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XYZ hires .top guy as first China employee

Kevin Murphy, October 11, 2016, Domain Registries

XYZ.com has hired its first Beijing-based employee, as part of its ongoing plan to formally enter the Chinese market.

The company said yesterday that it has appointed Mason Zhang, until recently chief marketing office at .top gTLD registry Jiangsu Bangning Science & Technology Co, as its new director of business development for China.

It’s part of XYZ’s seemingly interminable entry to the Chinese market, which is over a year old.

While the majority of .xyz’s registrations have been into China, the registry (along with pretty much every other Western registry) still does not have the necessary government permissions so that its customers can start using their names.

It kicked off a process to get ICANN approval for its Chinese gateway, operated by ZDNS, a year ago, and set up the mandatory Wholly Owned Foreign Enterprise in January.

The company said in a blog post that it expects to get its Chinese accreditation “very soon”.

Zhang’s former employer, .top, is second only to .xyz in terms of new gTLD registration volume, also due to Chinese sales. It has about 3.7 million names in its zone file, compared to .xyz’s 6.1 million.

People are forgetting .com exists — ICANN survey

Kevin Murphy, September 22, 2016, Domain Policy

Have you ever heard of .com, .net and .org?

That question was posed to 3,349 domain name registrants in 24 countries by market research firm Nielsen this June and guess what — awareness of all three cornerstone gTLDs was down on a comparable 2015 survey.

Unbelievably, only 85% of respondents professed to be aware of .com’s existence, compared to 86% in 2015.

Equally unbelievably, awareness of .net and .org fell from 76% to 69% and from 70% to 65% respectively between 2015 and 2016, the survey found.

Those are just three among many hundreds of findings of the Nielsen survey, which was carried out in order to inform ICANN’s Competition, Consumer Trust & Consumer Choice Review.

The CCT is one of the reviews deemed mandatory before ICANN is able to launch the next round of new gTLD applications.

A great many of the numbers revealed by the survey are seriously open to question — some could even be empirically proven wrong.

But David Dickinson, project lead for Nielsen on the survey, told DI yesterday that the numbers themselves are less important than the trends, or lack thereof, that they might represent.

Nielsen carried out two surveys in 2015 — one of consumers and one of registrants — then repeated both surveys again a year later.

Respondents were selected from a pool of people who have at some point indicated to third-party market research companies that they are available to take surveys online, Dickinson said. They are usually compensated via some kind of redeemable loyalty points scheme.

The registrant surveys were limited to those who said they have registered a domain name. The consumer survey was limited to those who said they spend more than five hours a week online.

While the number of respondents were measured in the low thousands, the idea is that they provide a representative sample of all internet users and domain name registrants.

But there’s a lot of weirdness in the numbers.

Dickinson said that the 85% awareness number for .com could be due partly to random “mechanical errors” — people clicking the wrong buttons on their survey form — but said that lack of awareness was more common among younger respondents who were more likely to be aware of newer, less generic TLDs.

The surveys also highlighted a bizarre split in TLD awareness between consumers and registrants.

Given that registrants are a subset of consumers, and given that they are by definition more familiar with domain names, you’d expect respondents to the registrant surveys to show higher TLD awareness than those responding to the consumer surveys.

But the opposite was true.

The surveys found, for example, that 95% of consumers knew about .com, but only 85% of registrants did. For .net and .org the numbers were 88%/69% and 83%/65% respectively. None of it makes any sense.

Dickinson said that the 2015 consumer/registrant awareness numbers were “almost identical”.

“My only real conclusion here is that [in 2016] there was some systematic difference in the diligence that the registrants selected these names on these awareness questions, and that a large portion of that is just due to random variation,” he said.

“However, when we do look at those people who are registering new gTLDs, they tended to have much lower awareness of those legacy gTLDs than those people who were unaware or had not registered those new gTLDs,” he said.

“The people who said they did not recognize any of those new gTLDs at all the are very very centric on the legacy gTLDs and in particular .com,” he said.

“I think the data is overstated because of the random variation but there is a learning here when we break it down… that those legacy domains are becoming less relevant or less noticed by the younger people and the people who are registering these new gTLDs,” he said.

