Latest news of the domain name industry

Recent Posts

XYZ fighting red tape to serve Chinese customers

Kevin Murphy, September 8, 2015, Domain Registries

XYZ.com is trying to become one of the first non-Chinese gTLD registries to be able to sell unhindered into the Chinese market, in the face of Draconian government regulations.

The company has filed a Registry Services Evaluation Process request with ICANN — the first of its kind — that would let it use a gateway service, based in China, to comply with strict local laws on registries, registrars and registrants.

The Ministry of Industry and Information Technology regulations have been in place for a decade, but it’s only in the last year or so, in light of the new gTLD program, that China has been strictly enforcing them.

Anyone in China can buy a domain, but you need a license if you want to put up a web site, according to Gavin Brown, CTO of .xyz back-end CentralNic. Registrants also need to have their Whois information verified and validated, he said.

The problem for Chinese residents today is if they buy a domain in a TLD that is not licensed by the government, they won’t be able to obtain a license to host a web site on that domain.

The .xyz gTLD is believed to have a few hundred thousand domains registered via Chinese registrars, a substantial portion of its total.

There’s a worry that China could demand the deletion of these names and others, as it has previously in .cn, if the proper licenses have not been obtained.

Naturally, the inability to use these domains has led to a lot of pissed-off registrants. XYZ says has been receiving complaints from its registrars in the country, which in turn have been receiving complaints from their customers.

XYZ proposes to fix the problem by using a gateway service provided by ZDNS, a DNS provider based in mainland China.

Registrars in the country would maintain a separate EPP connection to ZDNS, which would act as a proxy to CentralNic’s UK-based primary EPP system.

ZDNS, which is prominently promoting its gateway service on its web site, would handle the Whois verification and also proxy the .xyz Whois lookup service, but only as it pertains to Chinese registrants and queries originating in China.

Data on non-Chinese registrants would continue to be housed with CentralNic.

ZDNS would also prevent Chinese registrants registering domains containing strings that have been banned by the government.

XYZ’s RSEP request (pdf) is currently undergoing its technical/competition review with ICANN. Assuming it passes, it would be exposed to public comment before being approved.

The RSEP states: “we are confident that the entire Internet user base of China would endorse this service and that Chinese registrars would strongly endorse this service.”

It’s the first such request to ICANN, suggesting that an awful lot of gTLDs are still not compliant with the Chinese regulations.

As of April, only 14 TLDs — all managed by China-based companies — were licensed to operate in China.

Draconian Chinese crackdown puts domain industry at risk

Kevin Murphy, May 27, 2015, Domain Policy

The vast majority of top-level domain registries could soon be banned from selling domains into China due to a reported crackdown under a decade-old law.

That’s according to Allegravita, a company that helps registries with their go-to-market strategies in the country.

Allegravita released a report last week claiming that Chinese registrars will be forbidden to sell domains in TLDs that are not on a government-approved list.

The crackdown could come as early as July, the report says:

Foreign registries which have not applied for Chinese market approval are advised to do so in the near term, as unapproved Top-Level Domains are likely to be taken off the market from July this year.

As of April 30, there were only only 14 TLDs on the approved list. All of them are run by Chinese registries and only five do not use Chinese script.

Not on the list: every legacy gTLD, including .com, as well as every ccTLD apart from .cn.

The Draconian move is actually the implementation of regulations introduced by China’s Ministry of Industry and Information Technology over a decade ago but not really enforced since.

As I reported in December, Donuts was facing problems launching its Chinese-script gTLDs due to this red tape.

MIIT announced in 2012 that new gTLD applicants would need licenses to sell into China.

According to Allegrevita, which until recently was working heavily with TLD Registry (“.chinesewebsite”) on its entry into the country, it’s “no longer ambiguous” that MIIT has asserted full oversight of the domain industry in China.

MIIT’s crackdown appears to be focused on the 93 Chinese registrars it has approved to do business.

Allegravita says these companies will not be allowed to sell unapproved TLD domains to Chinese registrants, but that existing registrations will be grandfathered:

by sometime in July 2015, the MIIT will not permit unapproved registries to operate or offer their domains for sale in China. The MIIT will not interfere with existing domain registrations for unapproved registries; however, new registrations will not be permitted to be sold by Chinese registrars to Chinese registrants.

Presumably, non-Chinese registrars will reap the benefits of this as Chinese would-be registrants look elsewhere to buy their domains.

China is an important market for many registries, particularly the low-cost ones.

Judging by MIIT’s web site, getting approval to sell your TLD in China involves a fairly stringent set of requirements, including having a local presence.

