Latest news of the domain name industry

Recent Posts

First .xxx cybersquatting complaint filed by porn site

Kevin Murphy, February 12, 2012, Domain Policy

The new .xxx top-level domain has seen its first cybersquatting complaint filed by a porn site.
The registrant of the domain femjoy.xxx was hit by a UDRP complaint in with the World Intellectual Property Organization late last week.
FemJoy.com is a well-known “artistic nude” porn site, according to the adult industry trade press.
While there have already been 12 UDRP cases filed against .xxx registrants, the previous cases have all been filed by the owners, such as banks and retailers, of non-porn trademarks.
The femjoy.xxx case appears to be the first instance of a cybersquatting complaint filed by a porn site.
Complainant Georg Streit has owned a US trademark on “FemJoy” – covering “magazines and periodicals featuring photographs and images of landscapes and human bodies” – since 2007.
The registrant of femjoy.xxx is an Australian called Tu Nguyen, according to Whois records. The domain does not currently resolve. In fact, it doesn’t even have name servers.

ICANN promises a second new gTLD round

Kevin Murphy, February 10, 2012, Domain Policy

Seeking to reduce the perceived need for defensive new gTLD applications, ICANN has repeated its promise to accept a second round of applications after the first is over.
“ICANN is committed to opening a second application window for the New gTLD Program as expeditiously as possible,” its board of directors resolved earlier this week.
No date has been revealed, but the resolution calls on ICANN staff to draft a “work plan” describing the things that need to happen before the second round begins.
Those include two or three reviews of the impact of the first round that ICANN has promised to its Governmental Advisory Committee and the US Department of Commerce.
It also depends to great extent on how many applications are submitted in the first round – which ICANN won’t know until April 12 – and how long they take to process.
The lack of a second round date is one of the big uncertainties hanging over the program, blamed in part for an expected influx of “defensive” dot-brand gTLD applications from companies with no interest in running a domain name registry.
ICANN’s commitment to a second round has never been in question – running the new gTLD program in rounds has been part of the policy from the outset, as the Applicant Guidebook explains. The only question is when it happens.
This week’s board resolution does not change that position, nor has it yet added clarity to the timing question.
But with ICANN increasingly worried about defensive dot-brands – which I think are one of the biggest PR risks to the program – some kind of statement was needed.
ICANN chair Steve Crocker said in a press release:

The important thing here is that the Board has erased any doubt that there will be a second application window for new generic Top-Level Domains. It’s not yet possible to set a definitive date for the next application period, but that will be determined after the current window closes.

A dozen .xxx sites hit by rapid takedown

Kevin Murphy, February 9, 2012, Domain Policy

The National Arbitration Forum has ordered the secret takedown of 12 .xxx domains since the adults-only gTLD launched in December.
NAF yesterday published statistics about the .xxx Rapid Evaluation Service, which ICM Registry created and NAF exclusively administers.
Fifteen RES complaints have been filed since December 6, 12 of which have been resolved so far. All of the cases were won by the complainant — a trademark holder in 11 of the cases.
The RES was designed to handle clear-cut cases of cybersquatting and impersonation. It costs $1,300 to file a complaint and offers a super-fast alternative to the UDRP.
The domains are suspended forever if the complainant is successful.
According to NAF, it’s currently taking on average two business days between the complaint being filed and the domain being suspended.
Because registrants have 10 days to respond – and half of them did – the final decision took an average of 12 business days.
Unlike UDRP, RES decisions are not published, so there’s no way of knowing whether they were fair.