“I think there is a shift going on, but it’s not as big as what is stated here [in the numbers],” he said.

The surveys also looked at awareness and registration levels for new, 2012-round gTLDs, but again the numbers probably don’t accurately reflect reality.

For example, 39% of registrants claimed to have heard of .email domain names and 15% claimed to have actually registered one.

Again, these numbers don’t seem plausible. There are fewer than 60,000 .email domains in existence today. Even if there were only one million domain registrants in the world, 15% registration rate would mean at least 150,000 names should have been sold.

Dickinson said that this number could have been higher due to selection bias. The survey took about half an hour on average to fill out, so people more personally interested or invested in internet or domain name related stuff might have been more likely to stick around and complete it.

Interestingly, new gTLD awareness rates in North America were substantially lower than awareness elsewhere in the world. For example, only 25% of North Americans professed to have heard of .news, but that grew to 42% in Asia where most languages use a different script.

My sense here is that respondents — which all took the surveys in their native languages — may have just been clicking to confirm English words they recognized, rather than TLDs they had seen in the wild.

Nielsen clearly suspected that there would be an element of “false recall” among respondents because it actually included some fake TLDs among the real ones.

This led to findings such as: 26% of Africans have heard of .cairo, 17% of North Americans have heard of .toronto and 21% of South Americans have heard of .bogota.

None of those city TLDs exist.

Dickinson explained this as “assumed familiarity”.

“What very much seems to happen is that if something has an implied ‘face validity’ — it seems to make sense or seems to be readily interpretable — then those ones will get higher stated awareness than the ones that are just random letters, such as .xyz,” he said.

Indeed, while there are over six million .xyz domains out there today, with high-profile registrants including Google, only 13% of respondents claimed to be aware of it.

“The more implied familiarity or sense of familiarity there is, the more likely people are to feel like they’ve been there or seen it, so it’s definitely a false recall, but the learning from that is that the more interpretable… those things are then they have more easy acceptance by consumers than things that are not interpretable,” Dickinson said.

The surveys did not only cover awareness and registration patterns. There are literally hundreds of data points in there covering different perceptions of TLDs new and old. I’ve just focused here on the ones that made me question whether the survey was worth the time, expense and paper it was written on.

But Dickinson said that the raw numbers are not necessarily what the ICANN review teams should be looking at.

“Maybe the absolute number is not exactly dead-on, but what are the relationships between the numbers?” he said.

“I tend to look at the relationships, so for example one of the objectives of doing this survey was to see if the new gTLD program impacted the perception of the industry in any way, or trustworthiness in the industry,” he said.

“For example, we can say we’re not sure it improved — the numbers didn’t change significantly in that direction to allow us to definitively say it improved — but it certainly did not decline,” he said. “We can rule out that it declined.”

“Overall, we can say that the new gTLD program is emerging with fairly strong awareness, relative,” he said.

“We can also say with certainty that none of those new gTLDs are anywhere approaching the awareness of the legacy gTLDs, and even if there is some erosion in the legacy gTLDs it’s going to take a long time for those to reach parity, if they ever do,” he said.

The Nielsen surveys are one input to the work of the volunteer CCT Review Team, which intends to publish its preliminary report before the end of the year.

CCT-RT chair Jonathan Zuck recently published a blog post on the ICANN web site giving a progress report on recent work.

Verisign data shows new gTLDs drive almost three quarters of Q2 growth

Kevin Murphy, September 19, 2016, Domain Registries

New gTLDs were responsible for the large majority of domain name industry volume growth in the second quarter, but you’d never know it reading Verisign’s latest Domain Name Industry Brief.

The domain universe increased to 334.6 million names at the end of June, according to the latest DNIB, which was published (pdf) last week.

That’s a 8.2 million increase on the 326.4 million it reported in its Q1 DNIB report (pdf).

Verisign reports the increase as 7.9 million, possibly due to new data that emerged after the Q1 report was published.

Whether it was 7.9 million or 8.2 million, most of the growth was due to new gTLDs.

