Verisign Raising Prices of .COM/.NET in October 2007

Verisign has announced today that they will be raising prices of .COM/.NET in October 2007.

This is a huge deal for any registrar that sells names, as it is the first price change since 1999. Additionally, those of you with 100s or 1000s of names, your ROI margins just shrunk!

This 7% increase means that Verisign will make an additional $27 million per year.

MOUNTAIN VIEW, CA — Apr 5, 2007 — VeriSign, Inc. (NasdaqGS:VRSN - News), the leading provider of digital infrastructure for the networked world, today announced, effective Oct. 15, 2007, an increase in registry domain name fees for .com and .net, per its agreements with ICANN.

VeriSign announced that as of Oct. 15, 2007, the registry fee for .com domain names will increase from $6.00 to $6.42 and that the registry fee for .net domain names will increase, from $3.50 to $3.85. This will be the first registry fee increase for .com and .net since the fee structure was put in place by ICANN in 1999.

Since 1999, the volume of Internet traffic and domain name system (DNS) queries on VeriSign’s global infrastructure has increased from an average of 1 billion queries per day in the year 2000 to nearly 30 billion queries per day today. Traffic volume continues to increase with the emergence of consumer-driven services, the surge in web-connected wireless devices and the proliferation of DNS-centric technologies and services. In addition, the .com and .net infrastructures are continually being fortified and scaled to defend against increasingly sophisticated cyber attacks. Security exploits have grown by 700 percent since 2000 and are projected to increase by 50 percent in 2007 and 2008.

To address the increase in both DNS volume and cyber attacks, VeriSign recently announced a major initiative entitled Project Titan to expand the capacity of its global Internet infrastructure by ten times by the year 2010. Under Project Titan, over the next three years VeriSign will increase its daily DNS query capacity from 400 billion queries a day to over 4 trillion queries a day and will increase the aggregate network bandwidth of its primary resolution centers around the world from over 20 gigabits per second (Gbps) to greater than 200 Gbps per second. VeriSign will also expand its deployment of Regional Internet Resolution Sites to over 100 locations across the globe by 2010.

Originally posted on Thursday, April 5th, 2007
Domains, Verisign.