First ICANN CEO candidate revealed

Kevin Murphy, February 8, 2012, Domain Policy

Former ICANN director Njeri Rionge has emerged as a possible candidate for the soon-to-be-vacated CEO’s job.
Rionge is a Kenyan national, described last year by Forbes.com as “one of Kenya’s most successful and revered serial entrepreneurs”.
She founded Wananchi Online, a successful ISP in East Africa, and the business consultancy Ignite Consulting.
Her candidature was revealed in an open letter posted today by Sophia Bekele, CEO of DotConnectAfrica, a likely applicant for the .africa generic top-level domain.
DCA and Rionge have severed ties due to her new CEO aspirations, according to Bekele:

At the end of 2011, Ms. Njeri Rionge had expressed to DCA Executive Director, a direct interest in competing for the soon to be vacant ICANN CEO position, and for this reason, was kindly requested by DCA to submit her resignation from the DCA Strategic Advisory Board for ethical/conflict of interest reasons.
This was done after due internal consultations with concerned parties. Accordingly, Njeri Rionge is no longer involved in DCA and DCA Registry Ltd either as a Board Member or shareholder and will not represent neither would she be affiliated with DCA in any capacity, now or in the near future.

Rionge served on the ICANN board of directors as a Nominating Committee appointee for two terms between 2003 and 2008.
While there’s a ban on current directors applying for the CEO position, I don’t believe there’s any such prohibition on former directors.
ICANN is currently interviewing would-be replacements for Rod Beckstrom, who intends to leave the organization in July after a three-year term.
No other candidates have been revealed to date.
The only other name being circulated in the rumor mill is Lesley Cowley, CEO of .uk registry Nominet and current chair of ICANN’s ccNSO, but I’ve no idea if she’s even interested.

ICANN worried about defensive gTLDs

Kevin Murphy, February 7, 2012, Domain Policy

Why is ICANN so misunderstood?
That’s the question at the heart of a public comment period into concerns about “defensive” new generic top-level domain applications that the organization opened up last night.
ICANN wants to know why so many companies seem to think they’ll need to apply for a dot-brand gTLD even though they don’t want one.

there are reports that parties believe that they will need to submit defensive gTLD applications to protect their trademarks, regardless of whether they are interested in using or developing a gTLD.
ICANN seeks public comment on the sources of this perception and how it can be addressed.

The comment period serves three purposes — it’s designed to raise awareness about rights protection mechanisms as well as soliciting input about defensive applications.
It will also let ICANN show the US Congress, which is worried about this kind of thing, that it’s doing something to address the problem.
So why are so many people worried about the perceived need to defensively apply for dot-brands?
The main answer, I think, is pretty straightforward:
The Applicant Guidebook is 349 pages long.
Hardly anybody has read the damn thing, not even some of the “experts” that persist on appearing in the media to complain about numeric gTLDs or to confidently predict GE and LG will apply for dot-brands.
So what do people do? They get somebody else who has read it to explain what it means.
These somebody elses are either consultants and registry providers, which are financially incentivized to get companies to apply, or they’re organizations that want the whole program stopped, which are not above deliberately misrepresenting the rules in order to whip up outrage.
I’m not casting every consultant in the same light here, of course. Many will turn away business if it’s not a good fit, but let’s not pretend that there hasn’t been scaremongering.
And let’s remember that for most regular companies registering a domain name is not an opportunity, it’s a headache. It’s at best a minor irritation and at worst a costly shakedown.
That thinking has clearly translated into the new gTLD space.
Poorly informed people think they’re being asked to register a very expensive domain name, and in their experience registering a domain name is a defensive measure 99% of the time.
Because ICANN has spent the last six months painstakingly avoiding saying anything positive about new gTLDs, it’s been left to the consultants and registries to try to explain the opportunities.
They’re understandably looked on with suspicion, and not only because of the aforementioned distrust of the industry – this new gTLD thing is unproven and there’s a perception that previous gTLDs have “failed” because you don’t see a .biz every time you turn on the TV.
Anyway, speaking of shakedowns, DomainIncite PRO subscribers have access to an in-depth analysis of scenarios in which “defensive” applications may and may not be appropriate. Read it here.

ICANN board seat up for reelection

Kevin Murphy, February 3, 2012, Domain Policy

ICANN’s Address Supporting Organization has kicked off an election for one of its two official representatives on the ICANN board of directors.
Director Ray Plzak sees his three-year term come to an end in June. He’s standing for reelection, but has competition from three other candidates.
The ASO represents the oft-overlooked IP address side of the ICANN house. Its members belong to the five Regional Internet Registries that are responsible for doling out IP space.
In this election, all four candidates are from ARIN, the North American RIR community: Plzak, Eric Brunner-Williams, Martin Levy and William Manning.
The winner will be selected by the ASO’s ruling Address Council in May. Until April 19, the ASO wants public comments on the candidates.

