GoDaddy.com, the No. 1 registrar of domain names worldwide, is outraged by the Internet Corporation for Assigned Names and Numbers' (ICANN) 9-5 vote last night to approve a new .COM registry agreement with VeriSign. The agreement grants VeriSign uncontested price increases and perpetual monopoly power, which will lead to exorbitant profits at the expense of the Internet community.

ICANN, the governing body of the Internet, has been working to settle a lawsuit with VeriSign, which manages .COM and .NET domain name extensions. The proposed settlement agreement would allow VeriSign to raise registration fees by seven percent annually in four of the next six years without cost-based justification. It also would give VeriSign control of the .COM registry indefinitely, as it extends VeriSign's "presumptive renewal" right when the proposed settlement agreement expires in 2012.

"We are bitterly disappointed, but we're not giving up yet. It's simply a bad deal for the industry and registrants everywhere," said Bob Parsons, CEO and Founder of GoDaddy.com. "The fact that this monopolistic deal was approved is a loud signal that major changes are needed at ICANN."

GoDaddy.com joined other top registrars, representing approximately 57 percent of all registered .COM names, in petitioning ICANN to address concerns with the proposed settlement. The ICANN board vote came only one week after the close of the public comment period, and without modifications to any of the raised issues.

According to a Credit Suisse(R) analyst, the .COM registry is VeriSign's highest margin business. One forecast puts the net present value of just the price increases in this agreement alone at about $1 billion.

"I personally don't have a problem with VeriSign making a fair profit, but that's not what we're talking about here," Parsons said. "I have a big problem with VeriSign's windfall profits being accomplished outside of the free enterprise system in which the rest of us must compete. I find it particularly outrageous that because of the special privilege VeriSign wants to be granted, all of us who use the Internet may be denied the economies and innovation that come along as a natural part of our competitive environment."

The new .COM registry agreement still requires approval from the U.S. Department of Commerce. The controversial agreement has also prompted lawsuits by the Coalition for ICANN Transparency and the World Association of Domain Name Developers. Additionally, some members of Congress have already expressed concerns with the deal.

Parsons encourages all Americans to write to their Representatives and Senators and voice their opposition to the agreement. He is helping to facilitate this by providing a form letter people can send to their elected officials. For a copy of the action letter and more on Parsons' views, visit www.BobParsons.com.

For information on Go Daddy(R) products and services, visit www.GoDaddy.com.