In the DNIB, data on new gTLDs is always presented on page three of the three-page report in such a way to make apples-to-apples comparisons with .com and ccTLDs not straightforward.

While the reports highlight the growth of ccTLDs and Verisign’s own .com and .net registries in absolute and percentage terms, they do not do so for new gTLDs.

(They’ve also been calling ccTLDs “geographic gTLDs” for years and nobody seems to have noticed.)

But comparing Q1 and Q2 DNIB reports shows that new gTLDs contributed 5.9 million of the 8.2/7.9 million quarterly increase, in other words just shy of 72% of the industry’s total volume growth.

That’s the biggest contribution new gTLDs have made to growth in any quarter to date.

The growth can be attributed to .xyz’s penny deals in June, which saw domainers acquire millions of names for essentially nothing.

Meanwhile, .com and .net combined contributed just 700,000 domains to growth and .net actually shrunk by 100,000 names, its first dip since Q1 2015.

The ccTLD market data presented in the DNIBs is probably not entirely reliable. Verisign is still using the December 2014 number for free ccTLD .tk, which I think is about six million names lower than its current level.

West.cn targets Engrish domainers with new .xyz site

Kevin Murphy, August 26, 2016, Domain Registrars

West.cn, the Chinese registrar that has quickly become the highest-volume seller of new gTLD domains, has turned its attention to the English-speaking market.

The company has launched a new site at West.xyz, offering domains at some of the cheapest prices available, in English.

A .com can be obtained for the equivalent of $8.25 a year, while a .xyz costs about $1.20, according to the site. In .top, names are on sale for about $0.60.

West.xyz is still pricing its names in CNY, which may be off-putting to buyers in English-speaking markets.

The quality of the translation is currently quite poor also, verging on what razy lacists know as “Engrish”.

“Wish you a good luck in deals!” the front page offers.

“We hope to let all customers invest breezily and contribute to the domain industry with unremitting efforts,” the About page reads.

“In future, west.xyz will devote itself to the healthy and sustainable domain industry development and serve all customers wholeheartedly.”

The choice of .xyz as the domain for the new site is perhaps not surprising.

West.cn is XYZ.com’s biggest-volume channel partner, and recently put $1.5 million into subsidizing .xyz renewal fees.

Confused by new gTLDs? Allow this Nominet infographic to make your brain explode

Kevin Murphy, August 23, 2016, Domain Registries

There are over 1,000 new gTLDs out there right now, and figuring out what’s going on in the marketplace can be difficult.

So what better way to reduce confusion than to plot the 250 most populous TLDs into an infographic that vaguely resembles the iconic London Underground route map?

There must be thousands of better ways.

Regardless, the Tube map idea is the one Nominet decided to run with, and it released this beauty today.

Tube map

While the strings have been roughly organized by categories, there doesn’t seem to be much logic to the layout otherwise.

If one were to overlap the map on a map of London, there doesn’t appear to be much relationship between the string and the characteristics of the corresponding neighborhood.

DI World International Global Headquarters would be sandwiched between .lawyer and .marketing, or thereabouts, just to the north of Jack the Ripper’s stalking ground of .miami.

There is a Citizens Advice Bureau across the street, but I’m not sure that makes this area a hotbed of legal activity.

Market-leading .xyz would be up in Walthamstow somewhere, quite off the beaten track, .tokyo would be close to Chinatown, and .city is nowhere near the City.

I’m probably reading it wrong.

Anyway, the full map can be puzzled over in PDF format here, and you can read Nominet CEO Russell Haworth’s accompanying blog post here.

Industry lays into Verisign over .com deal renewal

Kevin Murphy, August 15, 2016, Domain Registries

Some of Verisign’s chickens have evidently come home to roost.

A number of companies that the registry giant has pissed off over the last couple of years have slammed the proposed renewal of its .com contract with ICANN.

Rivals including XYZ.com (sued over its .xyz advertising) and Donuts (out-maneuvered on .web) are among those to have filed comments opposing the proposed new Registry Agreement.

They’re joined by business and intellectual property interests, concerned that Verisign is being allowed to carry on without implementing any of the IP-related obligations of other gTLDs, and a dozens of domainers, spurred into action by a newsletter.

