A great conversation broke out on The Domains on Friday about the new releases for .TV and the newer TLDs in general. One post caught my ear more than the others. It was written by a poster named Domo
to little to late for the extension.
Auction or not… , tv domains will land in domainer’s hands (As it dis in the later release disaster) , domainers which mainly play the “Greater Fool” game where domains become “trading cards ” (.info deja vu)
The strenghtening of c.c’s (country codes) and the advent of new TlD’s will even weaken the extension more…
The problem since day one has been the pricing structure and the uncertainty that provides and not “smart money” likes to invest on that…
The TV is the Tv and the Net is the Net, yes there is some synergy but that’s all , but it has nothing to do with the .tv extension…
That dog didn’t hunt.
I agree with this post in many ways (and disagree in some as well). There is no doubt that domaining is a game between domainers. Buying and selling between people that think the domain is worth more than what the original person paid for it. In ways it certainly is a game of “greater fool” but there is one other major “game” that is similar…….the stock market. The huge underlying difference is that stocks have a value based on income and profit. Sure the price can be inflated due to speculation and future income but, in general, it all comes down to numbers. Domains? There are very few domains sold on revenue anymore. They are purchased merely on speculation that someone will be willing to pay more that what you paid for it.
Dot tv is even riskier. They receive NO type-in revenue, are often mistaken for the insertnametv.com, and are tough to develop for anything non video related. Add in the fact they high renewal rate and you certainly have a “baseball card” type scenario. In all business, with risk comes reward and for those who snagged the “cheaper” dot tvs it certainly makes them easier to resell. Especially the person that got the single letter dot tvs. As to the “smart money” quote. Smart money knows when to get in and get out and they certainly got in this week and are looking to flip for easy money. Smart money always keeps a small percentage of portfolio just for opportunities like this. A turn and burn. IMO there are very few smart money players holding large amounts of .tv or weaker tlds in their portfolios. (I’m sure I’m going to get a few disagreements here)
Unfortunately, eventually someone will be left holding the bag as a new tld is released or a new ccTld gains strength. The ending to this story is no different that the ending to every story I write, dot com gains strength.