The Domain Name Registration market in 2006 is estimated at 375mln rubles ($14mln) by the RU-Center. 15% of the sum was spent to support the domain RU infrastructure, the rest 85% on registrars. The number of second-level domain names grew by 60% and is expected to reach 1mln in autumn.

The Domain Registration market was estimated at 375mln rubles ($14mln)last year, RU-Center reported. There was 55mln ($2mln) spent to support the Russian RU domain infrastructure (funding of the RU domain’s coordination and technical centers). 320mln rubles ($12mln) went on registrars and their partners.

RU-Center Director Alexei Lesnikov estimated the registrar’s share (currently there are 12 registrars in the RU-zone) at 160 rubles ($6mln). There was a similar amount spent on partners dealing with final clients. Revenues from Domain Name registrations are not high, as no new registrars were accredited in RU-zone in 2006, Mr. Lesnikov claims.

According to RU-Center 718 thousand domains were registered in 2006, and their number grew to 756 thousand in February this year. Only five out of 248 country code top-level Domain Names demonstrated double figures increase (%) in 2006. those being AT (Austria), ES (Spain), FR (France), RU (Russia), and US (USA). The number of second level domain names registered in RU rose by 60,78%. The number of domains registered by individuals is also increasing. The average age of domain owners is 26 (earlier 28), the majority of them Muscovites. However, people from other parts of Russia are becoming more active, usually registering domain names of the third level. Meanwhile the secondary domain market is growing, which proves the high demand for domain names.

RU-Center says there are no new market participants because they do not want to start business in the domain sphere, finding it more profitable to integrate it with other business divisions. Alongside Russians, Ukrainian, US and Israeli residents register names in the RU domain.