4 ms·

Also rent seeking by namecheap. But agreed. It’s parasitic.

by dismalpedigree 3y ago

deleted 3y ago
[deleted]
ksec 3y ago
>Also rent seeking by namecheap What has it got to do with namecheap when they dont own the registry of .COM or .XYZ?
- MuffinFlavored 3y ago
  I'm not saying they are doing anything right or wrong but they are probably a profitable company who could have theoretically spared to absorb some (or all) of it without passing it through to their customers Instead, they are passing it on 100%.
  - Vanclief 3y ago
    Why should namecheap subsidize the cost? That makes 0 sense and I say it as a namecheap customer. I don't see how its fair for them to cover the cost and I don't want them to do so because I am a happy customer and don't want them to go out of business or lower their product quality.
    - MuffinFlavored 3y ago
      > Why should namecheap subsidize the cost Why are they entitled to have their profit margins protected no matter what? https://en.wikipedia.org/wiki/Wage-price_spiral https://en.wikipedia.org/wiki/Wage-price_spiral https://en.wikipedia.org/wiki/Hyperinflation https://en.wikipedia.org/wiki/Hyperinflation Certain businesses get made obsolete over time. Namecheap decided to pass along 100% of the cost, what if their competitor passes along 50%?
      - tedivm 3y ago
        Namecheap is passing along 209% of their cost. They're raising prices on their cut more than Verisign is on theirs.
    - ksec 3y ago
      Precisely, Not to defend Namecheap but we are in a different time. I don't know everyone's age on HN. But If they were just 40s, they would have lived in a zero interest era for 15 years and nearly all of their professional lives. We are having inflation, cost of money going up. The margin that used to work for Namecheap may no longer works for them now. And you have plenty of option outside of NameCheap. And again, none of this could be called rent seeking. Of course there is an argument in US and Tech today ( as shown in many of the comment ) that margin is somehow evil. And should be as low as possible. I guess that is a different argument.
  - deleted 3y ago
    [deleted]
  - tedivm 3y ago
    Verisign is adding $0.62, while Namecheap is increasing their cut by $0.68. They're passing it through by 209%, not 100%.
- CameronNemo 3y ago
  I think because the Verisign price increase is only 7%, and presumably namecheap has a margin on top of that. So increasing the price by 9% and blaming the registry could be considered unreasonable.
  - skilled 3y ago
    But isn't the 7% already agreed upon in the wholesale agreement? https://itp.cdn.icann.org/en/files/registry-agreements/com/com-fees-01-09-2023-en.pdf https://itp.cdn.icann.org/en/files/registry-agreements/com/c... I was under the impression that the other $6 comes from Namecheap, no? Maybe I misunderstood it.
    - CameronNemo 3y ago
      This comment breaks it down. Namecheap is using the opportunity to sneakily increase their markup, which is a bit underhanded IMO. https://news.ycombinator.com/item?id=37213773 https://news.ycombinator.com/item?id=37213773
- meltedcapacitor 3y ago
  They use the occasion to get more commission, by encouraging renewals further in the future to "lock" the current price. Presumably they get the full 10 years worth of commission today when a .com is renewed for that long.
midasuni 3y ago
Can you not simply move your registration to another provider (Amazon etc)

Also rent seeking by namecheap. But agreed. It’s parasitic.

deleted 3y ago

[deleted]

ksec 3y ago

>Also rent seeking by namecheap What has it got to do with namecheap when they dont own the registry of .COM or .XYZ?

MuffinFlavored 3y ago
I'm not saying they are doing anything right or wrong but they are probably a profitable company who could have theoretically spared to absorb some (or all) of it without passing it through to their customers Instead, they are passing it on 100%.
- Vanclief 3y ago
  Why should namecheap subsidize the cost? That makes 0 sense and I say it as a namecheap customer. I don't see how its fair for them to cover the cost and I don't want them to do so because I am a happy customer and don't want them to go out of business or lower their product quality.
  - MuffinFlavored 3y ago
    > Why should namecheap subsidize the cost Why are they entitled to have their profit margins protected no matter what? https://en.wikipedia.org/wiki/Wage-price_spiral https://en.wikipedia.org/wiki/Wage-price_spiral https://en.wikipedia.org/wiki/Hyperinflation https://en.wikipedia.org/wiki/Hyperinflation Certain businesses get made obsolete over time. Namecheap decided to pass along 100% of the cost, what if their competitor passes along 50%?
    - tedivm 3y ago
      Namecheap is passing along 209% of their cost. They're raising prices on their cut more than Verisign is on theirs.
  - ksec 3y ago
    Precisely, Not to defend Namecheap but we are in a different time. I don't know everyone's age on HN. But If they were just 40s, they would have lived in a zero interest era for 15 years and nearly all of their professional lives. We are having inflation, cost of money going up. The margin that used to work for Namecheap may no longer works for them now. And you have plenty of option outside of NameCheap. And again, none of this could be called rent seeking. Of course there is an argument in US and Tech today ( as shown in many of the comment ) that margin is somehow evil. And should be as low as possible. I guess that is a different argument.
- deleted 3y ago
  [deleted]
- tedivm 3y ago
  Verisign is adding $0.62, while Namecheap is increasing their cut by $0.68. They're passing it through by 209%, not 100%.
CameronNemo 3y ago
I think because the Verisign price increase is only 7%, and presumably namecheap has a margin on top of that. So increasing the price by 9% and blaming the registry could be considered unreasonable.
- skilled 3y ago
  But isn't the 7% already agreed upon in the wholesale agreement? https://itp.cdn.icann.org/en/files/registry-agreements/com/com-fees-01-09-2023-en.pdf https://itp.cdn.icann.org/en/files/registry-agreements/com/c... I was under the impression that the other $6 comes from Namecheap, no? Maybe I misunderstood it.
  - CameronNemo 3y ago
    This comment breaks it down. Namecheap is using the opportunity to sneakily increase their markup, which is a bit underhanded IMO. https://news.ycombinator.com/item?id=37213773 https://news.ycombinator.com/item?id=37213773
meltedcapacitor 3y ago
They use the occasion to get more commission, by encouraging renewals further in the future to "lock" the current price. Presumably they get the full 10 years worth of commission today when a .com is renewed for that long.

midasuni 3y ago

Can you not simply move your registration to another provider (Amazon etc)