Google wants out of the domain name registry business and is selling the Google Domains service to Squarespace.
Google Domains currently hosts approximately 10 million domains and has millions of customers, all of whom will now become Squarespace customers once the acquisition is complete. Squarespace agreed to honor Google Domains renewal prices for at least 12 months and will provide existing customers with unspecified "additional incentives" to encourage them to build a website using the Squarespace platform.
As to why Google decided to sell, Matt Madrigal, Vice President and General Manager, Merchant Shopping of Google, said it's "in keeping with our efforts to sharpen our focus."
Existing Google Domains customers shouldn't notice any service disruptions, with Madrigal explaining, "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."
The acquisition is expected to complete by the third quarter of 2023 assuming regulatory approval. After that, Squarespace becomes the exclusive domain provider for customers who also purchase a Google Workspace (formally G Suite) subscription for a minimum of three years.
Google Domains launched in beta back in 2014 before opening to all US residents in January 2015. Early this year, parent company Alphabet decided to cut 12,000 jobs, which is when we discovered Google employed a lot of massage therapists. The Domains team seemingly survived the cull, but as this announcement confirms, only for a few months.