Even a child protection advocacy group has weighed in, accusing Verisign of not doing enough to prevent child abuse material being distributed.

ICANN announced last month that it plans to renew the .com contract, which is not due to expire for another two years, until 2024, to bring its term in line with Verisign’s contracts related to root zone management.

There are barely any changes in the proposed new RA — no new rights protection mechanisms, no changes to how pricing is governed, and no new anti-abuse provisions.

The ensuing public comment period, which closed on Friday, has attracted slightly more comments than your typical ICANN comment period.

That’s largely due to outrage from readers of the Domaining.com newsletter, who were urged to send comments in an article headlined “BREAKING: Verisign doubles .COM price overnight!”

That headline, for avoidance of doubt, is not accurate. I think the author was trying to confer the idea that the headline could, in his opinion, be accurate in future.

Still, it prompted a few dozen domainers to submit brief comments demanding “No .com price increases!!!”

The existing RA, which would be renewed, says this about price:

The Maximum Price for Registry Services subject to this Section 7.3 shall be as follows:

(i) from the Effective Date through 30 November 2018, US $7.85;

(ii) Registry Operator shall be entitled to increase the Maximum Price during the term of the Agreement due to the imposition of any new Consensus Policy or documented extraordinary expense resulting from an attack or threat of attack on the Security or Stability of the DNS, not to exceed the smaller of the preceding year’s Maximum Price or the highest price charged during the preceding year, multiplied by 1.07.

The proposed amendment (pdf) that would extend the contract through 2024 does not directly address price.

It does, however, contain this paragraph:

Future Amendments. The parties shall cooperate and negotiate in good faith to amend the terms of the Agreement (a) by the second anniversary of the Effective Date, to preserve and enhance the security and stability of the Internet or the TLD, and (b) as may be necessary for consistency with changes to, or the termination or expiration of, the Cooperative Agreement between Registry Operator and the Department of Commerce.

The Cooperative Agreement is the second contract in the three-way relationship between Verisign, ICANN and the US Department of Commerce that allows Verisign to run not only .com but also the DNS root zone.

It’s important because Commerce exercised its powers under the agreement in 2012 to freeze .com prices at $7.85 a year until November 2018, unless Verisign can show it no longer has “market power”, a legal term that plays into monopoly laws.

So what the proposed .com amendments mean is that, if the Cooperative Agreement changes in 2018, ICANN and Verisign are obligated to discuss amending the .com contract at that time to take account of the new terms.

If, for example, Commerce extends the price freeze, Verisign and ICANN are pretty much duty bound to write that extension into the RA too.

There’s no credible danger of prices going up before 2018, in other words, and whether they go up after that will be primarily a matter for the US administration.

The US could decide that Verisign no longer has market power then and drop the price freeze, but would be an indication of a policy change rather than a reflection of reality.

The Internet Commerce Association, which represents high-volume domainers, does not appear particularly concerned about prices going up any time soon.

It said in its comments to ICANN that it believes the new RA “will have no effect whatsoever upon the current .Com wholesale price freeze of $7.85 imposed on Verisign”.

XYZ.com, in its comments, attacked not potential future price increases, but the current price of $7.85, which it characterized as extortionate.

If .com were put out to competitive tender, XYZ would be prepared to reduce the price to $1 per name per year, CEO Daniel Negari wrote, saving .com owners over $850 million a year — more than the GDP of Rwanda.

ICANN should not passively go along with Verisign’s selfish goal of extending its unfair monopoly over the internet’s most popular top-level domain name.

Others in the industry chose to express that the proposed contract does not even attempt to normalize the rules governing .com with the rules almost all other gTLDs must abide by.

Donuts, in its comment, said that the more laissez-faire .com regime actually harms competition, writing:

It is well known that new gTLDs and now many other legacy gTLDs are heavily vested with abuse protections that .COM is not. Thus, smaller, less resource-rich competitors must manage gTLDs laden (appropriately) with additional responsibilities, while Verisign is able to operate its domains unburdened from these safeguards. This incongruence is a precise demonstration of disparate treatment, and one that actually hinders effective competition and ultimately harms consumers.

