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ICANN turns 20 today (or maybe not)

Kevin Murphy, September 18, 2018, Domain Policy

ICANN is expected to celebrate its 20th anniversary at its Barcelona meeting next month, but by some measures it has already had its birthday.

If you ask Wikipedia, it asserts that ICANN was “created” on September 18, 1998, 20 years ago today.

But that claim, which has been on Wikipedia since 2003, is unsourced and probably incorrect.

While it’s been repeated elsewhere online for the last 15 years, I’ve been unable to figure out why September 18 has any significance to ICANN’s formation.

I think it’s probably the wrong date.

It seems that September 16, 1998 was the day that IANA’s Jon Postel and Network Solutions jointly published the organization’s original bylaws and articles of incorporation, and first unveiled the name “ICANN”.

That’s according to my former colleague and spiritual predecessor Nick Patience (probably the most obsessive journalist following DNS politics in the pre-ICANN days), writing in now-defunct Computergram International on September 17, 1998.

The Computergram headline, helpfully for the purposes of the post you are reading, is “IANA & NSI PUBLISH PLAN FOR DNS ENTITY: ICANN IS BORN”.

Back then, before the invention of the paragraph and when ALL CAPS HEADLINES were considered acceptable, Computergram was published daily, so Patience undoubtedly wrote the story September 16, the same day the ICANN proposal was published.

A joint Postel/NetSol statement on the proposal was also published September 17.

The organization was not formally incorporated until September 30, which is probably a better candidate date for ICANN’s official birthday, archived records show.

Birthday meriments are expected to commence during ICANN 63, which runs from October 20 to 25. There’s probably free booze in it, for those on-site in Barcelona.

As an aside that amused me, the Computergram article notes that Jones Day lawyer Joe Sims very kindly provided Postel with his services during ICANN’s creation on a “pro bono basis”.

Jones Day has arguably been the biggest beneficiary of ICANN cash over the intervening two decades, billing over $8.7 million in fees in ICANN’s most recently reported tax year alone.

Wix.com obtains ICANN accreditation — bad news for Web.com?

Web site building tools provider Wix.com has got itself an ICANN accreditation, potentially bad news for current partner Web.com.

The Nasdaq-listed, Israel-based company popped up on the official registrar list in the last day or so with the IANA ID 3817.

That means it could before long start selling gTLD domains directly from the registries rather than going through its current business partner.

According to its domain services agreement and other online sources, Wix currently acts as a reseller for Network Solutions, a Web.com company.

Its retail prices are therefore, as you might expect, rather above the market average, pretty much in line with NetSol’s.

If it does choose to go solo, it could potentially pass on savings to its customers, or just pocket higher margins on domain sales.

While Wix says it has 110 million users, obviously it has sold nowhere near that number of domains.

Its relationship with NetSol is not lucrative enough for Web.com to count the relationship as a risk factor in its Securities and Exchange Commission filings, though Wix is listed as one of just a small handful of competitors.

If Web.com should lose Wix as a reseller, we won’t get to find out what impact that had on revenue; Web.com’s going private in a $2 billion deal.

Disclosure: I’ve had to listen to or skip through repetitive Wix ads on YouTube a dozen times a day for what seems like years, so I’m not naturally predisposed to like this company. Same goes for Grammarly. Grrrr!

Web.com to be acquired for $2 billion

Web.com is to go private in a deal valued at roughly $2 billion.

The company, which owns pioneering registrars Network Solutions and Register.com as well as SnapNames and half of NameJet, will be bought by an affiliate of Siris Capital Group, a private equity firm.

The cash, $25-a-share deal has been approved by the Web.com board but is still open to higher bids from third parties until August 5.

The offer is a 30% premium over Web.com’s 90-day average price prior to the deal’s announcement.

While Nasdaq-listed Web.com has briefly topped $26 over the last year, you’d have to go back five years to find it consistently over the $25 mark.

Web.com acquires dozens of registrars from Rightside

Kevin Murphy, May 11, 2016, Domain Services

Web.com has acquired dozens of registrars from rival/partner Rightside, seemingly to boost the success rate of its SnapNames domain drop-catching business.

I’ve established that at least 44 registrars once managed by Rightside/eNom have moved to the Web.com stable in recent weeks, and that might not even be the half of it.

All of the registrars in question are shell companies used exclusively to register pre-ordered names as they are deleted by registries, usually Verisign.

The more registrars you have, the more EPP connections you have to the Verisign registry and the better your chance at catching a domain.

Web.com runs SnapNames, and is in a 50-50 partnership with Rightside on rival drop-catcher NameJet.

The two compete primarily with NameBright’s DropCatch.com, which obtained hundreds of fresh ICANN accreditations last year, bringing its total pool to over 750.

Web.com has fewer than 400 accreditations right now. Rightside has even fewer.

It’s usually quicker to buy a registrar than to obtain a new accreditation from ICANN.

If Web.com finds itself in need of more accreditations in order to compete, and Rightside is happy to let them go, it could be possible to infer that SnapNames is doing rather better in terms of customer acquisition than NameJet.

But the two services recently announced a partnership under which names grabbed by either network would be placed in an auction in which customers of either site could participate.

This would have the effect of increasing the number of caught names going to auction due to there being multiple bidders, and thus the eventual sales prices.

Verisign’s silly .xyz lawsuit thrown out

Kevin Murphy, October 28, 2015, Domain Registries

Verisign has had its false advertising lawsuit against the .xyz gTLD registry thrown out of court.

XYZ.com this week won a summary judgement, ahead of a trial that was due to start next Monday.

“By granting XYZ a victory on summary judgement, the court found that XYZ won the case as a matter of law because there were no triable issues for a jury,” the company said in a statement.

The judge’s ruling does not go into details about the court’s rationale. XYZ’s motion to dismiss has also not been published.

So it’s difficult to know for sure exactly why the case has been thrown out.

Verisign sued in December, claiming XYZ and CEO Daniel Negari had lied in advertising and media interviews by saying there are no good .com domain names left.

Many of its claims centered on this video:

XYZ said its ads were merely hyperbolic “puffery” rather than lies.

Verisign also claimed that XYZ had massively inflated its purported registration numbers by making a shady $3 million reciprocal domains-for-advertising deal with Network Solutions.

XYZ general counsel Grant Carpenter said in a statement: “These tactics appear to be part of a coordinated anti-competitive scheme by Verisign to stunt competition and maintain its competitive advantage in the industry.”

While Verisign has lost the case, it could be seen to have succeeded in some respects.

XYZ had to pay legal fees in “the seven-figure range”, as well as disclose hundreds of internal company documents — including emails between Negari and me — during the discovery phase.

Through discovery, Verisign has obtained unprecedented insight into how its newest large competitor conducts its business.

While I’ve always thought the lawsuit was silly, I’m now a little disappointed that more details about the XYZ-NetSol deal are now unlikely to emerge in court.