Latest news of the domain name industry

Recent Posts

Donuts sticks with Rightside despite Google support

Kevin Murphy, February 8, 2017, Domain Registries

Donuts has renewed its back-end registry services contract with Rightside, Rightside has announced.

That’s despite indications a few months ago that it might have been preparing for a switch to Google’s new Nomulus platform.

Rightside said yesterday that the deal, which has seen Rightside handle the registry for Donuts’ portfolio of almost 200 gTLDs for the last five years, has been extended.

It’s a “multi-year” deal, but the length of the extension has not been revealed.

Donuts had suggested last October that it might be ready to move to Nomulus instead.

The company revealed then that it had been quietly working with Google for 20 months on the software, which uses Google’s cloud services and is priced based on resource usage.

Then-CEO Paul Stahura said Nomulus “provides Donuts with an alternative back-end with significant benefits.”

Now-CEO Bruce Jaffe said yesterday that “Rightside’s registry platform has the right combination of innovative features, ease-of-operation, scalability, and highly responsive customer support”.

Hires and promotions at Donuts, MMX and CentralNic

Kevin Murphy, January 23, 2017, Domain Registries

A few gTLD registries have announced changes to senior management positions and new hires over the last several days, so I thought I’d lump them all together into one post.

Donuts has appointed a new CEO. Venture capitalist Bruce Jaffe, who’s been on the board as an independent director for about a year, has taken over from founding CEO Paul Stahura.

Stahura is sticking around as executive chair.

The company also appointed outsider John Pollard, a veteran of Micrsoft, Expedia and various other companies, to the new role of chief revenue officer.

The company has cast the moves as a case of Donuts growing out of its startup phase.

Across the pond, Minds + Machines — which now insists on being called MMX — today announced that it has poached former Sedo chief sales officer Solomon Amoako to head up channel management as a VP.

Amoako has also held positions with Rightside and Tucows.

He’s tasked with broadening MMX’s distribution channel in the Americas and Europe.

Finally, CentralNic announced last week that it’s shipping London-based director of marketing Lexi Lavranos to Los Angeles to head up its registry business there.

As well as its stable of new gTLDs, CentralNic of course also sells the Laos ccTLD, .la, “repurposed” for the LA market.

Donuts extends DPML Plus and delays price hike

Kevin Murphy, December 28, 2016, Domain Registries

Donuts has delayed the price increases coming to its trademark-blocking service and extended availability of the “plus” version for three more months.

Domain Protected Marks List Plus, which lets companies block brands and variations such as typos and brand+keywords across Donuts stable of 200ish TLDs, will now be available until March 31.

The price hike for vanilla DPML, which does not include the variant-blocking, has also been delayed until the end of January, the registry said.

Both deadlines were previously December 31.

DPML Plus, which grants 10-year blocks on one trademark and three variants in every Donuts TLD, has a recommended retail price of $9,999.

Fully exploited, that amounted at the September launch to $1.26 per blocked domain per year, but Donuts’ portfolio has grown since then.

Retail prices for the plain DPML are reportedly going up from $2,500 per string to $4,400 for a five-year block at one registrar when the price rise kicks in. That’s a 76% increase.

Donuts acquires stagnant .irish TLD

Kevin Murphy, December 16, 2016, Domain Registries

Donuts has acquired the new gTLD .irish, which is struggling to gain volume after about 18 months on the market.

The gTLD was applied for and operated by Dot-Irish LLC, a US company founded by Irish and Northern Irish entrepreneurs.

Since going to general availability in June last year, it managed to grow its zone file to a peak of about 2,300 names in the first year.

That’s since dropped off to about 2,000 names.

Even self-consciously Irish registrar Blacknight has only managed to shift fewer than 500 names.

These numbers are disappointing any way you look at them, with the original gTLD application talking about an addressable market of 6 million Irish citizens and 80 million more in the Irish diaspora.

Registrar support does not seem to have been the issue. Registrars with reach, including Tucows, Name.com, Host Europe Group and Go Daddy all sell the names.

Pricing may be a factor. While Blacknight promotes .irish prominently for about $10 a year, elsewhere prices can range from $40 to $50.

The terms of the acquisition, which Donuts said closed last month, have not been disclosed.

Donuts said it will migrate .irish to its own infrastructure March 1, 2017. All policies and protection mechanisms that apply to the rest of the 198-strong Donuts stables will be applied to .irish, the company said.

Donuts loses $22.5m .web lawsuit as judge rules gTLD applicants cannot sue

Kevin Murphy, November 30, 2016, Domain Registries

The promise not to sue ICANN that all new gTLD applicants made when they applied is legally enforceable, a California judge has ruled.

Judge Percy Anderson on Monday threw out Donuts’ lawsuit against ICANN over the controversial $135 million .web auction, saying the “covenant not to sue bars Plaintiff’s entire action”.

He wrote that he “does not find persuasive” an earlier and contrary ruling in the case of DotConnectAfrica v ICANN, a case that is still ongoing.

Donuts sued ICANN at first to prevent the .web auction going ahead.

The registry, and other .web applicants, were concerned that ultimately successful bidder Nu Dot Co was being covertly bankrolled by Verisign, which turned out to be completely correct.

Donuts argued that ICANN failed to adequately vet NDC to uncover its secret sugar daddy. It wanted $22.5 million from ICANN — roughly what it would have received if the auction had been privately managed, rather than run by ICANN.

But the judge ruled that Donuts’ covenant not to sue is enforceable. Because of that, he made no judgement on the merits of Donuts’ arguments.

Under the relevant law, Donuts had to show that the applicant contract was “unconscionable” both “procedurally” and “substantively”.

Basically, the question for the judge was: was the contract unfairly one-sided?

The judge ruled (pdf) that it was not substantively unconscionable and “only minimally procedurally unconscionable”. In other words: a bit crap, but not illegal.

He put a lot of weight on the fact that the new gTLD program was designed largely by the ICANN community and on Donuts’ business “sophistication”. He wrote:

Without the covenant not to sue, any frustrated applicant could, through the filing of a lawsuit, derail the entire system developed by ICANN to process applications for gTLDs. ICANN and frustrated applicants do not bear this potential harm equally. This alone establishes the reasonableness of the covenant not to sue.

Donuts VP Jon Nevett said in a statement yesterday that the fight over .web is not over:

Donuts disagrees with the Court’s decision that ICANN’s required covenant not to sue, while being unconscionable, was not sufficiently unconscionable to be struck down as a matter of law. It is unfortunate that the auction process for .WEB was mired in a lack of transparency and anti-competitive behavior. ICANN, in its haste to proceed to auction, performed only a slapdash investigation and deprived the applicants of the right to fairly compete for .WEB in accordance with the very procedures ICANN demanded of applicants. Donuts will continue to utilize the tools at its disposal to address this procedural failure.

It looks rather like we could be looking at an Independent Review Process filing, possibly the first to be filed under ICANN’s new post-transition rules.

Donuts and ICANN are already in the Cooperative Engagement Process — the mediation phase that usually precedes an IRP — with regards .web.

Second-placed bidder Afilias is also putting pressure on ICANN to overturn the results of the auction, resulting in a bit of a public bunfight with Verisign.

TL;DR — don’t expect to be able to buy .web domains for quite a while to come.