Australian domain name registrar Melbourne IT has taken an immediate 10 percent stake in a joint venture with US telecommunications company NeuStar, as it vies for a slice of the lucrative .biz top level domain.
NeuStar's joint venture company NeuLevel will offer registry services for the new .biz TLD.
Melbourne IT's intial AU$6 million dollar investment is to be funded from the company's existing cash reserves. Directors intend to raise external capital for an additonal 20 pecent stake in the JV by September.
The registry is projected to have 12 million names under management after four years and is seen as one of the more lucrative top level domains.
"The joint venture with Melbourne IT represents an exciting and truly historic opportunity to introduce a new global registry service for the .biz top level domain," NeuStar CEO Jeff Ganek said in a statement.
"Together we will be able to offer the most flexible, covergence-ready platform for the management of data and provide superior domain name registry services."
Reuters reports the Australian group said it was likely to deliver a loss before interest and tax in 2001 and 2002 as the cost of establishing the .biz platform.
The agreement will be reviewed by the ICANN board, which is meeting in the US later today.
Once again Melbourne IT take a monopoly which will create more abuse of power in Australia!!!!