ICANN lifts .net price cap

VeriSign was recently granted the right to keep managing the .net top level domain by the Internet Corporation for Assigned Names and Numbers (ICANN). However, one of the agreements between ICANN and VeriSign is the removal of the price cap on .net domain names. This means that in 2007 VeriSign will be able to charge higher fees on .net domain names.

ICANN used to cap .net domain fees at either $6 or $4.25, depending on the type of address. Under the new, six-year VeriSign contract, the cap is now $4.25 and that cap will remain in effect until Dec. 31, 2006, after which time all price restrictions expire.

A VeriSign spokesman told the press that it's unlikely to raise prices, he claimed VeriSign would only boost prices in order to invest in its infrastructure. They have also agreed to give six months' notice in advance of any price change. More details over at CNET