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Third ICM windfall due as .sex hits sunrise

Kevin Murphy, September 2, 2015, Domain Registries

If we’ve learned one thing about new gTLD sunrise periods, it’s that adult-oriented TLDs sell quite well.

ICM Registry started its third such period yesterday, as .sex went into its “TMCH Sunrise” phase.

Until October 1, any company with a trademark in the Trademark Clearinghouse will be able to buy a matching .sex domain on a first-come, first-served basis.

From October 5 to October 30, anyone with a .xxx domain name or current .xxx “Sunrise B” block will be able to buy the matching .sex during the Domain Matching phase.

Anyone who buys a .xxx before October 1 will be able to participate in this second sunrise.

ICM reported in May that .porn received 3,995 sunrise registrations while .adult sold 3,902 — both via a combination of TMCH Sunrise sales and blocks.

At ICM’s prices, that’s enough to comfortably cover its ICANN application fees.

Every other new gTLD with the exception of .sucks has sold fewer than 1,000 sunrise names.

General availability for .sex starts November 4.

ICM claws back 68 .porn names it accidentally released

ICM Registry has recovered nine .porn and .adult domain names from their registrants after they were accidentally released into the market.

Domains such as ads.porn, hosting.adult and buy.porn were among those snapped up by registrants, despite the fact that they were supposed to be registry-reserved.

ICM CEO Stuart Lawley told DI that a list of 68 .porn/.adult names (34 strings in each of the two gTLDs) have been brought back into the registry’s portfolio.

Only nine had been registered in the less than 24 hours the names were in the available pool, he said.

Lawley said it was his own personal fault for not sending the reserved list to back-end provider Afilias.

The affected registrants have been offered a domain from ICM’s premium list up to the value of $2,500 for each of the names ICM took back, he said.

Only one registrant has so far declined the offer, Lawley said.

Konstantinos Zournas of OnlineDomain, who broke the news about ads.porn yesterday, identifies this former registrant as “James” and reported that he is taking legal advice.

This is not the first time that a registry has accidentally released reserved names into the pool, where they were subsequently snapped up by domainers.

In January, .CLUB Domains accidentally sold credit.club, a name it had planned to keep on its premium reserved list for $200,000, for $10.99.

In that case, .CLUB honored the purchase after the buyer agreed to develop the site, scoring many brownie points in the domain investor community.

Both .CLUB and ICM have terms in their agreements allowing domains accidentally released to be recovered.

In ICM’s case, the names it accidentally released were not premiums, but rather domains that the registry plans to use as part of its own business — not to be sold at any price.

It used buy.xxx as a cornerstone of its .xxx marketing, for example, and it plans to use buy.porn and buy.adult for the exact same purpose.

ICM beats own annual projections with .porn on day one

ICM Registry says it managed to comfortably beat its own expectations for annual sales within the first eight hours of .porn and .adult going into general availability yesterday.

CEO Stuart Lawley said that there were 10,038 .porn domains and 8,277 .adult domains in its registry at the end of yesterday.

The company’s new gTLD applications with ICANN had predicted 10,000 .porn domains and 3,000 .adult domains at the end of the first year of availability, he said.

“We are therefore delighted to have exceeded those numbers on day one of GA,” he said. “We are particularly pleased with the high numbers from .adult.”

The majority of the names were registered either during the sunrise periods (ICM had two per TLD) or the recently ended “domain matching” program, which gave .xxx owners first dibs on matching .porn and .adult names.

A month ago, the company said .porn received 3,995 registrations while .adult had 3,902 at the end of the sunrises.

Earlier this week, after domain matching ended, Lawley said that .porn had almost 7,500 names while .adult had almost 7,000.

ICM will launch .sex in September.

.porn and .adult sunrises net around 8,000 sales

The sunrise periods for .porn and .adult netted just shy of 4,000 domains per TLD, according to ICM Registry.

The company said .porn received 3,995 registrations while .adult trailed slightly with 3,902.

Those numbers are a combination of regular Trademark Clearinghouse sunrise registrations and Sunrise B registrations.

The ICANN-mandated sunrise periods ended April 1 and were followed by unique Sunrise B periods, during which anyone who bought a .xxx block in 2011 could register the matching new gTLD names.

This time, however, Sunrise B domains actually do resolve.

I believe the the Sunrise B phases accounted for something like 1,500 names apiece.

The previous high bar for 2012-round new gTLD sunrises was .london, with just over 800 registrations.

While .porn and .adult may be record breakers for this round, sales were just a twentieth of the levels seen when .xxx launched in 2011 — about 80,000 names were defensively registered back then.

Later this week, ICM will kick off another launch phase — Domain Matching — during which anyone who owned a .xxx domain prior to April 30 can get their matching .porn and .adult names.

General availability is scheduled for June 4.

.porn now the biggest new gTLD sunrise

Kevin Murphy, March 10, 2015, Domain Registries

.porn and .adult have taken the crown of the most-subscribed new gTLD sunrise periods to date.

