The registrars are pretty efficient, if you ask me. I think that part of the system isn't broken. Yeah, if you want to save every penny, godaddy does that, at the cost of the shitty service and upsells.
If you are willing to pay just a few bucks more, there are a lot of good registrars who don't up-sell you. Joker.com is my favorite. I think it comes to another four dollars a year; less than half a dollar a month.
Have you considered what kind of resources and expertise that are required to handle issues such as domain name disputes? For example, suppose Alice and Bob run an informal business together, they have a clash and both of them make claims of the business' domain name. Or if Mallory registers someone elses company name and use it for nefarious purposes? [+]
[+] See http://swartz.typepad.com/texplorer/2006/04/wellknown_rock_.... for a particularly domain name anecdote involving Metallica and a Swedish VC firm.
Disclaimer: Infrastructure engineer
And Amazon AWS remind me how many major down time incidents have they had ;-)
Not sure if you were joking or not; I've managed thousands of instances in AWS across the world, and while us-east-1 continues to have issues occasionally, their DNS has been rock solid. Netflix uses them (with some UltraDNS for geolocation-based redirection, which Route53 doesn't support). That's good enough for me.
Anycast works way better for UDP/dns than it does for TCP/http.
The idea behind Anycast is that you announce the address block your DNS cluster is on out many different locations around the world. At each location you have (usually a redundant cluster of) dns servers.
The router ahead of the IP of the person looking up an address on your nameserver will check it's bgp table, and then choose whichever location of yours is the fewest hops away. From that router's point of view, this is no different from you having one location with many different service providers.
If one of your locations goes away, it stops announcing the block, and all clients that would have gone to it instead use the next closest (hop-wise) location.
(this is actually one of the hard parts; if you have a setup where the dns server stops responding correctly but it's still announcing via bgp, you are broken.)
You generally don't use this for HTTP and other connection-based stuff, because a route flap is going to move your connection endpoint to an entirely new server. This causes a bunch of problems with your connection oriented stuff. (yes, you can sync connection state across servers... but the latency in that is going to kill you.)
Protip: Perform service checks, and immediately withdraw your BGP route if a failure is detected.
Also, props for explaining why HTTP anycast is a pain in the casee. Even stateless it doesn't work well, which is why its usually done with DNS vs BGP/anycast.
Hah. I've only talked about it. It's one of those things I want to do before it's an obsolete skill, but it isn't at the top of my priority list.
I can make smcl.prgmr.com, and give it to you. I can even point smcl.prgmr.com at your own nameserver so you can make somethingelse.smcl.prgmr.com. You could, in fact, sell other people [something].smcl.prgmr.com. domains, and so on.
It's just a line in my dns config. (then dealing with abuse complaints and the like)
Now, Verisign owns .com. There's no technical difference, really, between .com, .co.uk, and prgmr.com. If you want smcl.com, you need verisign's dns servers to cooperate, just as if you want smcl.prgmr.com, you need my dns servers to cooperate. For this, verisign charges the registrar seven bucks and change. The registrar tacks on a few pennies (or does the same with advertising) and handles all interactions with you.
Verisign has a nice re-seller interface. That's what the registrar/registry split is all about. But if I really thought people would give me money for something.prgmr.com. dns entries, I'm sure I could come up with a re-seller interface, too.
Personally, I think the current price is a little high, but mostly because I don't like monopolies in general, and my feelings for Verisign can only be described with superlative synonyms for hatred. Personally, if someone has to have a monopoly on .com domains, I think a not-for-profit like ICANN would do a better job.
It is a small injustice, though, for reasonable people with one or two domain names.
(On the other hand, the registrars, the people who actually handle the customer interaction, are ridiculously efficient. if you want a domain cheap, you can get it for pennies over what the monopoly charges, or you can pay a few bucks more, and get pretty good service, showing that when there is competition, for-profit businesses can do a pretty good job.)