It points to numerous statistics showing that .com is by far the most-abused TLD in terms of spam, phishing, malware and cybersquatting.

The Business Constituency and Intellectual Property Constituency had similar views about standardizing rules on abuse and such. The IPC comment says:

The continued prevalence of abusive registrations in the world’s largest TLD registry is an ongoing challenge. The terms of the .com registry agreement should reflect that reality, by incorporating the most up-to-date features that will aid in the detection, prevention and remediation of abuses.

The European NGO Alliance for Child Safety Online submitted a comment with a more narrow focus — child abuse material and pornography in general.

Enasco said that 41% of sites containing child abuse material use .com domains and that Verisign should at least have the same regulatory regime as 2012-round gTLDs. It added:

Verisign’s egregious disinterest in or indolence towards tackling these problems hitherto hardly warrants them being rewarded by being allowed to continue the same lamentable
regime.

I couldn’t find any comments that were in unqualified support of the .com contract renewal, but the lack of any comments from large sections of the ICANN community may indicate widespread indifference.

The full collection of comments can be found here.

Survey: more people know about new gTLDs but fewer trust them

People are becoming more aware that new gTLDs exist, but there’s less trust in them that there was a year ago, according to an ICANN-sponsored survey.

The second annual Global Consumer Survey, which was published late last week, shows that 16% of respondents had heard of specific new gTLDs, on average.

That’s up 2% on last year’s survey.

The number for TLDs added in the last year was 20%, with .news leading the pack with 33% awareness.

However, fewer people were actually visiting these sites: 12% on average, compared to 15% a year ago. For TLDs added in the last year, visitation averaged 15%.

And the amount of trust placed on new gTLDs added prior to the 2015 survey was down from 49% to 45% — half the level of .com, .org and .net.

For TLDs added since last year’s survey, trust was at 52% on average.

The 2015 survey looked only at .email, .photography, .link, .guru, .realtor, .club and .xyz. For this year’s survey, respondents were also asked about .news, .online, .website, .site, .space, .pics, .top, .bank, .pharmacy, and .builder.

The number of registered domains did not seem to have an impact on how aware respondents were on individual extensions.

.xyz, for example, had the lowest awareness of those used in the survey — 9% versus 5% in 2015 — despite being the runaway volume market leader and having scored PR coups such as Google’s adoption of abc.xyz for its new parent company, Alphabet.

Likewise, .top, second only to .xyz in the size league table, could only muster up 11% awareness.

.news, .email and .online topped the awareness list — with 33%, 32% and 30% respectively — despite having only about 500,000 names between them.

I’m not sure I buy much of this data to be honest. There’s some weirdness.

For example, the survey found that 28% of respondents claim to have visited a .email web site.

That’s a gTLD at least partially if not primarily designed for non-web use, with roughly 20,000 names that are not parked.

If over a quarter of the population were visiting .email sites, you might expect some of those sites to show up prominently in Alexa rankings, but they don’t.

But perhaps, if we take this survey as a measure of consumers perceptions, it doesn’t matter so much whether it reflects the reality of internet use.

The survey, conducted by Nielsen for ICANN, covered dozens of other aspects of internet use, including feelings on cybersecurity, navigation and such, and weighs in at 160 pages. Read it all over here.

One in seven new gTLD domain names are actually just numbers

Roughly one out of every seven new gTLD domain names active today is numbers-only before the dot, according to DI research.

It might be surprising to some that the DNS, designed to turn immemorable numbers into memorable names, is actually being used to register millions of numeric domains.

Using the almost 1,000 new gTLD zone files we had access to on July 19*, DI counted 20,933,637 unique domain names of which 3,259,684 were purely numeric.

In other words, 15.57% of new gTLD domain names only contain numbers before the dot.

Fourteen gTLDs have a third or more of their zones fully numeric. One is two-thirds numeric.

The reason for this, of course, is China.

Numeric domains are said to be popular in China due to the fact that digits are the only 10 characters permissible in DNS that Chinese speakers natively understand.

