• Archive for February, 2009

    Interesting Article on CircleID

    February 5, 2009 // No Comments »

    After reading the highly intriguing article by John Levine, “ICANN Blows $4.6 Million in Stock Market“, posted on February 3rd, 2009 at CircleID, I simply have to ask how and why can something like this happen. Considering that ICANN is a non-for-profit foundation, shouldn’t they be ever more conservative and detail-oriented with the funds they receive? Its simply amazing that ICANN would take a “conservative” reserve fund and go rolling the dice in the stock market, which by its nature is risky.

    Taking a closer look at the DashBoard that John refers to in his post, I found it interesting to see such large variances between what ICANN budgeted and their actuals. Again, for a supposedly “conservative” entity, it is really strange to see such discrepancies. I would love to hear their explanations as to why they were so far off. Additionally, even the revenue source breakdown is odd and unexpected. ICANN is reporting the actual registrar revenue is MORE than budgeted, while at the same time actual registry revenue is LESS than projected.

    I was always under the impression that the registrys’ contributions toward ICANN was dependent on the number of gTLDs registered worldwide in a given month or quarter. Thus, one would assume the variance between actual and budgeted on the registry side should be equal to the variance on the registrar revenue side. Am I wrong to make this assumption?

    Posted in Domains, General