Domain Company, GoDaddy.com, Petitions Government In ICANN Controversy

Updated on Monday, March 13th, 2006 at 11:43 am

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Scottsdale, Arizona - (Cheap Web Hosting Directory) - March 13, 2006 - Domain registrar company GoDaddy.com is petitioning the U.S. Department ofCommerce to deny final approval of the controversial .COM Registry Agreementwith VeriSign.

Representing a majorityof .COM registrars, GoDaddy.com wants the deal sent back to the Internet Corporation forAssigned Names and Numbers (ICANN) to be reworked in a way that is fair andequitable. ICANN, the governing body of the Internet, has been working to settle alawsuit with VeriSign, which manages .COM and .NET domain name extensions.

The proposed settlement agreement would allow VeriSign to raise registrationfees by seven percent annually in four of the next six years withoutcost-based justification. It also would give VeriSign control of the .COMregistry indefinitely, as it extends VeriSign’s ”presumptive renewal” rightwhen the proposed settlement agreement expires in 2012. The new .COM registry agreement still requires approval from the U.S.Department of Commerce (DOC).

BobParsons, CEO and Founder of GoDaddy.com commented, ”We will not sit back without a fight. This deal is outrageous. It’smonopolistic because it locks in price hikes and eliminates good old-fashioncompetition. It’s a mistake Secretary (Carlos) Gutierrez can stop.”

The DOC’s mission is to foster, promote and develop the United States’foreign and domestic commerce. Two of its listed goals are to promotebusiness policies and growth and to strengthen the international economicposition of the United States.

Mr. Parsons added, ”This deal would give VeriSign a monopoly in the .COMregistry — the source of its highest profit margin. The .COM price should begoing down, not up. The fact ICANN ignored an avalanche of negative commentson this proposed agreement says it all.”

In a letter sent to DOC Secretary Gutierrez, GoDaddy.comdetailed why the agreement should be rejected and returned to ICANN, citing, ”absolutely no sense for the community, or stability andsecurity as a whole.” In addition to urging Secretary Gutierrez to reject theagreement, GoDaddy.com has joined a number of other registrars in signing ajoint letter to the DOC and filing a Motion for Reconsideration.

The ICANN board voted on its recommendation to the DOC just one week afterthe close of the public comment period and without modifications to any of theraised issues. GoDaddy.com contends that ICANN is acting clearly outside themajority of the affected community’s expectations and not in line with theirown bylaws. Some members of Congress have also expressed concerns with the situation.

Mr. Parsons encourages all Americans to write to their Representatives andSenators and voice their opposition to the agreement. He is helping tofacilitate this by providing a form letter people can send to their electedofficials.