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Jul 29, 2008

GoDaddy Employee Caught Bidding Against Customers in Domain Auctions

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In the market for a new domain name but the one you want is already registered? If you plan on entering an auction for that domain at GoDaddy, you may want to think again as the head of GoDaddy’s domain auctions has recently been caught bidding against its customers. The employee, Adam Dicker, was able to acquire some domains while hiking up the price on those he didn’t win.

Many people are already skeptical with online auctions where bids are kept secret and anonymous. Imagine if ebay didn’t display the number of bids, who bid, and how much the current bid is? Then, add on top of that an eBay employee going around bidding on various items while having access to all that information. Yeah, that wouldn’t fly for a second, but apparently when it comes to domains and GoDaddy, there’s little penalty.

I don’t know about you, but that’s enough info for me to not trust GoDaddy with any of my domains. Sure, this is just their auction counterpart, but that kind of lack of ethical responsibility means I won’t be doing business with them any time soon.