The two ICM Registry spaces opened up for registrations from users of the Trademark Clearinghouse on March 2.

A little over a week later, the company tells DI that both gTLDs have individually exceeded the previous sunrise record holder.

My understanding is that .london was the new gTLD with the most sunrise registrations, selling just over 800 names to TMCH customers during its combined sunrise/landrush, which ended last July.

ICM revealed in a webinar last week that it expected its new gTLDs to have to biggest sunrise numbers to date.

“Both .porn and .adult will have exceeded that [.london] number comfortably,” ICM president Stuart Lawley confirmed to DI today.

.adult is “almost neck and neck” with .porn, Lawley said.

The numbers are still pretty small compared to ICM’s 2003-round gTLD, .xxx, which had over 80,000 sunrise applications in October 2011.

They’re also pretty small compared to the TMCH’s overall number of registrations, which at the last public disclosure was a little under 35,000.

But ICM has another couple opportunities for trademark owners to defensively register that may work out cheaper.

First, from April 6 to April 30 companies that bought non-resolving “blocked” names in the .xxx Sunrise B will be able to block the same strings in .porn and .adult.

ICM says registrars are offering discounts for five-year blocks.

Then, from May 6 to May 31 the Domain Matching program starts. That’s open to any .xxx registrant, defensive or otherwise, but not to those with .xxx Sunrise B blocks.

.xxx to sell at .com prices to pump .porn launch

ICM Registry is to offer .xxx domain names at dramatically reduced prices, which could be in line with .com pricing at some registrars, for the month of April.

At least one registrar plans to offer .xxx names at about $13 for the duration of the offer.

.porn and .adult are set to go to general availability June 4. Before then, there will be a series of launch phases aimed at giving trademark owners and .xxx registrants plenty of opportunity to defensively register.

One phase, Domain Matching, will run from May 6 to May 31.

During DM, owners of .xxx names will be able to get their matching .porn and .adult domains (assuming they haven’t been claimed in the prior sunrise periods) at a reduced fee.

The discount period in April will enable registrants to pre-qualify for .porn’s Domain Matching by buying .xxx names at a much reduced price.

.porn and .adult prices during general availability are expected to be the same as in .xxx, which retails for around $100 ($62 going to ICM).

I don’t know what ICM’s registry fee during the discount period is, but the registrar EnCirca said it plans to sell a bundle of .xxx, .porn and .adult for $39 during April, which works out to $13 each.

EnCirca and 101domain appear to be pricing DM for a registration in a single TLD at about $19.

ICM’s gesture follows its admission in November that .xxx registrants would not get the free, perpetual block of matching .porn and .adult names that the registry had originally planned to offer.

The company has run a deep-discount program once before, in May 2013, when it sold .xxx at .com prices and saw 13,136 adds, compared to 1,131 in the previous month.

.xxx boss says new gTLD registries need to “wake up”

Kevin Murphy, February 23, 2015, Domain Registries

ICM Registry president Stuart Lawley may be just weeks away from launching his second and third gTLD registries, but that doesn’t mean he has a positive outlook on new gTLDs in general.

“I think people need to wake up,” he told DI in a recent interview. “If you do the math on some of these numbers and prospective numbers, it just doesn’t stack up for a profitable business.”

“The new ‘Well Done!’ number seems to be a lot less than it was six months ago or 12 months ago,” he said.

Lawley said he’s among the most “bearish” in the industry when it comes to new gTLD prospects. And that goes for ICM’s own .porn, .sex and .adult, which are due to launch between March and September this year.

While he’s sure they’ll be profitable, and very bullish on the search engine optimization benefits that he says registrants could be able to achieve, he’s cautious about what kind of registration volumes can be expected. He said:

If you add up everybody that has ever bought a .xxx name, including the Sunrise B defensives, we have got a target market of about 250,000 names. People to go back to and say, “Look, you still have a .xxx or you had a .xxx at some stage. Therefore, we think you may be interested in buying .porn, .sex or .adult for exactly the same reasons.”

So, our expectations to sell to a whole new market outside of those quarter of a million names is probably quite limited.

Lawley said that he believes that the relatively poor volume performance of most new gTLDs over the last year will cause many registrars to question whether it’s worth their time and money to offer them.

I can see why registrars can’t be bothered. How many of these am I going to sell? Am I going to sell two hundred of them? Am I going to make five dollars per name? That’s one thousand dollars. It’s not worth it to me to put in ten thousand dollars worth of labor and effort to make one thousand dollars in revenue. So, I think that’s a challenge that many of the small lone player TLDs may face.

Lawley said he’s skeptical about the ability of major portfolio players, such as Donuts, to effectively market their hundreds of gTLDs, many of which are targeted at niche vertical markets.

He said in an ideal world a gTLD would need to spend $20 million to $30 million a year for a few years in order to do a proper PR job on a single TLD — ICM spent about $8 million to $9 million, $5.5 million of which was on US TV spots — and that’s just not economically viable given how many names are being sold.

