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The Colombian government is accelerating a new round of bidding for the operating rights of the ".co" domain name, with an estimated transaction value of US$77 million.
The Colombian government is accelerating a new round of bidding for the operation rights of the ".co" domain name, with an estimated transaction value of US$77 million. Compared with the previous operator renewal dispute, this bidding is not only about the replacement of the operation rights, but also may affect the global positioning and value trend of the ".co" domain name.
.co domain name - market competition behind 2.3 million registrations
Since it was opened to the world in 2010, the ".co" domain name has attracted a large number of companies and entrepreneurs with its brevity and brand effect associated with "company". At present, the number of global ".co" domain name registrations has exceeded 2.3 million, including official short links of well-known brands such as Google (g.co) and Twitter (t.co).
However, despite the steady market demand, the growth rate of the ".co" domain name has slowed down in recent years compared to the peak period. This bidding is not only a business decision to replace the operator, but also a key step for the Colombian government to reposition the ".co" domain name market strategy.
Who will bid for $77 million?
Industry observers pointed out that the $77 million valuation set by the Colombian government is not low, which means that this bidding will mainly attract strong international domain name registrars. Neustar, which previously managed ".co", and industry giants Verisign and GoDaddy are all considered potential competitors.
After winning the operating rights of ".co" in 2010, Neustar invested a lot of resources in promotion, making it one of the most popular domain name suffixes in the world. However, the renewal negotiations in 2019 reached a deadlock, and the Colombian government finally decided not to renew the contract, but to re-open the tender. This means that if Neustar wants to continue to control ".co", it will face a new round of bidding pressure.
On the other hand, as the manager of ".com" and ".net", if Verisign can win the operating rights of ".co", it will undoubtedly further consolidate its dominant position in the domain name market. GoDaddy may want to take this opportunity to expand its registration service ecosystem and provide a richer selection of domain names.
Conclusion
The Colombian government has accelerated the bidding process, which means that the future of the ".co" domain name may usher in a new stage of development. Regardless of who takes over in the end, changes in market strategies may affect the market performance of ".co". For companies, investors and industry observers, the next few months will be a critical moment.
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