Cybersquatters face jail time in the Philippines

Kevin Murphy, January 30, 2012, Domain Policy

Cybersquatting is about to be criminalized in the Philippines, and you’re not going to believe the penalties.
Squatters could face six to 12 years in jail if found guilty under Senate Bill 2796, which has reportedly just been approved by the country’s Senate.
Six years is the minimum term, but the bill does allow for an alternative punishment of a 500,000 peso fine, which works out to about $12,000.
That’s 300,000 pesos more than the fine for hacking, newly criminalized by the same bill, which also carries a six-to-12-year prison sentence.
Here’s the definition of “cyber-squatting” from the bill, courtesy of BlogWatch.tv:

The acquisition of a domain name over the internet in bad faith to profit, mislead, destroy reputation, and deprive others from registering the same, if such a domain name is:
i. Similar, identical, or confusingly similar to an existing trademark registered with the appropriate government agency at the time of the domain name registration
ii. Identical or in any way similar with the name of a person other than the registrant, in case of a personal name; and
iii. Acquired without right or with intellectual property interests in it

The bill also provides prison sentences for what the local media is calling “cyber sex”, but which appears to cover internet pornography in general.
A companion bill in the House has to be approved before the law hits the statute books.

ICANN advertises new gTLDs on Twitter

Kevin Murphy, January 30, 2012, Domain Policy

ICANN has really ramped up the social marketing of its new generic top-level domain program for the last few weeks, and today it started plugging new gTLDs with some Twitter advertising.
It’s bought some “Promoted Tweets”, which means some Twitter users will see a designated ICANN tweet even if they don’t already follow ICANN.
Here’s an example captured by @andrewhennigan.

The Promoted Tweets ad service is bid-based and priced on a cost-per-engagement basis, so advertisers only pay when they get a reply, retweet, follow, etc. Reportedly, there’s a $15,000 minimum commitment.
Judging by Twitter noise today, I’m guessing that today ICANN is promoting its new gTLDs Twitter chat, which is happening at 1600 UTC tomorrow with the hashtag #newgtlds.

Manwin files its first cybersquatting complaint

Kevin Murphy, January 27, 2012, Domain Policy

Manwin Licensing, the company currently suing ICANN and ICM Registry claiming .xxx breaks US competition law, has filed its first cybersquatting complaint using the UDRP.
It’s over a .com domain, pornhubarchive.com (don’t go there, not only is it NSFW but it also looks like it panders to some very dubious tastes), which Manwin thinks infringes on its rights to the PornHub name
The domain is registered to a Russian, while pornhub.com itself is protected by Whois privacy.
There’s a certain irony here. PornHub is a “tube” site that allows users to upload content and has itself come under fire for violating intellectual property rights in the past.
It was sued by the the porn production company Pink Visual for copyright infringement in 2010.

