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December 19, 2017

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The Lowdown is compiled by DN Journal Editor & Publisher Ron Jackson.

New gTLD Registry Operator Radix Shares Their Revenue Numbers for the First Time

There  has been a lot of speculation about how new gTLD registry operators have been faring since ICANN delegated the first new domain extensions four years ago. Few registries release specific financial information but it has clearly been a mixed bag with some operators exiting the business after selling off extensions they couldn't make profitable and others, with deeper pockets, staying the course or expanding (in some cases by acquiring TLDs acquired from those leaving).

A member of the latter group, Radix, the world’s 4th largest new gTLD portfolio registry operator (and a part of the Directi Group, which is currently valued at $1.4 billion), has, for the first time, released some of their actual numbers. The self-funded company that

operates nine new gTLDS (.ONLINE, .STORE, .TECH, .WEBSITE, .SPACE, .PRESS, .SITE, .HOST, and .FUN) revealed today that their 2017 revenue numbers had reached $11.7 million and would pass $12 million by the end of the year. The $11.7 million does not include revenue generated in the month of December. The figure also excludes the complete renewal-revenue from domains expiring in November and December as registrants have up to 45 days to renew their domains.   

Even with November & December renewal revenue not yet included, Radix reported that more than 50% of their total revenue has come from non-premium domain renewals.  The recurring revenue of non-premium domains was almost double the amount received from new registrations. Of the total revenue, $1.76 million was attributed to premium domains sold & renewed on registrar storefronts as well as one-time premium sales made directly by Radix. One-time premium sales contribute 14% of that amount with recurring premiums making up the remaining 86%.  

Despite being inactive in China through most of the third quarter of 2017 (due to the MIIT restrictions), Radix said total revenue in the quarter showed an upward trend. The company added that Radix will be ending 2017 on a high as November was its best month of the year in terms of new registration revenue.  

Radix also broke down the source of its registrar revenue by country, noting that the United States  was the top contributor with 49.6% of the total share followed by Germany at 14.4% and China at 7.7%

(Posted December 13, 2017) 

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