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These two ccTLDs drove two thirds of all domain growth in Q2

Kevin Murphy, August 30, 2019, Domain Registries

The number of registered domain names in the world increased by 2.9 million in the second quarter, driven by .com and two ccTLDs.

That’s according to the latest Verisign Domain Name Industry Brief, which was published (pdf) overnight, and other data.

The quarter ended with 354.7 million domains. Verisign’s own .com was up 1.5 million over Q1 at 142.5 million names.

ccTLDs across the board grew by 1.9 million names sequentially to 158.7 million. Year-over-year, the increase was 10.5 million domains.

The sequential ccTLD increase can be attributed almost entirely to two TLDs: .tw and .uk. These two ccTLDs appear to account for two thirds of the overall net new domains appearing in Q2.

Taiwan grew by about 600,000 in the quarter, presumably due to an ongoing, unusual pricing-related growth spurt among Chinese domainers that I reported in June.

The UK saw an increase of roughly 1.3 million domains, ending the quarter at 13.3 million.

That’s down to the deadline for registering second-level .uk matches for third-level .co.uk domains, which passed June 25.

Nominet data shows that 2LDs increased by about 1.2 million in the period, even as 3LDs dipped. The difference between this and the Verisign data appears to be rounding.

Factoring out the .uk and .tw anomalies, we have basically flat ccTLD growth, judging by the DNIB data.

Meanwhile, the new gTLD number was 23 million. That’s flat after rounding, but Verisign said that the space was actually up by about 100,000 names.

Growth as a whole was tempered by what I call the “other” category. That comprises the pre-2012 gTLDs such as .net, .org, .info and .biz. That was down by about a half a million names.

.net continued its gradual new gTLD-related decline, down 200,000 names sequentially at 13.6 million, while .org was down by 100,000 names.

The overall growth numbers are subject to the usual DNIB-related disclaimers: Verisign (and most everyone else) doesn’t have good data for some TLDs, including large zones such as .tk and .cn.

Cybersquatting cases down a bit in the UK

The number of cybersquatting complaints filed with Nominet declined slightly in 2018, according to the registry.

Nominet’s Dispute Resolution Service, which is a bit like the UDRP, handled 671 cases last year, compared to 712 in 2017.

The number of domains at issue was down from 783 to 763.

The slight decline appears to be because fewer complaints were filed against .org.uk, .me.uk and plain .uk domains.

The number of .co.uk registrations challenged was flat between 2017 and 2018 at 617 domains.

Only 49% of cases resulted in the disputed domain being transferred, according to the registry’s annual report (pdf).

1.8 million UK grandfathers die after Nominet deadline hits

The deadline for registering “grandfathered” second-level domains in .uk passed this morning, leaving at many as 1.88 million names unclaimed.

From June 2014 until 0500 UTC this morning, anyone who owned a third-level domain in zones such as .co.uk or .org.uk had rights to register the matching 2LD under .uk.

Those rights have all expired now, and all the unclaimed 2LDs will be returned to the available pool next month.

Four days ago, Nominet said that there were still 1.88 million rights that had not been exercised. That’s from the over 10 million 3LDs whose registrants were initially given rights.

In March, 3.2 million names were still unclaimed. It seems about 1.4 million names have been claimed, or expired, at the eleventh hour, almost all in June.

One way of looking at it is that the owners of almost one in five .co.uk domains either decided they didn’t want the matching 2LD, or were unaware that it was available.

But about half of the original domains with rights have since dropped, so the portion of current 3LD owners now at risk of confusion with their 2LD match could actually be more like four in 10.

At the end of May, 2,439,181 .uk domains had been registered (including non-grandfathered domains) and there were 9,729,224 names registered at the third level.

The 1.8 million unclaimed names will now be the subject of a landrush.

On July 1, Nominet will start releasing the names in batches, alphabetically.

Accredited registrars will start slamming the registry — Nominet has set up a separate set of EPP infrastructure purely for this expected onslaught — with requests to register the most-valuable names.

