Domain Name Association chair Adrian Kinderis has called for the industry to “grow up”.
The former ARI CEO, now Neustar veep, said Monday it’s time for the industry to kick out the handful of bad actors that ruin its reputation, and to quit the “bullshit bickering” about which TLDs are best.
“For far too long this industry has turned a blind eye to the less than scrupulous activities,” he said, “and these activities have plagued this industry. Bad actors have tarnished the perception of this industry.”
“This may have been acceptable when it was a few insiders first grasping at a fledgling product in the early nineties but… we are now front and center of the internet,” he said.
“These practices of a few bad actors have led to the frustration of consumers. We have not served the best interests of our consumers at all times,” he said. “This has to change.”
He was speaking to an audience of registries, registrars and investors at the opening session of the NamesCon conference in Las Vegas on Monday.
It was a fairly standard DNA sales pitch, the kind Kinderis has given before, but few could deny the truth of his remarks.
He called upon the industry to more effectively self-regulate, working with ICANN, to keep the boogeymen of government legislators and law enforcement agencies at bay.
“It’s time to grow up and show that we can regulates ourselves and build a strong sustainable industry with integrity,” he said.
He also called for unity among industry participants, pointing out that the threats to their businesses are external to the domain industry.
“The domain name war must be over,” he said. “The infighting and bullshit bickering has to stop. The .coms, the not-.coms, the IDNs, the g’s versus the cc’s… this must stop.”
“As an industry we have been very lucky. We’ve stumbled through 20 years without a collective strategy nor cohesion,” he said. “Outside forces have not had a massive impact on us, yet. QR codes have tried. Apps are trying.”
He pointed to the recent positive “bump” that many domain companies have experienced as a result of investment from China, but attributed to “dumb luck” rather than the result of any smart marketing or outreach.
The 10-minute speech can be viewed below or on the NamePros YouTube channel.
The ill-conceived, barely used .kids.us domain is to stay dead, Neustar confirmed last night.
The .us registry operator said that its Stakeholder Council met August 17 and:
carefully considered the report on the kids.us domain and unanimously recommended that the requirement be suspended for the life of the .us contract.
Neustar had been forced into making a call about reintroducing .kids.us by its current .us contract, which it signed in March 2014.
One October 2014 expert report and May 2015 comment period later, and the decision has been made to keep the idea suspended.
.kids.us was introduced via US legislation as a way to
make politicians look like they were doing something create a friendly space for the under 13s.
But the zone wound up with reg numbers that make new gTLDs look popular, so the decision was made in 2012 to kill it off.
Neustar’s .us contract lasts another two to four years, and that’s how long the suspension will last, at least.
Australians could soon get the ability to register domain names directly under .au for the first time.
Following in the footsteps of the UK and New Zealand, a panel of .au policy body auDA has recommended that the second level should be opened up for registrations, pending further consultation.
In a consultation paper (pdf), the panel wrote:
direct registrations would create names which are shorter, more appealing and more memorable. They would make the domain name system simpler and easier to use. Moreover, the proposed change would open a wide range of new choices for registrants, and would provide a better option, especially for some groups; in particular, the Panel thinks that the biggest benefit will be for individuals, who would be able to obtain an Australian domain name in a simple and straightforward way.
Trademark owners need to pay attention, because the panel has recommended that the release does not include a sunrise period, due to .au’s “no hierarchy of rights” principle.
But the panel is recommending that existing .au registrants should get first dibs on matching second-level names.
Unlike the UK, where .co.uk registrants had preference over registrants in other SLDs, the auDA panel says .com.au owners would not be treated any differently to, for example, .org.au owners.
The panel has also raised the idea of implementing ICANN’s Uniform Rapid Suspension policy.
Registry providers might want to take note that the panel says that .au back-end AusRegistry, now part of Neustar, will not automatically get the contract to run the direct .au registry; an RFP may be in auDA’s future.
The recommendations are now open for comment until September 30.
Consolidation in the domain name industry continued last night with Neustar’s $87 million acquisition of Bombora Technologies, the holding group for ARI Registry Services and AusRegistry.
Bombora CEO Adrian Kinderis told DI that the deal makes Neustar the “biggest registry services back-end provider on the market”, as measured by the number of TLDs on its platform, which now weighs in at over 400.
Kinderis and Neustar registry VP Sean Kaine said that the acquisition — conceived as so many deals are, Kinderis joked, in a “drunken ICANN bar” — is not so much about consolidation and more about growth opportunities.
Neustar will be able to cross-sell its suite of identity, security and marketing services, which Bombora does not offer, into ARI’s 100+ TLD client base. It will also be able to pitch ARI’s consulting services to its own clients.
Neustar also gets a “beachhead” in the Asia-Pacific region. While Bombora may not be a hell of a lot closer to Asia than Neustar, it’s in a much more convenient time zone.
Neustar currently faces the losing about half of its annual revenue — some $475 million — due to the loss of its contract to administer telephone number portability in North America.
That contract has been won by Ericsson, but Neustar has sued the US Federal Communications Commission in an attempt to keep it.
The Bombora acquisition won’t exactly fill the gap. The company had $20.6 million in revenue in 2014 and is expected to contribute $8 million to Neustar’s top line in 2015.
The deal is for AUD 118 million, which works out to roughly USD 87 million. Kinderis and business partner Simon Delzoppo will be the primary beneficiaries — between them they held a majority shareholding in Bombora.
The deal includes all of the company’s subsidiaries: ARI, AusRegistry and new gTLD operators such as dotShabaka.
ARI clients will notice a change of branding — the ARI and Bombora brands are to go almost immediately — but no technical changes at first.
“We’re going to continue to operate two registry systems right now,” Kaine said.
One business where there will be even less visible change is AusRegistry, which operates .au.
The AusRegistry brand is staying and .au will continue to be run in Australia, per the terms of the company’s contract with ccTLD policy overseer auDA.
“The .au contract is very important to Bombora,” Kinderis said. “If we had thought there would be any negative impact to that contract we would not have embarked on a deal.”
Kinderis, whose new job title has yet to be agreed, said he expects to take a “prominent role” in Neustar’s registry business. He said he expects to stay with the company “for a long time yet”.
“I want to see Neustar snapping at the heels of Verisign and I’d love to be able to contribute to that,” he said. “We’ve been punching above our weight and now we’re one of the heavyweights.”
Neustar still seems set to lose a critical US government contract that provides half of its annual revenue.
The Federal Communications Commission voted unanimously last week to begin talks with rival contract bidder Telcordia, saying it will save the US consumer hundreds of millions of dollars a year.
Since 1997, Neustar has administered the telephone number portability system in the US. It’s not related to domain names.
Neustar, which also runs .us, .biz and .co, made $474.8 million from the deal in 2014, 49% of its annual revenue.
Commissioner Ajit Pai said in a statement:
Should we now declare Telcordia the next local number portability administrator? When you compare the numbers, the answer is clear. Last year, the current contract cost about $460 million. In contrast, Telcordia bid less than $1 billion for a seven-year term — that’s less than $143 million per year. That’s substantial savings for the American public.
Neustar told Bloomberg that the ruling was “procedurally defective” and that the company is “considering all options to address the significant flaws.”
Some kind of legal action to attempt to block the negotiations seems possible.
The company has also initiated a share buy-back to prop up its stock in light of the bad news.