Many popular web sites in China use short, numeric .com or .cn domain names. Some short numeric domains have sold for six or seven figures to end-user companies.

So there’s a thirst for numerics among Chinese domainers, as well as domainers elsewhere who want to exploit the Chinese market.

I talked to a successful domainer recently who acquired thousands of numeric domain names purely to flip to Chinese investors.

Personally, I think the market is overblown. Data suggests there’s a limited appetite for numerics among actual end users.

Fewer than 2,700 of top one million most-visited domains, as ranked by Amazon’s Alexa service, are numeric. A quarter of a percent. Even if Alexa is wrong by a factor of 10, that’s still only 2.7% of the internet’s biggest sites using numeric domain names.

So which gTLDs are most exposed to the numeric market?

Surprisingly, given the registry’s reluctance to deeply discount its domains, two Donuts gTLDs — .gold and .run, both relatively small TLDs — top the table with 66.32% and 54.65% respectively.

I think these are anomalies. The majority of Donuts’ portfolio have far smaller percentages of numerics.

Fellow portfolio players Afilias (.bet, .kim) and Uniregistry (.lol, .mom) also feature prominently on the list.

Here’s the top 30 new gTLDs, ranked by the percentage of their zones that are numeric. It includes every gTLD over 20%.

TLDTotal DomainsNumerics%
gold9,2366,12566.32
run16,2268,86754.65
bet25,50312,40448.64
lol95,69745,15447.18
rip3,0781,35844.12
men15,5906,82243.76
mom49,41820,96442.42
kim117,98448,26240.91
wang1,065,295404,05937.93
pink40,02714,53136.3
black22,1327,65234.57
xin119,52240,55533.93
win951,275318,62233.49
vin5,8151,90832.81
ink23,5827,08230.03
fund7,0482,05729.19
ooo18,7605,46029.1
blue41,03011,72728.58
red308,88085,12127.56
vip276,56575,92527.45
pet7,9852,07926.04
rent6,9931,73824.85
top2,611,513599,27822.95
bid368,92283,34122.59
date188,20341,81522.22
ren306,37367,67822.09
gift26,7155,75221.53
wiki18,1083,76220.78
club769,527159,49320.73
sale10,6042,16220.39

In absolute terms, the larger-volume registries naturally have the larger number of numeric domains in their zones.

XYZ.com’s .xyz alone has over 867,000 numeric domains in its zone. That’s a lot of names, but in percentage terms it’s below the industry mean.

.top, .wang, .win and club, all heavily marketed in China, fill out the top five in volume terms.

Here’s the top 30 gTLDs with the largest absolute number of numerics. They account for 3,099,981 numeric domains of the 3,259,684 industry total.

TLDTotal DomainsNumerics%
xyz6,051,039867,45514.34
top2,611,513599,27822.95
wang1,065,295404,05937.93
win951,275318,62233.49
club769,527159,49320.73
red308,88085,12127.56
bid368,92283,34122.59
vip276,56575,92527.45
ren306,37367,67822.09
site417,02358,22913.96
kim117,98448,26240.91
lol95,69745,15447.18
date188,20341,81522.22
xin119,52240,55533.93
loan242,01332,53713.44
mom49,41820,96442.42
tech134,00216,80412.54
pink40,02714,53136.3
pub63,85812,45319.5
bet25,50312,40448.64
blue41,03011,72728.58
news76,72511,06814.43
online301,06810,8263.6
website157,47810,5376.69
party206,43010,2364.96
run16,2268,86754.65
download71,0488,85312.46
help50,4528,14516.14
black22,1327,65234.57
one58,5427,39012.62

While short domains are more attractive to investors and end users, the vast majority of numeric domains in new gTLDs are of course longer than five digits.

.xyz, for example, has over 757,000 numeric domains of six or more characters. .top, .wang and .win are also measured in the hundreds of thousands in this regard.

Four gTLDs — .club, .wang, .top and .xyz — are over 99% full when it comes to five-digit numeric domains (that is, they have over 99,000 numeric domains in their zones).

.win is over 95% full on that basis, after which the numbers drop sharply to 65% and below.

In terms of four-number domains, there are 10 gTLDs that are over 99% full and 16 over 90% full.

