Is it possible that it's someone else registering the domain but using GoDaddy's privacy package to hide their registration details? I think it's domains by pro

Is it possible that it's someone else registering the domain but using GoDaddy's privacy package to hide their registration details? I think it's domains by proxy or something along those lines. Also, for every registration don't registrars have to pay the ICANN fees for each domain? At almost $10/domain it would seem unwise to automatically register any domain people are searching for as it could end up costing a lot of money in fees. Disclosure: I work at GoDaddy, but I do not work on domains, so I have no knowledge about that area of the business.