ICANN tells Congressmen to chillax

Kevin Murphy, January 25, 2012, Domain Policy

ICANN senior vice president Kurt Pritz has replied in writing to great big list of questions posed by US Congressmen following the two hearings into new gTLDs last month.
The answers do what the format of the Congressional hearings made impossible – provide a detailed explanation, with links, of why ICANN is doing what it’s doing.
The 27-page letter (pdf), which addresses questions posed by Reps. Waxman, Eshoo and Dingell, goes over some ground you may find very familiar, if you’ve been paying attention.
These are some of the questions and answers I found particularly interesting.
Why are you doing this?
Pritz gives an overview of the convoluted ICANN process responsible for conceiving, creating and honing the new gTLD program over the last few years.
It explains, for example, that the original GNSO Council vote, which set the wheels in motion back in late 2007, was 19-1 in favor of introducing new gTLDs.
The “lone dissenting vote”, Pritz notes, was cast by a Non-Commercial Users Constituency member – it was Robin Gross of IP Justice – who felt the program had too many restrictions.
The letter does not mention that three Council members – one from the Intellectual Property Constituency and two more from the NCUC – abstained from the vote.
Why aren’t the trademark protection mechanisms finished yet?
The main concern here is the Trademark Clearinghouse.
New gTLD applicants will not find out how the Clearinghouse will operate until March at the earliest, which is cutting it fine considering the deadline for registering as an applicant is March 29.
Pritz, however, tells the Congressmen that applicants have known all they need to know about the Clearinghouse since ICANN approved the program’s launch last June.
The Clearinghouse is a detail that ideally should have been sorted out before the program launched, but I don’t believe it’s the foremost concern for most applicants or trademark owners.
The unresolved detail nobody seems to be asking about is the cost of a Uniform Rapid Suspension complaint, the mechanism to quickly take down infringing second-level domain names.
ICANN has said that it expects the price of URS – which involves paying an intellectual property lawyer to preside over the case – to be $300 to $500, but I don’t know anyone who believes that this will be possible.
Indeed, one of the questions asked by Rep. Waxman starts with the premise “Leading providers under Uniform Dispute Resolution Policy (UDRP) have complained that current fees collected are inadequate to cover the costs of retaining qualified trademark attorneys.”
UDRP fees usually start at around $1,000, double what ICANN expects the URS – which I don’t think is going to be a heck of a lot simpler for arbitration panels to process – to cost trademark owners.
Why isn’t the Trademark Claims service permanent?
The Trademark Claims service is a mandatory trademark protection mechanism. One of its functions is to alert trademark holders when somebody tries to register their mark in a new gTLD.
It’s only mandatory for the first 60 days following the launch of a new gTLD, but I’m in agreement with the IP community here – in an ideal world, it would be permanent.
However, commercial services already exist that do pretty much the same thing, and ICANN doesn’t want to anoint a monopoly provider to start competing with its stakeholders. As Pritz put it:

“IP Watch” services are already provided by private firms, and it was not necessary for the rights protection mechanisms specific to the New gTLD Program to compete with those ongoing watch services already available.

In other words, brands are going to have to carry on paying if they want the ongoing benefits of an infringement notification service in new gTLDs.
When’s the second round?
Nothing new here. Pritz explains why the date for the second round has not been named yet.
Essentially, it’s a combination of not knowing how big the first round is going to be and not knowing how long it will take to conduct the two (or three) post-first-round reviews that ICANN has promised to the Governmental Advisory Committee.
I tackle the issue of second-round timing in considerable detail on DomainIncite PRO. My feeling is 2015.
On Whois verification
Pritz reiterates what ICANN CEO Rod Beckstrom told the Department of Commerce last week: ICANN expects that many registrars will start to verify their customers’ Whois data this year.
ICANN is currently talking to registrars about a new Registrar Accreditation Agreement that would mandate some unspecified degree of Whois verification.
This issue is at the top of the law enforcement wish list, and it was taken up with gusto by the Governmental Advisory Committee at the Dakar meeting in October.
Pritz wrote:

ICANN is currently in negotiations with its accredited registrars over amendments to the Registrar Accreditation Agreement. ICANN is negotiating amendments regarding to the verification of Whois data, and expects its accredited registrars to take action to meet the rising call for verification of data. ICANN expects that the RAA will incorporate – for the first time – Registrar commitments to verify Whois data.

He said ICANN expects to post the amendments for comment before the Costa Rica meeting in mid-March, and the measures would be in place before the first new gTLDs launch in 2013.
I’ve heard from a few registrars with knowledge of these talks that Whois verification mandates may be far from a dead-cert in the new RAA.
But by publicly stating to government, twice now, that Whois verification is expected, the registrars are under increased pressure to make it happen.
IF Whois verification is not among the RAA amendments, expect the registrars to get another dressing down from the GAC at the Costa Rica meeting this March.
On the other hand, ICANN has arguably handed them some negotiating leverage when it comes to extracting concessions, such as reduced fees.
The registrars were prodded into these talks with the GAC stick, the big question now is what kind of carrots they will be offered to adopt an RAA that will certainly raise their costs.
ICANN expects to post the proposed RAA changes for public comment by February 20.