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Afilias $10 million court win slashed by judge

Kevin Murphy, January 18, 2016, Domain Services

A US judge has dramatically reduced a $10 million ruling Afilias won against Architelos in a trade secrets case.

Architelos, which a jury decided had misappropriated trade secrets from Afilias in order to build its patented NameSentry domain security service, may even be thrown a lifeline enabling it to continue business.

A little over a week ago, the judge ordered (pdf) that the $10 million judgment originally imposed by the jury should be reduced to $2 million.

That won’t be finalized, however, until she’s ruled on an outstanding injunction demanded by Afilias.

The judge said in court that the original jury award had been based on inflated Architelos revenue projections.

The company has made only around $300,000 from NameSentry subscriptions since launch, and its sales pipeline dried up following the jury’s verdict in August.

The service enables TLD registries to track and remediate domain abuse. It was built in part by former Afilias employees.

Afilias has a similar in-house system, not available on the open market, used by clients of its registry back-end business.

Even a reduced $2 million judgment is a bit too rich for Architelos, which is desperately trying to avoid bankruptcy, according to court documents.

But the judge seems to be considering an injunction that would enable Architelos to continue to exist.

It may even be permitted to sell NameSentry, as long as it gives almost a third of the product’s revenue to Afilias for up to five years or until the $2 million is paid off.

The injunction might also grant joint ownership of the disputed patents to the two companies, allowing them to jointly profit from the technology.

This has all yet to be finalized, however, and Afilias can always appeal whatever injunction the judge comes up with.

It emerged in court earlier this month that Architelos offered to give full ownership of its patent, along with NameSentry itself, to Afilias in order to settle the suit, but that Afilias refused.

Afilias is also suing Architelos over the same matters in Canada, but that case is progressing much more slowly.

Architelos: shadiest new gTLD is only 10% shady

Kevin Murphy, September 4, 2015, Domain Registries

Disputing the recent Blue Coat report into “shady” new gTLDs, domain security firm Architelos says that the shadiest namespace is just under 10% shady.

That’s a far cry from Blue Coat’s claim earlier this week that nine new gTLDs are 95% to 100% abusive.

Architelos shared with DI a few data points from its NameSentry service today.

NameSentry uses a metric the company calls NQI, for Namespace Quality Index, to rank TLDs by their abuse levels. NQI is basically a normalized count of abusive domains per million registered names.

According to Architelos CEO Alexa Raad, the new gTLD with the highest NQI at the end of June was .work.

Today’s NameSentry data shows that .work has a tad under 6,900 abusive domains — almost all domains found in spam, garnished with just one suspected malware site — which works out to just under 10% of the total number of domains in its zone file.

That number is pretty high — one in 10 is not a figure you want haunting your registry — but it’s a far cry from the 98.2% that Blue Coat published earlier this week.

Looking at the numbers for .science, which has over 324,000 names in its zone and 15,671 dodgy domains in NameSentry, you get a shadiness factor of 4.8%. Again, that’s a light year away from the 99.35% number published by Blue Coat.

Raad also shared data showing that hundreds of .work and .science domains are delisted from abuse feeds every day, suggesting that the registries are engaged in long games of whack-a-mole with spammers.

Blue Coat based its numbers on a sampling of 75 million attempted domain visits by its customers — whether or not they were valid domains.

Architelos, on the other hand, takes raw data feeds from numerous sources (such as SpamHaus and SURBL) and validates that the domains do actually appear in the TLD’s zone. There’s no requirement for the domain to have been visited by a customer.

In my view, that makes the NameSentry numbers a more realistic measurement of how dirty some of these new gTLDs are.

Most new gTLDs use NameSentry after Famous Four signs with Architelos

Kevin Murphy, December 18, 2014, Domain Services

Architelos yesterday announced that Famous Four Media has signed up to use its NameSentry security service across its portfolio of new gTLDs.

The company said that it now has 60% of launched new gTLDs on the platform, which gives registries a way to view potentially abusive domain names and automate remediation. That’s over 250 TLDs.

Famous Four only has five delegated gTLDs currently, but it has another 30 active applications. The bulk of NameSentry’s TLD base comes from early adopter Donuts, which has 157. Rightside, with its 33 new gTLDs, is also a customer.

Architelos said that .build, .ceo, .lat, .luxury, and .ooo have also recently signed up to the service.

Architelos goes flat-rate with NameSentry pricing

Architelos has introduced flat-rate pricing for its flagship NameSentry abuse detection and mitigation service.

Now, TLD registries will be able to pay $389 a month for the Basic service and $689 for the Enterprise version, regardless of the size of their zones.

Previously, pricing ranged from $249 to $3,999 per month, depending on zone size.

NameSentry scans and collates various malware, spam and phishing URL lists in order to alert registries when domains in their TLDs are being used for different types of online abuse.

The primary difference between the Basic and Enterprise versions is the ability to automate remediation workflow.

NameSentry customers include Donuts and Rightside. Architelos reckons it has 44% of the new gTLD market using the service.

Architelos offers entry-level NameSentry

Kevin Murphy, November 24, 2013, Domain Services

New gTLD software provider Architelos has released a cheaper version of its flagship NameSentry security compliance tool.

NameSentry Lite strips out the automated workflow and mitigation components found in the original, leaving the core threat reports and statistics intact.

It’s designed for smaller TLDs that don’t expect to see a lot of malware or phishing in their zones and it’s priced starting at $139 a month for a TLD with under 5,000 domains under management.

That’s about $100 cheaper than the standard NameSentry, which is geared more towards mitigation and has monthly charges ranging from $249 to $3,999, depending on zone size.

Boutique gTLDs and large portfolio registries such as DotKiwi and Donuts are early customers of the more-expensive version.

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