Some registrars have been taking pre-registrations and will auction any names they successfully claim to the customers who put in pre-orders.

After a week, any names not already claimed by registrars will be released to the public, again in batches, starting from July 8.

The system has been criticized by smaller registrars, many of which believe Nominet is giving its larger registrars a much better chance at winning the good names simply because they have deeper pockets.

Smaller registrars say .uk release is biased towards the Big Boys

A group of small .uk registrars have complained to Nominet that the imminent release of three million second-level .uk domain names is biased towards their deep-pocketed rivals.

So far, 33 registrars have signed a petition, penned by Netistrar’s Andrew Bennett, against Nominet’s rules.

On July 1, the registry plans to start releasing .uk 2LDs that are currently reserved under its five-year-long grandfathering program.

These are domains that match existing third-level domains in .co.uk, .org.uk, etc.

The 3LD registrants have until 0500 UTC on June 25 to claim their 2LD matches. A week later, Nominet will start releasing them in alphabetical batches of 600,000 per day, over five days, to the available pool.

It’s going to be a little like “the drop” in gTLDs such as .com, with registrars all vying to pick up the most-valuable names as soon as they are released.

In the gTLD space, each registrar is given an equal number of connections, which is why drop-catch specialists such as SnapNames own hundreds of registrar accreditations.

Nominet’s doing it a little different, instead throttling connections based on how much credit registrars have with the registry, which the petitioners believe rigs the system towards the registrars with the most money.

According to the Nominet, registrars with £450 of credit get six connections per minute, rising to nine per minute for those with £4,500, 60 per minute for £45,000 and, at the top end, 150 per minute for registrars with £90,000 stashed in the Bank of Nominet.

Larger registrars with multiple Nominet accreditations, known as “tags” in the .uk space, will be able to stack their connections for an even greater chance at grabbing the best names.

Registrars such as GoDaddy are already taking pre-orders and will auction off the domains they catch to the highest bidder, if there are multiple pre-orders for the same names, so there’s potentially a fair bit of money to be made.

The small registrars say these credit-based rules are “disproportionately unfair” to their business models.

They point out that it doesn’t make much sense to rate-limit connections based on their proven ability to pay, given that there’s no link between how many they plan to register in the crucial first minute after the drop and how many they intend to register overall.

Nominet says on its web site that the tiers as described are provisional and will be firmed up the week of June 24.

The petitioners are also bothered that Nominet has not made any EPP code available to help the smaller guys, which have fewer engineering resources, to adjust to this temporary, time-sensitive registration system, and that the release plan was not communicated well to registrars.

They further claim that Nominet has not conducted enough outreach to .uk registrants to let them know their grandfathered rights will soon expire.

Many well-known brands have yet to claim their trademark.uk names, they claim.

Nominet has previously told DI that it planned to advertise the end of grandfathering in the press and on radio in the run-up to the release.

“Stringent” new online censorship law could affect domain companies

Kevin Murphy, April 8, 2019, Domain Policy

Blame Zuck.

The UK government is planning to introduce what it calls “stringent” new laws to tackle abusive behavior online, and there’s a chance it could wind up capturing domain name registries and registrars in its net.

The Department for Culture, Media and Sport this morning published what it calls the Online Harms White Paper, an initial 12-week consultation document that could lead to legislation being drafted at a later date.

The paper calls for the creation of a new independent regulator, charged with overseeing social media companies’ efforts to reduce the availability of content such as incitements to violence, self-harm, suicide, child abuse, “hate crime” and even “fake news”.

It basically would increase the amount of liability that companies have for user-generated content hosted on their services, even when that content is not necessarily illegal but is nevertheless considered “harmful”.

The regulator would have to create a code of conduct for companies the legislation covers to abide by.

When the code is breached, the regulator would have the authority to issue fines — possibly comparable to the 4% of profits that can be fined under GDPR — against not only the companies themselves but also their senior management.

