[registrars] Regarding transition to market forces

[Mitchell, Champ]

Folks,
 
Discussion of pricing among competitors, even in the most general terms, makes me very uncomfortable. We have never done so and  it is not an appropriate topic for this forum. I don't mean to sound stodgy, but I spent a lot of years as an antitrust lawyer and I guess I am just sensitive to the subject. 
 
On the other hand, discussing the costs being imposed upon us and thereby on the consuming public by monopolists with the consent of and under a monopoly granted both directly and indirectly by a Department of the United States Government, and in addition by monopolies that remain subject to the oversight of that Department, is not only appropriate, but is our obligation to consumers and the right of every citizen of this country. 
 
So with all respect, I urge that we limit our comments on economics to the unjustified increases in registry fees orchestrated by these two monopolist acting in concert. Thanks, Champ

________________________________

From: owner-registrars at gnso.icann.org on behalf of Tom C
Sent: Thu 11/24/2005 10:48 AM
To: John Berryhill
Cc: registrars at gnso.icann.org
Subject: Re: [registrars] Regarding transition to market forces



My question is, at what point do we stop allowing market forces to
continue driving prices down? Let's be honest, consumers are not
demanding  lower prices.  It is Registrars, and web hosts, who have made
the decision to compete on price, rather than on service. With current
prices at $1.99, $2.99, $5.99 and $6.49, I believe we are doing far more
damage to our industry with lower pricing than with higher.

Market forces do not always lead to lower prices.  The auto industry,
home prices, gas prices, real estate and coffee are just a few
examples.  My grande double shot, extra hot, vanilla latte at Starbucks
cost more this morning than a domain name at some Registrars, and it
wasn't good for a year.

-Tom

John Berryhill wrote:

>>I am not aware of market forces leading to an increase.  I certainly
>>haven't seen that amongst registrars where market forces do apply.
>>   
>>
>
>...which, Bruce, is precisely what is stated in the Q&A 1.4: "Prices have
>dropped from US$50 per year for a .COM domain name to as low as under US$10
>since ICANN introduced registry and registrar competition in 1999"
>
>Uhmmm, gee, so in the competitive registrar market, prices dropped by a
>factor of five, but "market forces" dictate a 7% per year increase
>henceforth at the registry?  And this is despite the fact that .com is a
>"thin" registry.  So here our anonymous ICANNite is basically saying that
>the registrars maintain more data and provide more customer service than the
>registry on margins of less than four dollars.
>
>This is not a "Q&A", this is a case study in dissociative identity disorder.
>One shudders to imagine the childhood trauma responsible for this
>manifestation, but the author is in need of professional help before the
>apparent inner tension leads to physical problems.
>
>These are words intended to obfuscate, not illuminate.
>
>
>
> 
>



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