ICANN's revenues under the revised agreement drop 61%, VeriSign's only 4%
More numbers (see attached spreadsheet for the actual calculations)... According to Webhosting.info, as of 02/13/2006, there were 47,576,292 registered .COM domain names (http://www.webhosting.info/registries/reports/domains/COM/). Assuming a very conservative 10% yearly increase in the total number of .COM domains (which is significantly below the current growth rate), here are some revenue figures for ICANN under the First Proposed .COM Agreement versus the Revised Proposed .COM Agreement: ----------------------------------------- ICANN's 2006 through 2012 Total Cumulative Revenue under the First Proposed .COM Agreement: Lump Sum Payment = $1,250,000 Transaction Fee = $220,091,995 Fixed Registry Fee = $2,580,882 Total = $223,922,877 ICANN's 2006 through 2012 Total Cumulative Revenue under the Revised Proposed .COM Agreement: Lump Sum Payment = $625,000 Fixed Registry Fee = $86,000,000 Total = $86,625,000 ----------------------------------------- As the above figures show, ICANN has negotiated a $137,297,877 decrease in revenues for themselves, or a 61.3% difference. Extending the data out until the year 2020 and assuming the Agreement will be negotiated under similar terms in the future, here are the figures: ----------------------------------------- ICANN's 2006 through 2020 Total Cumulative Revenue under the First Proposed .COM Agreement: Lump Sum Payment = $1,250,000 Transaction Fee = $750,218,219 Fixed Registry Fee = $8,945,950 Total = $760,414,169 ICANN's 2006 through 2020 Total Cumulative Revenue under the Revised Proposed .COM Agreement: Lump Sum Payment = $625,000 Fixed Registry Fee = $230,000,000 Total = $230,625,000 ----------------------------------------- As the above figures show, ICANN has negotiated a $529,789,169 decrease in revenues for themselves, or a 69.7% difference. According to the figures shown in a previous comment, http://forum.icann.org/lists/revised-settlement/msg00037.html, ICANN was only able to a negotiate a paltry 4% savings in cost to registrars (and then presumably consumers) over the length of the Agreement. At the same time, VeriSign was able to negotiate a substantial 61% decrease in fees paid to ICANN over the length of the Agreement. -- jeff field 952-848-7626 408-228-5202 fax jfield@xxxxxxxxx <mailto:jfield@xxxxxxxxx> ----- Attachment:
Proposed COM Agreement ICANN.xls |