The paper seems to most directly address ongoing tabloid scandals related to Facebook and its ilk, such as the suicide of Molly Russell, a 14-year-old who viewed material related to self-harm on Instagram before her death.

While it does not mention domain names once, the government clearly anticipates casting a wide net. The paper states:

The scope will include companies from a range of sectors, including social media companies, public discussion forums, retailers that allow users to review products online, along with non-profit organisations, file sharing sites and cloud hosting providers.

That’s a broad enough definition such that it could even cover blogs, including this one, that allow users to post comments.

The paper also discusses asking search engines to remove sites from their indexes, and compelling ISPs to block abusive sites as a “last resort” measure.

There’s a short mental hop from ISP blocking to domain name takedowns, in my view.

The paper also discusses steps the regulator could take to ensure companies with no UK legal presence are still covered by the rules.

While the paper, as I say, does not mention the domain name industry once, subsidiary services provided by registrars, such as hosting, could be directly affected.

There’s no guarantee that the paper will become a bill. There’s already a backlash from those who believe it constitutes unacceptable censorship, comparable to regimes such as in China.

There’s also no guarantee such a bill would eventually become law. The UK government is arguably currently the weakest it has ever been, with a propped-up minority in Parliament and many MPs in open revolt over Brexit.

With talk of an early general election incessant recently, it’s also possible the government may not last long enough to bring its plans to fruition.

Still, it’s probably something the domain industry, including ICANN, should probably keep an eye on.

The full 100-page white paper can be found here (pdf) and an executive summary can be read here.

Most .uk registrants not interested in .uk

Kevin Murphy, March 27, 2019, Domain Registries

The majority of people eligible to register .uk domains at the second level have not yet chosen to do so, according to local registry Nominet.

Numbers the company released this week show that only two million 2LD .uk names have been registered since they first became available five years ago.

That’s despite the fact that the owners of over 10 million domains registered at the third level, such as under .co.uk or .org.uk, had exclusive rights to those names.

Today, the owners of 3.2 million .uk 3LDs have yet to exercise their grandfathered rights, Nominet said.

Those rights expire 0500 UTC June 25 this year.

Nominet plans to ramp up its outreach to affected registrants with radio, print and online ads in May, the company has previously told DI.

If you’re wondering why two million plus 3.2 million does not add up to 10 million, that’s because over the last five years about half of original 10 million domains with grandfathering rights have dropped.

Many will have been re-registered (which does not transfer the rights) or have been replaced with different fresh registrations, which is why Nominet’s total 3LDs under management has only declined from 10.4 million to 9.7 million since 2014.

At eleventh hour, most .uk registrants still don’t own their .uk names

Less than a quarter of all third-level .uk registrants have taken up the opportunity to buy their matching second-level domain, just a few months before the deadline.

According to February stats from registry Nominet, 9.76 million domains were registered under the likes of .co.uk and .org.uk, but only 2.27 million domains were registered directly under .uk, which works out at about 23%.

Nominet’s controversial Direct.uk policy was introduced in June 2014, with a grandfathering clause that gave all third-level registrants five years to grab their matching .uk domain before it returns to the pool of available names.

So if you own example.co.uk, you have until June 25 this year, 110 days from now, to exercise your exclusive rights to example.uk.

Registrants of .co.uk domains have priority over registrants of matching .org.uk and .me.uk domains. Nominet’s Whois tool can be used to figure out who has first dibs on any given string.

At least two brand protection registrars warned their clients this week that they will be at risk of cybersquatting if they don’t pick up their direct matches in time. But there’s potential for confusion here, after the deadline, whether or not you own a trademark.

I expect we could see a spike in complaints under Nominet’s Dispute Resolution Service (the .uk equivalent of UDRP) in the back half of the year.

