Hagens Berman has filed a class-action lawsuit against Verisign Inc. and the Internet Corporation for Assigned Names and Numbers (ICANN), alleging they maintain an illegal monopoly over .com domain names. According to the filing, Verisign is the sole operator of the .com registry—the authoritative database for all .com websites and emails—with over 160 million active registrations worldwide and no alternative supplier.
The lawsuit claims Verisign’s pricing results from a contract with ICANN that grants Verisign a permanent monopoly through a “presumptive right of renewal” that forecloses competitive bidding. According to the allegations, Verisign raised prices more than 30% between 2021 and the present, from $7.85 to $10.26 per domain. The filing states that Verisign’s financial disclosures indicate the company’s cost to operate .com domains is approximately $3 per domain, while comparable registries worldwide charge an average of $5 to $6. Verisign’s pricing generates operating margins exceeding 67%—higher than Apple, Microsoft, or Alphabet, according to the lawsuit. In 2025 alone, Verisign returned $1 billion to shareholders through stock buybacks and dividends.
Every .com registrant pays Verisign’s non-negotiable wholesale fee, embedded in prices charged by registrars including GoDaddy, Namecheap, Cloudflare, and others. The lawsuit alleges that since 2006, Verisign has raised prices to the maximum permitted amount in every eligible year, with ICANN renewing the contract and receiving increased payments. Under the current agreement, prices are projected to reach approximately $13.44 by 2030.
The filing contrasts Verisign’s pricing trajectory with other registries. Public Interest Registry, which operates .org, achieved a 70% reduction in backend registry costs over the past decade through competitive bidding. The lawsuit alleges Verisign dismantled competitive safeguards through years of litigation, credibility attacks, financial threats, and intimidation of ICANN.
A successful class action could result in damages, price rollback, and an order requiring competitive bidding for the .com registry. The lawsuit affects anyone who registered or renewed a .com domain since 2022. Hagens Berman states no class member will face out-of-pocket costs, with any court-awarded legal fees coming from settlements.
Key facts
- Verisign is the sole operator of the .com registry with 100% market share and over 160 million active registrations
- Prices rose 30% from $7.85 to $10.26 per domain since 2021
- Verisign’s operating costs are approximately $3 per domain while it charges $10.26, generating 67%+ operating margins
- Comparable registries worldwide charge $5-$6 per domain on average
- Verisign returned $1 billion to shareholders in 2025 through buybacks and dividends
- Prices are projected to reach $13.44 by 2030 under the current contract
- Public Interest Registry reduced .org backend costs 70% over a decade through competitive bidding