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    Highlights of the ICANNWatch Archive
    (June 1999 - March 2001)

    This discussion has been archived. No new comments can be posted.
    Auerbach Weighs in for gTLD Lotteries | Log in/Create an Account | Top | 49 comments | Search Discussion
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    Re:Apologies to Fnord & More on Pyramids
    by Anonymous on Thursday April 10 2003, @06:30PM (#11490)
    "....where each new recruit is told that they must bring in some number N of new recruits in order to recieve the promised payoffs."

    what do you call creating an accredited retail channel where each is told they are to sell the very same unique product? The registrar is an accredited recruit...then if they do not bring in N of new recruits (consumers in the case of register.com or re-sellers in the case of tucows), then they do not receive the payoffs from the accreditation. The fact that they can't bring in N has led to the accredited recruit to devise "new services" to attract N recruits (consistent with a pyramid scheme) in order to survive or meet desired payoffs. This is a stategy that is far different than offering the accredited recruit the ability to sell like-kind goods and services to attract N new recruits in a competitive environment and has in fact been an avenue that has been purposely avoided (consistent with a pyramid scheme in order to perpetuate it). The fact this is not entirely visible in the current economic sense is simply because one accredited recruit had 100% of all the recruits and the past few years have been spent divvying this up amongst the new accredited recruits. The group of new recruits within the scheme called consumers (that have never purchased a domain) must either participate with the scheme or not participate at all. The fact that N is choosing not to participate (at comparative growth rate vs 1999) has the accredited recruits going back to its current base of recruits to increase per capita. Since this was a successful strategy for obtaining N for many of the accredited recruits, the original accredited recruit is invested into a way to capture these N recruits for themselves.
    [ Reply to This | Parent ]
    Re:Apologies to Fnord & More on Pyramids by Anonymous
    Re:Apologies to Fnord & More on Pyramids
    by Anonymous on Friday April 11 2003, @03:45AM (#11492)
    simply put, at the top of the scheme sits ICANN where it is guaranteed its payoff from the recruits it signs up as "accredited". At the bottom of the scheme are those new recruits that buy a snapback (or WLS or pay a registrar $5k a month for their privilaged bandwidth access) and get nothing in return.
    [ Reply to This | Parent ]

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