Network Solutions

Network Solutions, LLC
Company type	Subsidiary
Industry	Technology, Domain registration, Web hosting, Digital marketing
Founded	1979
Founder	Emmit McHenry, Ty Grigsby, Gary Desler, Ed Peters
Headquarters	Washington, D.C., United States
Area served	Worldwide
Products	Domain name registration, Web hosting, Website creation, SEO, PPC campaign management
Parent	Web.com (subsidiary of Newfold Digital)

Network Solutions, LLC, previously known as Web.com, is a technology firm based in the United States and operates as a subsidiary of Web.com. It holds the position of the fourth-largest registrar for .com domain names, managing more than 6.7 million registrations as of 2018. The company provides services such as domain name registration, web hosting, website creation, and digital marketing solutions, including search engine optimization and pay per click campaign management.

History

Established in 1979 by entrepreneur Emmit McHenry alongside Ty Grigsby, Gary Desler, and Ed Peters in Washington, D.C., Network Solutions originally concentrated on systems programming for IBM. Its revenue increased from just above $1 million in 1982 to $18.5 million by 1986.

In 1991, the company commenced operation of the domain name system registry under a subcontract with the U.S. Defense Information Systems Agency (DISA), overseeing major top-level domains like .com, .org, and .net. By 1993, it obtained an exclusive agreement from the National Science Foundation (NSF) to serve as the sole registrar for .com, .net, and .org domains. This contract solidified its leading market role and control over the central WHOIS database.

Following NSF’s privatization of the domain registry in 1993, Network Solutions was the only bidder for the $5.9 million yearly contract. In 1995, it was acquired by Science Applications International Corporation (SAIC) for $4.7 million when managing approximately 60,000 domain names. The company was then authorized to charge $100 for two-year registrations, sharing 30% of these fees with NSF until courts deemed this arrangement an unlawful tax, prompting fee reductions.

Network Solutions encountered antitrust litigation due to its monopoly status and enforced contentious policies on domain censorship. Its market dominance contributed to industry reforms that resulted in the creation of the Internet Corporation for Assigned Names and Numbers (ICANN), which aimed to foster competition and separate registry from registrar functions.

The firm went public with an IPO on NASDAQ in September 1997 under the ticker NSOL. Jim Rutt assumed the CEO role in 1999. During the height of the dot-com bubble in 2000, Network Solutions was acquired by VeriSign in a stock transaction valued at $21 billion.

In 2003, VeriSign sold Network Solutions to Pivotal Equity Group for $100 million. The company grew through acquisitions such as MonsterCommerce in 2006 and was itself purchased by private equity firm General Atlantic for about $800 million in 2007.

Leadership transitions included Roy Dunbar taking over as CEO in 2008 and Tim Kelly assuming the position in 2009. In August 2011, Web.com acquired Network Solutions for roughly $560 million via a combination of cash and stock; this transaction concluded in October 2011. Following the acquisition, several executives departed and substantial layoffs occurred alongside office closures by early 2012.

In June 2020, Network Solutions canceled domain registrations linked to two white supremacist websites after legal challenges from civil rights groups.

On April 24, 2025, Web.com declared a merger into Network Solutions as part of its parent company Newfold Digital’s plan to unify brands such as iPage, HostMonster, FatCow, JustHost, and Bluehost under consolidated management to strengthen market presence and drive business expansion.

2008 Domain Name Front Running Class Action Litigation

Network Solutions provides a domain availability search tool. When users enter unregistered domain names, the company tentatively holds these domains, either releasing them immediately upon user request or automatically after a four-day period. To authorize this provisional reservation, users must confirm by clicking "OK" on a prompt.

On January 8, 2008, Domain Name Wire accused Network Solutions of engaging in domain name front running by registering domain names searched but not purchased under its own name, displaying messages suggesting availability through Network Solutions. Jonathon Nevett, Vice President of Policy and an ICANN community representative, defended the practice as a customer protection measure, explaining that unbought domains are held for four days before being freed. Nevertheless, these reserved domains were inaccessible through lower-cost registrars and came with a premium $35 registration fee instead of the standard $10.

