VeriSign Quarterly Reports Indicate Legacy “.net” and “.org” Future Not So Wonderful

PALM BEACH, FL – Each quarter, VeriSign, Inc. (VRSN), releases its “THE DOMAIN NAME INDUSTRY BRIEF” market report, highlighting the growth of the domain name system as well as the individual growth of name registration, in numbers, for various extensions including their own “.com”, and “.net” domain names. These reports also include other legacy extensions such as Public Interest Registry’s “.org” and leading country-code “ccTLDs.” Not surprisingly, ccTLDs continue to grow with their country’s growing use of the Internet. If you listened to the podcast with Michael Castello I wrote about yesterday, you’ll remember hearing that “ccTLDs.” are, according to him, the next best thing to a “.com” since they are very authoritative and common in their own markets.

What I found most interesting about these domain name industry briefs, is in each report, the “growth” or “increase” of both “.com” and “.net” domain name numbers, quarter after quarter, are combined. The latest report includes the following statement, with each report including similar worded facts and figures:

The .com and .net TLDs had a combined total of 156.1 million domain name registrations in the domain name base at the end of the second quarter of 2019, an increase of 1.3 million domain name registrations, or 0.9 percent, compared to the first quarter of 2019. The .com and .net TLDs had a combined increase of 6.4 million domain name registrations, or 4.3 percent, year over year. As of June 30, 2019, the .com domain name base totaled 142.5 million domain name registrations, while the .net domain name base totaled 13.6 million domain name registrations. New .com and .net domain name registrations totaled 10.3 million at the end of the second quarter of 2019, compared to 9.6 million domain name registrations at the end of the second quarter of 2018.
THE DOMAIN NAME INDUSTRY BRIEF VOLUME 16 – ISSUE 3 – AUGUST 2019

None of the reports detailed how “.net” has grown [or shrank] individually, aside from “.com”, and with no surprise, looking at all of the reports together – while “.com” continues to increase in overall registrations, each quarter, “.net” and close legacy competitor “.org” both either shrink, or hold their ground, till following quarters, where they again shrink in overall registrations. Worth mentioning is that indicators exist which suggest that “.org” is significantly stronger than its “.net” counterpart at holding its own.

The fact that these legacy domain names are shrinking in total registrations is not surprising since there are so many other alternative domain names now that “.net” and “.org”, once two of very few alternative options, are less than desirable when compared to a slew of other choices available. This also indicates that while these legacy domain names remain very popular, the diversification of the domain name system and the growth of both “ccTLDs” and “nGTLDs”, are hurting these legacy extensions, while “.com” remains, without question, the most desirable leader of the pack, regardless of market or region.