ICANN in fact did consider the Panel’s recommendations, and thus Plaintiff admits that ICANN did not reject any of the Panel’s findings, so as correctly stated by ICANN, “there is nothing for this Court to enforce.”

In the six years since the price caps were lifted, non-profit PIR has not raised .org prices, while for-profit Identity Digital has raised .info prices every year, from $10.84 in 2019 to $19 today.

Registrar shamed for alleged crypto abuse neglect

ICANN has given a warning to Malaysian registrar WebNic, claiming that it has turned a blind eye to abuse reports in breach of new Registrar Accreditation Agreement rules.

ICANN Compliance says the company, a subsidiary of Kuala Lumpur-based Qinetics, failed to take action to resolve abuse reports made against several domains it manages.

Online reports and databases suggest the names in question were used in phishing attacks attempting to steal cryptocurrency wallet credentials.

Compliance said it “has observed a concerning pattern regarding DNS Abuse mitigation”, saying WebNic continually drags its feet on responding to abuse reports, often only taking action after ICANN gets involved.

The breach notice adds:

The Registrar frequently issued repeated requests for evidence to abuse reporters – even when the original reports appeared actionable – and failed to fully consider information or clarifications provided by the abuse reporter, ICANN or otherwise reasonably accessible to the Registrar. In other cases, the Registrar requested evidence from the abuse reporters that did not appear to be relevant to the reported activity, causing additional delays.

WebNic is not a young, fly-by-night registrar. It’s been around a quarter century and has over 800,000 domains under management just in the gTLDs. Its parent also offers registry back-end services.

The company has until August 19 to make Compliance happy or risk termination proceedings.