Nominet told DI in a statement today:

The take up right now is roughly in line with what we envisaged. We knew from the outset that some of the original 10 million with rights would not renew their domain, some would decide they did not want the equivalent .UK and some would leave it to the last minute to decide or take action. The feedback from both registrants and registrars, and the registration data, bears this out.

The statement added that the registry has started “ramping up” its outreach, and that in May it will launch “an advertising and awareness campaign” that will include newspapers, radio and trade publications.

Nominet takes down 32,000 domains for IP infringement

Kevin Murphy, November 21, 2018, Domain Registries

The number of .uk domains suspended by Nominet has doubled over the last year, almost entirely due to takedown requests concerning intellectual property.

The .uk registry said this week that it suspended 32,813 domains in the 12 months to October 31, up from 16,632 in the year-ago period.

It’s the fourth year in a row that the number of suspensions has more than doubled. In 2014, it was a paltry 948.

While Nominet has trusted notifier relationships with 10 law enforcement agencies, it’s the Police Intellectual Property Crimes Unit that is responsible for almost all of the takedown requests, 32,669 this year.

No court order or judicial review is required. Nominet simply carries out unspecified “administrative checks” then suspends the domain.

Only 114 domains did not make the cut this year, Nominet said, but that’s up considerably from 32 last year.

There’s an appeals mechanism that can be used by registrants to restore their domains, for example if they’ve removed the infringing content. It was used successfully 16 times in the year, up by one on last year.

The registry also reported that no domains were suspended due to its ban on incitement-to-rape domains, down from two last year, but that staff had to manually review 2,717 new registrations containing suspect strings.

Nominet to donate over $260,000 to Children In Need

Kevin Murphy, October 8, 2018, Domain Registries

UK ccTLD registry Nominet said today that it will donate £1 ($1.31) for every domain registered to the charity Children In Need.

The initiative, which runs from today until November 19, is being backed up with a £200,000 ($261,000) minimum donation commitment.

Every paid-for domain in .co.uk, .uk, .me.uk and .org.uk will count.

The .uk space typically has been doing about 125,000 to 130,000 new regs per month recently, across all subdomains and direct .uk, so we’re looking at a potentially substantial donation here.

The money raised will help fund technology-related youth projects across the UK, Nominet said.

Judging by today’s press release, non-profit Nominet is calling itself a “profit with a purpose” company nowadays.

Children In Need is a charity run by the BBC. It broadcasts a fundraising telethon every year, typically raising tens of millions of pounds.

This year’s show is being broadcast November 16.

Nominet to charge brands for no-name Whois access

Kevin Murphy, April 23, 2018, Domain Registries

Nominet has become the second major registry to announce that trademark lawyers will have to pay for Whois after the EU General Data Protection Regulation comes into effect next month.

The company said late last week that it will offer the intellectual property community two tiers of Whois access.

First, they can pay for a searchable Whois with a much more limited output.

Nominet said that “users of the existing Searchable WHOIS who are not law enforcement will continue to have access to the service on a charged-for basis however the registrant name and address will be redacted”.

Second, they can request the full Whois record (including historical data) for a specific domain and get a response within one business day for no charge.

Approved law enforcement agencies will continue to get unfettered access to both services — with “enhanced output” for the searchable Whois — for no charge, Nominet said.

These changes were decided upon following a month-long consultation which accepted comments from interested parties.

Other significant changes incoming include:

  • Scrapping UK-presence requirements for second-level registrations.
  • Doing away with the current privacy services framework, offloading GDPR liability to registrars providing such services.
  • Creating a standard opt-in mechanism for registrants who wish for their personal data to be disclosed in public Whois.

Nominet is the second registry I’m aware of to say it will charge brand owners for Whois access, after CoCCA 10 days ago.

CoCCA has since stated that it will sell IP owners a PDF containing the entire unredacted Whois history of a domain for $3, if they declare that they have a legitimate interest in the domain.

It also said they will be able to buy zone file access to the dozens of TLDs running on the CoCCA platform for $88 per TLD.