UPDATED: Mike Mann Just Saved Almost $2 Million Dollars With Verisign’s No Rate Increase .Com Contract
(George Kirikos just pointed out that I did not take into account the compouding of the Verisign rate increase and he is correct so I have correct the math and the numbers)
Mike Mann owns around 330,000 domain names.
Based on Verisign’s contract renewal to operate the .Com registry over the next six years, without being able to raise their prices 7% in 4 out of 6 years, according to our calculation Mike Mann just saved almost $2 Million dollars.
The current rate for a .Com registration or renewal is $7.85
Here is what the annual increase would have amounted to if Verisign would have been allowed to increase the wholesale price, the amount of the (increase) and the annual savings to Mike now that the price is locked in at $7.85:
Year 1 increase: $8.40 (.55) $181,500
Year 2 Increase $8.99 (1.14) $376,200
Year 3 Increase $9.62 (1.77) $584,100
Year 4 Increase $10.29 (2.44) $805,000
Here is the savings that every domain holder will receive for each 1,000 domains they own:
Year 1 $550
Year 2 $1,114
Year 3 $1,777
Year 4 $2,44o
Total savings over the 4 years is:
Total savings = $0.55 + $1.14 + $1.77 + $2.44 = $5.90
So for every 1,000 domains owned domain holders just saved $5,900
We at MostWantedDomains.com just saved over $400,000.
All domainers should celebrate this early Christmas present and consider sending a small percentage of their savings over to the Internet Commerce Association which is the only group to publicly weigh in on behalf of .com registrants demanding that Commerce and Justice not renew the contract with the automatic price increases.