MIIT said in a press release last month that the “special action” is designed “to promote the healthy development of the Internet, to protect China’s Internet domain name system safe and reliable operation

Donuts blames “license” problems for Chinese gTLD delays

Kevin Murphy, December 8, 2014, Domain Registries

Donuts says that problems obtaining “licenses” from the Chinese government are to blame for the fact that it is yet to launch any of its Chinese-script new gTLDs.

Currently, four of the company’s portfolio of 156 gTLDs are in Chinese. Three have been delegated to the DNS root but none of them have been launched.

The first, .游戏 (for “games”) has been in the root since October 2013, but does not yet have a firm date for Sunrise. Another, .商店 (“shop”), was delegated just last week, almost a year after Donuts signed its Registry Agreement with ICANN.

Donuts explained the .游戏 delay with the following statement:

The Chinese government division which handles this area is MIIT [Ministry of Industry and Information Technology] and in conjunction with [.cn registry] CNNIC they are still to advise of the licensing application process. We hope to make these TLDs available during the first half of 2015.

No additional details were available and it’s not clear what licenses Donuts — which is based in the United States — thinks it needs to obtain before launching.

I’ve heard rumors that China may introduce a licensing system in future, but other new gTLD registries with Chinese-script strings in their stable have managed to launch their gTLDs just fine without a Chinese government license.

TLD Registry — legally based in Dublin, Ireland, founded by Finns — launched .中文网 and .在线 earlier this year and has tens of thousands of names under management.

Thousands of those domains, which match Chinese geographic names, were allocated to Chinese government, however.

“No licenses are currently possible, because the new law is MIA,” TLD Registry chief marketing officer Simon Cousins told us.

China proposes to split up the DNS

Kevin Murphy, June 18, 2012, Domain Policy

A trio of Chinese techies have proposed a new IETF standard to enable governments to break up the Domain Name System along national borders.

Named “DNS Extension for Autonomous Internet (AIP)”, the spec describes a way to operate alternate DNS root servers within national boundaries using gateways for translation.

For internet users subscribed to one of these “AIP” networks, DNS requests would carry an extra TLD, such as .a or .b, to flag the fact that the requests are headed for an alternate root:

Domain node “www.yahoo.com” in network B is expressed as “www.yahoo.com.B” for its external domain name.

Written in broken English, the Internet Draft is a poorly masked description of a way to install government censorship via officially sanctioned domain name system Balkanization.

It appears to be designed to enable governments to cut ICANN and the authoritative DNS root out of the picture entirely in favor of a national peering system more akin to traditional telecoms networks.

The paper reads:

In order to realize the transition from Internet to Autonomous Internet, each partition of current Internet should first realize possible self-government and gradually reduce its dependence on the foreign domain names, such as COM, NET et al.

It is not likely the whole Internet can be transformed synchronally in one time. In order not to affect existing domain name resolution before the Internet core part transforms into an AIP network, any country can set up an AIP DNS independently and connect to the Internet through the original link; or any two countries in agreement can set up their AIP networks and connect to each others.

The paper was written by Yuping Diao of Guangdong Commercial College, Yongping Diao of China Telecom and Ming Liao of China Mobile.

It’s just an Internet Draft at this stage, and probably nothing to get too worked up about, but it does reflect the Bigger Picture framing the ICANN expansion of the DNS.

During the ITU’s World Conference on International Telecommunications this December, backwards governments are expected to proposed a greater degree of government control over the internet.

China cracks down on new gTLD applicants

Kevin Murphy, March 2, 2012, Domain Policy

Chinese companies planning to apply to ICANN for a new generic top-level domain will have to get a permit from the government, it has been announced.

Applicants will have to reveal their services, their contingency plans, and their trademark protection and anti-abuse procedures, among other details, to China before applying.

The news, which could be troubling to some Chinese gTLD applicants, came in an official Ministry of Industry and Information Technology announcement yesterday.

A local source confirmed that the Ministry plans to issue permits to new gTLD applicants.

It seems to apply to any gTLD, but a second set of regulations to govern the obtaining of government non-objection letters in the case of geographic strings has also been introduced.

These rules seem to apply only to local companies. As far as I know China is not yet claiming exclusive ownership of the Chinese language and script as it has in the past.

I also hear on the grapevine that China thinks ICANN is subject to a business tax on its $185,000 application fees, and that applicants are being asked to pre-pay this tax on ICANN’s behalf.

The nation has form when it comes to heavy-handed domain name industry regulation.

Rules forcing registrants to submit ID when they register .cn domain names have caused the number of ccTLD registrations to plummet over the last couple of years.

The .cn space peaked at about 14 million domains under management in 2009 and stands at just 3.3 million today.