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Tucows splurges $30 million on Ascio

Kevin Murphy, March 19, 2019, Domain Registrars

Tucows has spent almost $30 million on rival channel-focused registrar Ascio Technologies.

The company announced this morning that the $29.44 million deal will add about 1.8 million domains to its portfolio of managed names, along with an extra 500 resellers.

Ascio was generating $4 million of annual EBITDA before the deal closed, Tucows said in a press release, adding:

The Ascio reseller base fits squarely with Tucows’ core customer profile — ISPs, web hosting companies and website builders serving quality businesses that reward outstanding customer service with long-term loyalty.

Ascio has been owned by CSC Digital Brand Services since 2016, when it was acquired as part of a bundle of registrars in the NetNames group.

As a channel play, it was not really a fit with CSC’s core brand-protection market. It is of course a fit with Tucows, which owns OpenSRS.

The deal, which closed yesterday, has reduced choice in the space, which may not sit well with some resellers.

Guess which registrars sell the most gTLDs

Kevin Murphy, October 19, 2016, Domain Registrars

MarkMonitor has become the first accredited registrar to carry over 500 gTLDs.

Inspired by a recent Dynadot press release outlining its passing of the 500-TLD mark, I thought I’d put together a league table of gTLD registrars, ordered by which carries the most.

It will come as little surprise to most that brand protection registrars dominate the top end of the list.

MarkMonitor tops the league, with 504 gTLDs in its stable as of the end of June, up from 499 in May.

It’s closely followed by Ascio and CSC. Indeed, brand-focused registrars occupy many of the top 30 registrars, as you can see from this table.

RegistrargTLDsDUM
MarkMonitor504849,074
Ascio4961,655,320
CSC4871,082,854
101domain487136,412
Com Laude47866,412
Openprovider469234,052
Gandi4651,180,478
Key-Systems463153,603
SafeNames449140,483
Lexsynergy44619,907
Instra443164,189
SafeBrands44029,312
1API440628,558
IP Mirror43943,803
EuroDNS432182,798
OVH4301,961,644
Marcaria.com42729,044
united-domains424652,278
Name.com4181,644,616
eNom41512,108,692
Dynadot413638,676
Tucows4109,782,941
COREhub409217,776
Crazy Domains405631,186
Network Solutions4016,555,354
1&1 Internet4005,845,447
GoDaddy.com39753,948,610
Soluciones Corporativas397128,998
PublicDomainRegistry.com3916,113,121

There’s no real correlation between the number of gTLDs carried and the total domains under management for the registrar.

GoDaddy, with 53 million names, is way down in 28th position, for example.

The list was compiled from the latest gTLD registry reports, which show how many domains were registered to each accredited registrar at the end of June.

The data does not not include ccTLDs, nor does it account for situations where registrars may retail a TLD via a gateway or as a reseller of another registrar.

.health backer has cop-like takedown powers for all gTLDs in Japan

Kevin Murphy, December 8, 2014, Domain Registrars

LegitScript, a US company focused on eradicating illegal online pharmacies, which backs the .pharmacy and .health gTLDs, has been given police-like powers to have domain names taken down in Japan.

It has also emerged that when IP Mirror, a brand protection registrar, was hit with an embarrassing ICANN contract-breach notice in November, it was as a result of a LegitScript complaint.

Under section 3.18.2 of ICANN’s 2013 Registrar Accreditation Agreement, registrars must have a 24/7 abuse hotline that can be used by “law enforcement, consumer protection, quasi-governmental or other similar authorities” to report illegal activity.

Registrars must act on complaints made to the hotline within 24 hours, but only authorities designated by national governments get to use it.

Now, it transpires that LegitScript has been formally designated a 3.18.2 authority by the Japanese Ministry of Health, Labor and Welfare.

That means the US company’s complaints about domains hosting potentially illegal pharmacy sites have the same weight as complaints from the Japanese police, when made to registrars that have an office in Japan, even if they’re headquartered elsewhere.

IP Mirror, which was recently acquired by CSC Digital Brand Services, is based in Singapore but has an office in Tokyo.

