Here’s the judge’s decision (pdf)
Larry Strickling, assistant secretary at the National Telecommunications and Information Administration, released the following brief statement early October 1:
The federal court in Galveston, Texas denied the plaintiffs’ application for declaratory and injunctive relief. As of October 1, 2016, the IANA functions contract has expired.
The US had been sued at the eleventh hour by four state attorneys general, who claimed that allowing ICANN to go independent would, among other things, put free speech at risk.
The judge evidently disagreed, though his full decision has not yet been made available.
ICANN chair Steve Crocker released this statement:
This transition was envisioned 18 years ago, yet it was the tireless work of the global Internet community, which drafted the final proposal, that made this a reality. This community validated the multistakeholder model of Internet governance. It has shown that a governance model defined by the inclusion of all voices, including business, academics, technical experts, civil society, governments and many others is the best way to assure that the Internet of tomorrow remains as free, open and accessible as the Internet of today.
Akram Atallah, president of ICANN’s Global Domains Division, tweeted this:
— Akram Atallah (@AkramAtallah) September 30, 2016
The transition, in broad terms, means the US no longer holds a special role in managing the DNS root.
Now, instead of having to rely on vague threats from the NTIA to keep ICANN in line, the global internet community will get new powers to challenge ICANN decisions.