GoDaddy Loses Thousands of Domains After SOPA Opinions; May be Delaying Transfers Purposely
December 27, 2011 4:24 AM
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Former customers and general Internet users are watching sites like ByeDaddy.org to track who has left GoDaddy and who has stayed
GoDaddy recently lost thousands of domains after showing its support for the
Stop Online Piracy Act (SOPA)
, and now, customers and competitors are accusing the service of delaying domain transfers in an effort to hold on to what business it has left.
, an Internet domain registrar and Web hosting company, caught a lot of heat recently after openly supporting SOPA. SOPA, which was introduced in October 2011, is a proposed bill that would allow the U.S. Department of Justice and copyright holders to restrict access to sites accused of enabling copyright infringement, and would also block payment processors and online advertisers from conducting business with the sites. All of this can be done without due process.
GoDaddy received a lot of criticism after revealing its stance on the controversial bill, and attempted to switch sides in an effort to save itself. However, this tactic didn't work. Last Thursday, GoDaddy lost over 15,000 domains and then another 21,054 on Friday. By early Monday morning, GoDaddy had over 37,000 domain transfers.
"Fighting online piracy is of the utmost importance, which is why Go Daddy has been working to help craft revisions to this legislation -- but we can clearly do better," said Warren Adelman, GoDaddy CEO, in an effort to reverse the company's previous supportive opinion of SOPA. "It's very important that all Internet stakeholders work together on this. Getting right is worth the wait. Go Daddy will support it when and if the Internet community supports it."
Some Internet users have not only transferred their domains, but also started creating and using apps like ByeDaddy.org to see who has a domain with GoDaddy. The No. 1 searched domain is Wikipedia.org, which still uses GoDaddy for the time being.
To add insult to injury, GoDaddy customers that are trying to transfer their domains have complained about delays. GoDaddy competitor Namecheap, which is also
a domain registrar
, even accused the service of delaying domain transfers to make it more difficult for users to leave. According to Namecheap, GoDaddy is "returning incomplete WHOIS information" as part of its transfer process, which violates ICANN rules.
"We suspect that this competitor is thwarting efforts to transfer domains away from them," said Tamar Weinberg, Namecheap Community Manager. "We at Namecheap believe that this action speaks volumes about the impact that informed customers are having on GoDaddy's business."
Other domain registrar competitors, such as Hover, couldn't confirm if this was true or not. It could just be Namecheap trying to take advantage of GoDaddy's grim situation and steal customers, but you can't ignore a number of angry customers saying the same thing. According to
, it wouldn't be unlike GoDaddy to delay transfers in an attempt to keep customers around or even just tick them off.
If you're interested, keep an eye on who is still using GoDaddy
here at ByeDaddy
This article is over a month old, voting and posting comments is disabled
12/27/2011 5:17:19 PM
I'm not sure you understand how name registrations work, you have to pay a yearly fee, if you transfer away they no longer get to charge you that yearly fee.
Losing 100,000 domains or 0.2% of their subscribers may not be a huge deal, but the bad press doesn't help and it won't look good to have losses instead of growth.
There is only one way to tell companies that we don't support their actions, and that's by voting with our money, as insignificant as a single domain transfer may be, you won't get to 100% of them transfered away if you don't start with one.
I'll be transferring my domains.
12/27/2011 7:32:06 PM
Even the numbers given aren't an accurate representation of the effect on the business. Since they do a ton of business, they have to have some turn over for whatever reason. We need to look at the average number of domains transferred away on a daily basis over the course of the year to even see if there was a significant increase. An even better thing to look at would be market share before and after.
I do understand the way domain registrations work. Lets say you registered your domain for 1 year. You pay the registrar for 1 year of registry service, transfer after 6 months (this would be the average if people transfer away on the 29th... it is probably a bit longer than that because of the 60 day lock) and the registrar no longer has to provide the service you paid for since you requested someone else to do it. It's like renting a hotel room for a month, staying 2 weeks and then handing the keys back and walking away.
Also, check this out
"However, on the same day that 21,054 domains transferred away, 20,034 domains transferred in."
"Since December 21st, GoDaddy has had 130k new domains registered and 71k domains transferred in, compared with around 67k domains transferred out and 114k domains deleted, for a net gain of just over 20k domains."
It seems like Go Daddy's SOPA retraction was enough for most people, OR most people simply don't care. Add to that the fact that Go Daddy has already reversed its decision (which SHOULD be the goal of people transferring out... mission accomplished already), it seems pointless to transfer your domains and pay extra to another registrar when it won't change anything.
"What would I do? I'd shut it down and give the money back to the shareholders." -- Michael Dell, after being asked what to do with Apple Computer in 1997
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