As far as I can tell, most of the top 10 registrars do not have offices in Japan. KeyDrive (Moniker, Key-Systems etc) may be the exception. GMO is the largest registrar based in Japan.

LegitScript announced its relationship with the Japanese ministry in September (I missed it at the time) and company president John Horton provided some context to the IP Mirror breach notice on CircleID today.

I only report the deal today because it strikes me as noteworthy that a private enterprise has been given the same powers under the 2013 RAA as law enforcement and government consumer protection agencies — and it’s not even in its home territory.

Horton told DI today that while LegitScript is legally based in the US and has offices in the EU, only Japan has so far formally granted it 3.18.2 powers. He said in an email:

We only have formal Section 3.18.2 designation in Japan at present. We have some other endorsements or recommendations by or on behalf of government authorities, although they do not specifically reference Section 3.18.2. We work closely with the Italian Medicines Agency and the Irish Medicines Board, for example, and report rogue Internet pharmacies in consultation with them.

Horton pointed out that anybody is able to to file abuse complaints under the 2013 RAA — and registrars are obliged to “take reasonable and prompt steps to investigate and respond appropriately”.

His CircleID piece cites two instances in which such complaints from LegitScript resulted in ICANN breach notices.

The chief difference is that under 3.18.2 registrars do not have much flexibility in their response times. They have to “take necessary and appropriate actions” within a black-and-white 24-hour deadline.

Melbourne IT gets out of brand protection with $157m sale to CSC

Kevin Murphy, March 12, 2013, Domain Registrars

Corporation Service Company has acquired Melbourne IT’s flagship digital brand management service for a ridiculously expensive AUD 152.5 million ($157m).

The shock news takes Melbourne out of the high-margin defensive registration and brand monitoring market, leaving it as a basic domain registrar focused on small businesses.

For CSC, the deal leaves it with a considerably strengthened hand in the DBS space, which is poised to benefit from the massive influx of new gTLDs over the next few years.

It also means that all of the over 100 new gTLD applications Melbourne was supporting as a consultant will now be managed by CSC.

The price of AUD 152.5 million is far more than Melbourne IT could have hoped to ask for, equal to almost its entire market capitalization of AUD 160 million.

Melbourne has had a rocky time on the markets of late, and had previously disclosed that it was looking to sell off some units in order to appease shareholders and rationalize its business.

But DBS was considered a core business, bigger now than Melbourne’s regular domains business, and likely not for sale. CSC’s high-premium offer was too good, it seems, to be responsibly refused.

“While this was not a business that we had specifically earmarked for sale, given the value creation provided by the transaction, this was an opportunity which could not be ignored,” CEO Theo Hnarakis, said in a statement.

The deal follows the sale of MarkMonitor, a key Melbourne competitor, to Thomson Reuters last July. When it comes to brand protection in the domain name space, it’s a big boy’s game nowadays.

Melbourne will remain a domain registrar with over four million names under management.

The DBS business was formed in 2008, largely as a result of Melbourne’s purchase of Verisign’s brand services division for $50 million.

.xxx sunrise auctions delayed after 80k applications

Kevin Murphy, November 2, 2011, Domain Registries

ICM Registry has apparently delayed the results of its just-closed .xxx sunrise period until December to give it a chance to clear its backlog of unverified applications.

Corporation Services Company, a major brand-protection registrar, is reporting tonight that ICM and its validation firm, IProta, does not expect to finish validating trademark claims until November 28.

That’s a week later than ICM had planned to kick off the auction phase of the sunrise period, during which contested domains will be awarded to the highest bidder.

“The results of the applications that were submitted during the Sunrise phase will therefore not be available until the first week of December,” CSC said on its blog.

ICM announced yesterday that it has received almost 80,000 sunrise applications from trademark owners and porn companies seeking .xxx domains to match their .coms.

Almost half of those applications were filed during the last week of sunrise. Each trademark claim needs to be individually validated against government databases by IProta.

The plan, according to ICM’s web site, was to start auctioning contested sunrise domains November 21 and to take .xxx into general availability December 6.

Landrush kicks off next Tuesday, running for 17 days. Landrush auctions are scheduled to commence December 12, according to ICM’s web site.