But he added that he thinks it’s a good thing that some new gTLDs are seeing a steady and fairly linear number of daily additions, saying it might point to better long-term stability.

A lot of the TLDs that seem to be doing okay — .club for argument’s sake and several others in that ilk — seem to be doing their three hundred domains per day ADD, or 32 or 12 or whatever the number is, in a relatively linear fashion six or seven months after launch, which I think is potentially positive if one extrapolates that out.

The full interview, which also addresses SEO, dot-brands, registrar pay-for-placement and smart search, can be read by DI PRO subscribers here.

ICM buys .sex for up to $3 million

ICM Registry, the .xxx domain name registry, may have paid as much as $3 million for the .sex gTLD.

Internet Marketing Solutions Limited, the only other applicant for .sex, withdrew its application this week.

Word is that ICM forked out somewhere between $2 million and $3 million for exclusive rights to the string.

I hear it was a private deal, not an auction organized by a third party.

I wonder whether the price was affected by the revelation by ICANN earlier this month that it considers porn-related gTLD strings “sensitive” for no particular reason.

It’s quite low, considering that sex.com sold for $13 million and sex.xxx sold for $3 million just a couple of months ago.

ICM now is the only applicant for .sex, .porn and .adult. It plans to grandfather existing .xxx registrants into the new namespaces, assuming ICANN doesn’t throw a spanner in the works.

ICM scraps free .xxx porn star offer, starts new one

ICM Registry has partnered with a company called Model Centro to offer free .xxx domain names to porn performers.

Model Centro offers porn models a managed fan site and social networking service. It’s free to the models, with the company taking a 15% slice of whatever subscription fees are taken from their fans.

The arrangement seems to be related to the sale of Models.xxx, which ICM held back as a premium name until this week but which now mirrors the old modelcentro.com.

The deal will see each Models.xxx user get one free .xxx domain.

It also means ICM’s Adult Performer Program, which reserved the names of 3,500 porn stars and allowed them to be claimed for free via Name.com is no more.

The company said in a statement that the two-year-old program has been scrapped.

The new deal is probably better for .xxx. Because Models.xxx is a web site service, each free domain given away is going to turn into a site almost immediately, potentially increasingly the gTLD’s visibility.

The same group that runs Model Centro also recently acquired the premium bukkake.xxx, while another bought extreme.xxx and public.xxx. The three sold for a total of $150,000, according to the registry.

ICANN puts porn gTLDs on hold for no good reason?

Kevin Murphy, July 4, 2014, Domain Policy

In a decision that seems to have come out of nowhere, ICANN has effectively put bids for three porn-themed new gTLDs on hold.

In a June 21 meeting, the board’s New gTLD Program Committee discussed .adult, .sex and .porn, calling them “sensitive strings”.

While it passed no resolution, I understand that ICANN legal staff is delaying the signing of contracts for at least one of these gTLDs while the NGPC carries out its talks.

It’s a surprising development, given that the three strings are not subject to any Governmental Advisory Committee advice, are not “Community” applications, and have not been formally objected to by anyone.

The report from the NGPC meeting acknowledges the lack of a GAC basis for giving the strings special treatment (emphasis added):

The Committee engaged in a discussion concerning applications for several adult-oriented strings in the current round of the New gTLD Program, including .ADULT, .PORN, and .SEX. The applications propose to serve the same sector as the .XXX sponsored TLD. Staff noted that the applications were not the subject of GAC advice, or any special safeguards, other the safeguards that are applicable to all new gTLDs. The Committee considered how the safeguards in the new gTLD Program compare to the safeguards that were included in the .XXX Registry Agreement. The Committee requested staff prepare additional briefing materials, and agreed to discuss the matter further at a subsequent meeting.

This begs the question: why is ICANN giving .porn et al special treatment?

What’s the basis for suggesting that these three strings should be subject to the same safeguards that were applied to .xxx, which was approved under the 2003 sponsored gTLD round?

.porn, .sex and .adult were were applied for under the 2012 new gTLD program, which has an expectation of predictability and uniformity of treatment as one of its founding principles.

Who decided that .sex is “sensitive” while .sexy is not? On what basis?

Is it because, as the NGPC report suggests, that the three proposed gTLDs “serve the same sector” as .xxx?

That wouldn’t make any sense either.

Doesn’t .vacations, a contracted 2012-round gTLD, serve the same sector as .travel, a 2003-round sponsored gTLD? Why wasn’t .vacations subject to additional oversight?

Is it rather the case that the NGPC is concerned that ICM Registry, operator of .xxx, has applied for these three porn strings and proposes to grandfather existing .xxx registrants?

That also wouldn’t make any sense.

.sex has also been applied for by Internet Marketing Solutions, a company with no connection to .xxx or to the 2003 sponsored gTLD round. Why should this company’s application be subject to additional oversight?

And why didn’t .career, which “serves the same sector” as the sponsored-round gTLD .jobs and was applied for by the same guys who run .jobs, get this additional scrutiny before it signed its contract?

It all looks worryingly arbitrary to me.