There are 36 new gTLDs over 90% full in terms of three-digit numeric domains. More than a dozen appear to be completely full (giving myself some wriggle-room for reserved names and those that otherwise don’t appear in the zone files).

So what to make of all this?

I’m not a domainer, but I’ve sometimes heard domainers compare domains to baseball cards.

Going with that analogy, I’d say that if the typical numeric domain name collection contains the odd vintage Babe Ruth**, he’s far outnumbered by cards depicting some guy’s kid playing catch in the park.

That may be true of all domain portfolios, numeric or otherwise, but I feel numerics exist primarily right now to be traded between domainers.

As long as this continues, new gTLD registries — at least the ones actually charging for their names — will continue to benefit.

* A note on methodology. Due to the way access to zone files via ICANN works (ie, sporadically) we were missing some zone files on July 19. Including the missing gTLD may alter the league tables presented above, but I don’t believe the missing data was significant to the overall totals. Only one of the top 100 gTLDs, a zone of about 28,000 names, was missing.

** I know nothing about baseball.

Verisign loses .art contract to CentralNic

CentralNic has been awarded the back-end contract for the forthcoming .art gTLD, usurping Verisign from the role.

UK Creative Ideas, which bought .art at a private auction for an undisclosed sum a year ago, appointed the company its “exclusive registry service provider”, CentralNic said.

UKCI’s original .art application named Verisign as its back-end, and this is not the first time CentralNic has sneaked away a Verisign client.

When XYZ.com acquired .theatre, and .security and .protection from Symantec, it moved them from Verisign to its .xyz provider CentralNic.

That earned XYZ and CentralNic a contract interference lawsuit, which XYZ settled in May.

Clearly litigation has not managed to chill competition in this instance.

.art is set to launch in stages over the next 12 months, CentralNic said.

UKCI estimated in its ICANN application that it would get between 25,000 and 80,000 registrations in its first year.

That may prove to be optimistic, at least at the high end.

UKCI’s vision for .art is for a restricted gTLD, which don’t tend to do huge volumes. I believe the largest restricted new gTLD is .nyc, with about 75,000 names in its zone.

All .art registrants will have to show some kind of connection to the art world, according to UKCI’s application.

This includes artists, owners and keepers of works of art, commercial art organisations (such as galleries and auction and trading houses), not-for-profit organisations (such as museums, foundations, and professional associations), supporting businesses (such as insurance, appraisal, transport) and customers and members of the general public interested in art.

Goodness knows how this will be implemented in practice, given that basically everyone is an artist to some extent.

UKCI is based in the Isle of Man, the UK dependency presumably selected for tax reasons rather than any connection to the art world, and is backed by Russian venture capitalists.

.xyz tops 5 million domains as penny deals continue

XYZ.com became the first new gTLD operator to top five million domains in a single TLD last night, when .xyz added almost 1.5 million names.

According to our parse of today’s zone file, .xyz has 5,096,589 names, up 1,451,763 on yesterday’s 3,644,826.

On Monday, the number was just under 2.8 million.

The massive spike came after what was supposed to be the final day of a three-day discounting blitz, as registrars sold the names for $0.02, $0.01 or even nothing.

Uniregistry, which sold for a penny, seems to have claimed the lion’s share of the regs.

The company supplied DI with data showing it had processed over 1.16 million registrations on June 2, about 90% of which CEO Frank Schilling said were .xyz sales.

At its peak, Uniregistry created 95,793 new domains in an hour, this data shows.

Judging by the numbers published on its home page, the registrar has pretty much doubled its domains under management overnight.

The rapid growth of .xyz is very probably not over.

Some registrars said they will carry on with the penny giveaways for an extra day.

At least one popular registrar, NameCheap, told irritated customers that the popularity of its $0.02 offer meant it had a backlog of registration requests that would take 12 to 24 hours to process. Those may not have showed up in the zone file yet.

In addition, .xyz prices are expected to be dirt cheap — just $0.18 at Uniregistry, for example — for the rest of the month, at least at the 50-odd registrars XYZ says are participating in its promotion.