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Networksolutions.

MARINA DEL REY, Calif.: Registrars and ICANN have negotiated a reduction in the transaction fees paid for each domain name registration. It is the second such reduction in two years, which means a drop from US$0.25 to US$0.20 cents.

“This reduction was achieved through discussion and negotiation with Registrars and it demonstrates the effectiveness of the ICANN model,” said Dr Paul Twomey, President and CEO of ICANN.

“Registrars are encouraged by ICANN’s willingness to consider our position on issues such as revenue projections and we look forward to continuing our cooperative relationship going forward,” said Jon Nevett, Chair of the Registrar Constituency. The constituency provides input and advice to ICANN’s Generic Names Supporting Organization.

Transaction fees, which are paid to ICANN for each domain name registered, were set at US$0.25 per year per registration. The fees were cut to US$0.22 last year and this reduction negotiated for the 2007-08 budget pegs it at US$0.20.

The Accredited Registrars — who have a say in the revenue structure — took less than a week to grant their approval. So far, more than 540 registrars out of over 880 have expressed their support. These registrars account for more than 70% of fees paid by registrars to ICANN (registrar approval requires two-thirds support) and additional support is expected which will push this number higher.

“The collaboration we have seen on this issue will be showcased again in coming months as together we examine ways to provide greater protection for registrants through a new data escrow program and improvements to the contract between ICANN and its accredited registrars,” Dr Twomey added.

A workshop on Registrant protection was held at ICANN’s recent meeting held in San Juan, Puerto Rico.

 domain name works like an address forwarding service.All of your Web site content sits on a computer with a unique address. This is called an IP address. An IP address is made up of a series of numbers, such as 123.23.234.45. Your domain name directs visitors to your site using this IP address.

We use domain names instead of IP addresses because most people find it easier to remember a name rather than a series of numbers.

The domain name system (DNS) is the way that Internet domain names are located and translated into Internet Protocol addresses. A domain name is a meaningful and easy-to-remember “handle” for an Internet address. |
 
Because maintaining a central list of domain name/IP address correspondences would be impractical, the lists of domain names and IP addresses are distributed throughout the Internet in a hierarchy of authority. There is probably a DNS server within close geographic proximity to your access provider that maps the domain names in your Internet requests or forwards them to other servers in the Internet.