Jay Westerdal, another ICANN committee member focused on domain tasting abuses, criticized Network Solutions for exposing potential domain names to speculators who rapidly register released domains. He described this conduct as reprehensible due to the public announcement of prospective domain names. Tucows, the largest publicly traded registrar, publicly condemned Network Solutions’ approach, highlighting that it effectively coerced customers into purchasing domains at inflated prices during the four-day hold. Tucows contrasted this by imposing fees on canceled registrations within the five-day Add Grace Period to deter domain tasting and emphasized that it does not utilize WHOIS or search data to preemptively register domains.

On January 9, 2008, CNET reported Network Solutions intended to cease registering domains based on Whois search queries. Instead, reserved sites would display "under construction" pages without associating them with IP addresses. Domain registrations would still be processed via the main website search function. This policy adjustment sought to address public criticism and restore confidence in Network Solutions’ domain registration procedures.

Class Action and Settlement

On February 25, 2008, law firms Kabateck LLP and Engstrom, Lipscomb & Lack initiated class-action lawsuits titled McElroy v. Network Solutions LLC and James Lee Finseth v. Network Solutions LLC, accusing the company of front running practices. These cases were resolved in favor of the plaintiffs in 2009.

Server Security Breach

In August 2009, Network Solutions revealed a security breach affecting a server that exposed personal information—including names, addresses, and credit card data—of over 573,000 customers who had made purchases on hosted websites. While a company representative expressed regret over the incident, the precise method of intrusion was not disclosed.

Malware Incident

In August 2010, Network Solutions identified that a widget provided to customers for domain registration and hosting was distributing malware via compromised websites. As many as five million registered domains could have been affected. The company responded by updating the widget’s code to prevent further infection.

WebLock Security Service

In January 2014, Network Solutions announced automatic enrollment of its customers into WebLock—a security service priced at $1,850 for the initial year and $1,350 annually thereafter. This offering was designed to strengthen domain security through verified user registration and confirmation of configuration changes.

To offset costs associated with maintaining this enhanced security level, your credit card will be charged $1,850 for the first year upon launch... subsequent years will incur an annual fee of $1,350. To opt out, please call 1-888-642-0265.

Jason Teichman, COO of Web.com, later clarified that enrollment would be opt-in only, acknowledging unclear wording in the initial announcement and confirming there was no intention to enroll customers without their explicit consent.

Disclosure of Non-Public Data

Starting in September 2009, Network Solutions initiated the daily publication of a record containing domain name WHOIS queries made by both customers and other users.

Fitna Incident

In March 2008, Network Solutions took down the domain "fitnathemovie.com," which had been registered by Dutch politician Geert Wilders to host his film Fitna. Initially, the website only showed an image of the Qur'an along with the messages "Geert Wilders presents Fitna" and "Coming soon." Network Solutions indicated they were "reviewing whether the site's content breached the Acceptable Use Policy." The 15-minute film by Wilders sought to illustrate how certain Qur'anic verses allegedly promote violence and anti-democratic attitudes among some Muslim individuals.

By disabling access to the site on the day of the film's launch, Network Solutions sparked criticism from Wilders, who accused the company of prior censorship. The company also came under fire for previously registering the Hezbollah-related domain hizbollah.org. Following backlash, Network Solutions admitted that hizbollah.org violated its policies and subsequently stopped hosting it.

This episode attracted widespread media coverage and drew protests from free speech advocates against Network Solutions' conduct. Numerous users uploaded the film onto platforms such as YouTube, igniting discussions about censorship issues. On March 23, 2008, journalist Brian Krebs of The Washington Post reported that Network Solutions had received multiple complaints regarding the site, though details about these complaints were not disclosed.

Debate Regarding Subdomain Exploitation

In April 2008, Network Solutions was criticized for leveraging a clause in its end-user license agreement that allowed it to utilize and advertise on users’ unassigned subdomains, even when the primary domain was privately owned. This agreement authorizes Network Solutions to display "parking" or "under construction" pages featuring advertisements and promotional content on inactive subdomains. While Ars Technica provided guidance on opting out of this practice, many domain owners and privacy advocates considered this approach as part of an aggressive revenue-generation strategy through domain-related tactics.

Races.com Incident

In 1999, Network Solutions inadvertently returned "races.com" to the pool of available domains. MBA student John McLanahan purchased it privately for several thousand dollars; however, a speculator later acquired the domain and demanded $500,000 for its transfer back.

Refund Misrepresentation Case

In April 2015, the Federal Trade Commission announced a settlement with Network Solutions over allegations that the company misled customers by promising full refunds for web hosting cancellations within 30 days but retained up to 30 percent as cancellation fees.

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