[discuss] Re: Boycot Register.com to:Re: Register.com as Testbed & T&C's (Long)

[william@dso.net (William X. Walsh)]

On Mon, 7 Jun 1999 18:11:53 -0700, Kent Crispin <kent@SONGBIRD.COM>
wrote:

>On Tue, Jun 08, 1999 at 12:03:06AM +0000, William X. Walsh wrote:
>> NSI benefits from the prepay rule, because the vast majority of
>> registrations are processed by third parties(ISPs) on behalf of their
>> customers, and they are not about to tie up their capital in $70
>> registration fees paid in advance.
>
>There are two NSI's -- the registrar, and the registry,and, given
>that they are properly separated (BIG assumption), there is no
>competitive advantage one way or another for the prepayment rule.

There is no motive for NSI to do a prepayment system for their own
service.  But they have forced the registrars to do so.

And you say this is not a competitive advantage??????


>ISPs will either become registrars themselves (so they can pay only
>$9 to register a name) or they will go to the least expensive
>registrar.  There is no reason whatsoever to remain loyal to NSI.
>In fact, it is the ISPs who are *most* likely to jump ship -- by
>their nature they will prefer the registrars with the fewest frills,
>so they can achieve economies of scale...

Do you really think that the registrars will get into a price war?
Come on.

ISPs will go where they get certain things. One is that they do NOT
need to tie up an escrow account and take financial risks on their
customers domain registration fees.  To ask an ISP to do that is
crazy.  NSI knows this. 

ISPs will not place themselves in a financial spot like that.  ISPs
will stay at NSI.



--
William X. Walsh
General Manager, DSo Internet Services
Email: william@dso.net  Fax:(209) 671-7934

The Law is not your mommy or daddy to go crying
to every time you have something to whimper about.