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Old 31st July 2006, 07:31 AM
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Domain "warehousing"

DCG Posted in his forum about 74k .eu domains "frozen" due to investigation of registrars etc ( http://www.dnforum.com/thread168867.html )
A part of the thread mentions what is known as domain warehousing.

anyone here worried this is the impression some domainers/end users get/will get of the idn market? as i dont have stats but i think it is safe to say alot of premium idn's in all languages are owned by members of idnforums



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Source: http://www.contractoruk.com/news/002780.html

74,000 .eu domain names 'out of service'

The Belgium-based regulator set up to oversee Europe’s top level domain has suspended 74,000 .eu domain names and sued 400 registrars.

EURid says it “firmly” reacted to a syndicate of registrars who systematically snapped up domain names to sell them on at a premium.

Such a process – known in the domain name business as ‘warehousing’ - threatens to undermine the value of .eu, the watchdog said.

“In this case we are convinced that the domain name holders of the 74 000 .eu names are acting as a front for a number of registrars,” said its legal manager, Herman Sobrie.

“The domain name holders and the registrars can be regarded as one and the same. Since registrars should only register domain names for existing customers and not ‘warehouse’ the names in order to resell them at a higher price, this is clearly in breach of the registrar contract.”

Three limited companies stand accused of the “abusive behaviour,” separate to a handful of other domain name holders who been stripped of .eu after failing to prove they were inside Europe.

When the system is abused “there is a risk that the perceived value of .eu will decrease, not only for the almost two million legitimate holders of .eu domain names but also for all fair registrars,” EURid said.

It warned it wants to act “firmly” with any .eu cheats – as far as the EC regulations allow – and will continue to monitor the whereabouts of domain name holders.

It will also take steps to verify that all accredited registrars are acting in the best interest of the end user in accordance with the terms and conditions of their contract with EURid.

The outcome of all the suspended domain names now awaits a court decision, with a view that the regualtor will later make the .eu names available for registration once again.





Jul 31, 2006
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Last edited by 555; 31st July 2006 at 07:37 AM..
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Old 31st July 2006, 07:46 AM
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Re: Domain "warehousing"

Not the same at all.

These guys warehousing had set up companies/ registrars with the sole purpose of beating eurid and getting past the landrush.

Many thought they had but it now looks as if eurid has some teeth.

The idn "landrush" has been a simple slow build up as more and more people realised the potential. Somewhat like the .commers of the late nineties.

The only thing I think you will be hearing next year is "why didn't we get there earlier. "
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Old 31st July 2006, 07:55 AM
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Re: Domain "warehousing"

Wot, sorry i didnt explain myself exactly.

I understand what they did etc, never meant to say it is even simular to idn market.

What i want to get your opinions on is if the fact that alot (dont know if can say most) premium idn's are regged by say 100 people, is not a problem to the idn market as it makes acquiring premium/good idn's hard on end users (and domainers but im less worried for that).

- you can say "who said" that an end user or anyone for that matter need to be able to reg premium domains/idn's

but when a small group holds most of a market , or the "better" part of a market, this might bring/hold its value down? or you can also say that this same fact makes/will make the value climb up as good/premium idn's are out of reach
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Old 31st July 2006, 08:07 AM
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Re: Domain "warehousing"

Quote:
Originally Posted by 261275
Wot, sorry i didnt explain myself exactly.

I understand what they did etc, never meant to say it is even simular to idn market.

What i want to get your opinions on is if the fact that alot (dont know if can say most) premium idn's are regged by say 100 people, is not a problem to the idn market as it makes acquiring premium/good idn's hard on end users (and domainers but im less worried for that).

- you can say "who said" that an end user or anyone for that matter need to be able to reg premium domains/idn's

but when a small group holds most of a market , or the "better" part of a market, this might bring/hold its value down? or you can also say that this same fact makes/will make the value climb up as good/premium idn's are out of reach
It will be tough.... There will be equal pull on each side... We can command prices of 1 million for each IDN but whether people will pay that we'll have to just wait and see.

After the negotiating between buyer and seller there will then possibly be a price that both parties can agree on.
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Old 31st July 2006, 08:12 AM
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Re: Domain "warehousing"

IMO i would lean towards the 2nd option - Will do good for the market as at this point idn's are still far from ascii (quality of reg fee availabilty) so end users and new to idn domainers still can find good domains and wont apart from them for cheap (hopefully) which obviously will make the premium domains go for...premium prices.


(we can always argue XYZ or лаш = Premium or not..but thats a diffrent story for a diffrent day)
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