In an unexpected move, Squarespace has agreed to buy Google Domains, which includes the transfer of about 10 million domains hosted on Google Domains by millions of customers. The price tag? $180 million, according to Mashable. Squarespace is a Google Workspace reseller and a website builder and hosting company offering a range of business services including ecommerce, SEO services and creator tools. They operate on a subscription basis, starting at $16 a month (paid annually). This major acquisition gives Squarespace access to an enormous block of business.
Squarespace said it will honor renewal prices for Google Domains customers for at least 12 months after the deal closes, and the company will over incentives to Google Domains customers to encourage them to try other Squarespace products. According to DNAccess, GoDaddy is the top domain registrar with 63.5M customers. Google is fourth with 8.2M customers. Squarespace does not currently rank in the top 10, but it will once the deal is complete.
“We are exceptionally proud to be chosen to serve the customers of the Google Domains business,” said Anthony Casalena, founder & CEO of Squarespace, in a June 15, 2023 announcement. “Domains are a critical part of web infrastructure and an essential piece of every business’s online presence. We look forward to serving these new customers as we have served millions using our domain products and are committed to ensuring a seamless transition.”
The deal is expected to close in the third quarter of this year, assuming it overcomes regulatory hurdles and customary closing conditions. Terms of the deal were not disclosed. Once the deal is complete, Squarespace will be the exclusive domains provider for customers buying a domain through their Google Workspace subscription for a minimum of three years. In addition, Squarespace will provide billing and support services to Google Workspace customers who signed up for that service through Google Domains.
“In keeping with our efforts to sharpen our focus, we have entered into a definitive agreement with Squarespace for the acquisition of customer accounts of the Google Domains registrar business,” said Matt Madrigal, Vice President and General Manager, Merchant Shopping of Google. “Supporting a smooth transition for customers over the coming months, with the help of the Google Domains team, is our top priority. Squarespace can provide an integrated experience of purchasing and managing domains along with offering other tools that these customers may need to build their online presence.”
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Of course, users with varying opinions of the deal took to Twitter to share their thoughts. Here is a random sampling.
Insider Take
The deal is seemingly a good one for Squarespace and Google, but how about their customers? With the ability to reach more than 10 million customers, will Squarespace take advantage of their control? Will they follow GoDaddy’s example and constantly attempt to upsell their customers by making users pay for every little feature? We think there is some potential for abuse here, assuming the deal receives the necessary regulatory approvals.
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