Neustar, Nominet and CNNIC have been picked to provide backup registry services for new gTLDs that fail.
ICANN has named the three companies as Emergency Back-End Registry Operators for the new gTLD program.
They’ll be responsible for taking over the management of any new gTLD that goes out of business, putting registrants at risk of losing DNS resolution and registry functions.
The idea is that the EBERO(s) would be paid out of funds placed in escrow by gTLD applicants, in order to gracefully wind down any failed TLD over the space of a few years.
In reality, I doubt there’s going to be much call for their services; M&A activity is a more likely outcome for gTLDs that fail to meet their sales expectations.
ICANN highlighted the geographic diversity of the three companies (Nominet is British, Neustar American and CNNIC Chinese) as a stability benefit of its selections.
The three were chosen from 14 respondents to an RFI published last year.
The absence of an EBERO was one of the shortfalls of the new gTLD program highlighted by Verisign in its recent letter warning ICANN about perceived security and stability risks.
While ICANN has acknowledged that the EBEROs are unlikely to be ready to roll before the first new gTLDs start to launch, it has noted that they don’t need to be.
If any new gTLD catastrophically fails during the first few months of launch, it will reflect extremely poorly on the financial and technical evaluations applicants have been undergoing for the last nine months.