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Dot Net Domain Prices Going Up

Verisign's quarterly earnings call last week does not exactly paint the rosiest of pictures for the registrar.

Verisign ended the second quarter with 144.3 million .com and .net domain name registrations in the domain name base, a 0.8 percent increase from the end of the second quarter of 2016, and a net increase of 0.68 million during the second quarter of 2017.

In the second quarter, Verisign processed 9.2 million new domain name registrations for .com and .net, as compared to 8.6 million for the same quarter in 2016.

The final .com and .net renewal rate for the first quarter of 2017 was 72.5 percent compared with 74.4 percent for the same quarter in 2016. Keep in mind, however, that actual renewal rates are not fully measurable until 45 days after the end of the quarter.

Verisign also announced an increase in the annual fee (which goes into effect next year on Feb. 1, 2018) for a .net domain name registration from $8.20 to $9.02 - a price increase of 10 percent. Verisign, of course, increases the prices 10 percent every year and has the contractual right to do so under through 2023 under its recently-renewed contract. This means the wholesale price of a .net registration could be $14.52 in 2023.

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