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New TLDs may face more GAC delay

Kevin Murphy, January 22, 2011, Domain Registries

ICANN has finally confirmed the date for its groundbreaking meeting with its Governmental Advisory Committee, and it doesn’t look like great news for new top-level domain applicants.
The GAC and ICANN’s board of directors will meet for a two-day consultation in Brussels, starting February 28, according to an announcement late yesterday.
Attendees will be tasked with identifying the problems the GAC still has with the Applicant Guidebook, and trying to resolve as many as possible.
The devil is in the detail, however. ICANN stated:

This meeting is not intended to address the requirements/steps outlined in the Bylaws mandated Board-GAC consultation process.

This means that, post-Brussels, a second GAC consultation will be required before the ICANN board will be able to approve the Guidebook.
Under ICANN’s bylaws, when it disagrees with the GAC, it has to first state its reasons, and then they must “try, in good faith and in a timely and efficient manner, to find a mutually acceptable solution.”
ICANN appears to have now confirmed that it has not yet invoked this part of the bylaws, and that Brussels will not be the “mutually acceptable solution” meeting.
The best case scenario, if you’re an impatient new TLD applicant, would see the second consultation take place during the San Francisco meeting, which kicks off March 13.
The board would presumably have to convene a special quickie meeting, in order to officially invoke the bylaws, at some point during the two weeks between Brussels and San Francisco.
That scenario is not impossible, but it’s not as desirable as putting the GAC’s concerns to bed in Brussels, which is what some applicants had hoped and expected.
The GAC is currently writing up a number of “scorecards” that enumerate its outstanding concerns with the Guidebook.
Mark Carvell, the UK representative, has been tasked with writing the scorecard for trademark protection. Other scorecards will likely also discuss, for example, the problem of objecting to TLD applications on “morality and public order” grounds.
ICANN’s board, meanwhile, is due to meet this coming Tuesday to agree upon the “rules of engagement” for handling disagreements with the GAC under its bylaws.
When these rules are published, we should have a better idea of how likely a San Francisco approval of the Applicant Guidebook is.
Surprisingly, the ICANN announcement yesterday makes no mention of ICM Registry’s .xxx TLD application, which is the only area where the board has officially invoked the bylaws with regards the GAC’s objections.
The Brussels meeting, ICANN said, will be open to observers, transcribed live, and webcast.

What O.co says about new TLDs

Kevin Murphy, January 21, 2011, Domain Registries

Overstock.com’s shock rebranding move yesterday is not only a big marketing coup for .CO Internet, it also may be good news for new top-level domains in general.
In a pair of US TV commercials (available here and here if you’re overseas) Overstock has started calling itself O.co, the domain it bought privately from the .co registry for $350,000 last July.
When I wrote, last November, “Overstock’s .com domain is its brand, and that’s not about to change”, I may well have been wrong. Go to overstock.com and look at the logo.
This is good evidence, if it were needed, that the very same trademark interests currently opposed to ICANN’s new TLDs program are also keenly aware of the benefits.
Overstock has had its eyes on O.com for over five years, and fought unsuccessfully within ICANN to have single-letter .com domains released from the VeriSign reserved list.
It was not until .co relaunched last summer – essentially a new TLD – that Overstock got the opportunity to register a domain (almost?) as good as the one it wanted.
I find this interesting because Overstock, like many other major brand owners, has been a vocal opponent of new TLDs.
In a July 2009 letter to ICANN (pdf), for example, Overstock expresses many of the same views about new TLDs that are still being expressed by the trademark interests currently holding up the program.
I’m not suggesting that Overstock’s eagerness to use O.co negates its specific criticisms of the new TLDs program, but its conflicting behavior does seem to suggest a certain degree of cognitive dissonance.
On the one hand, it opposed new TLDs. But when a new TLD launched, it grasped the opportunity with both hands and rebranded the whole company around it.
If what I hear is true, many of the companies publicly opposed to new TLDs are also the ones simultaneously investigating their own “.brand” domains.
Could Overstock’s latest move represent a pent-up demand for new TLDs among big brands? What does that mean for the future of .com as the internet’s premium real estate?

Eleven new ccTLDs coming next week

Kevin Murphy, January 19, 2011, Domain Registries

ICANN is set to approve 11 new internationalized domain name ccTLDs, representing four nations in Asia and the Middle East, at its board meeting next week.
On the January 25 consent agenda – which is typically rubber-stamped without discussion – is the approval of IDN ccTLDs for South Korea, India, Singapore and Syria.
Korea is due to get .한국, Singapore gets . 新加坡 (Chinese) and .சிங்கப்பூர் (Tamil), while Syria gets the Arabic string .سورية.
Massively polyglot India will be delegated its ccTLD in seven of its most-popular languages.
The delegations will push the number of TLDs in IANA’s database to over 300 for the first time.
This week, the ccTLD for Thailand went live with Thai-language registrations under .ไทย. You can watch a video of ICANN CEO Rod Beckstrom congratulating the nation here.
Also on ICANN’s agenda next week is the re-delegation of the ASCII ccTLDs for Burkina Faso, Congo and Syria – .bf, .cd and .sy respectively – to new registry managers.

RIAA threatens ICANN over new TLDs

Kevin Murphy, January 18, 2011, Domain Registries

The Recording Industry Association of America has added itself to the list of organizations making vague legal threats over ICANN’s new top-level domains program.
The RIAA, no stranger to playing the bogeyman when it comes to technological change, is concerned that .music, for example, could be used to encourage copyright infringement.
It wants ICANN to “ensure best practices are developed” to prevent musical TLDs being used to enable music piracy. In a letter, RIAA deputy general counsel Victoria Sheckler wrote:

We are concerned that a music themed gTLD will be used to enable wide scale copyright and trademark infringement.

We would like to work with ICANN and others to ensure that best practices are developed and used to ensure this type of malicious behavior does not occur.

She signs off with a barely veiled threat:

We strongly urge you to take these concerns seriously… we prefer a practical solution to these issues, and hope to avoid the need to escalate the issue further.

One of the RIAA’s objections to the current Applicant Guidebook for new TLDs is the “community objection” procedure, which the RIAA doesn’t think gives it a good enough chance of blocking a .music TLD application.
I wonder if the RIAA is planning its own .music bid.
There is already one very public .music initiative, championed for the last couple of years by Constantine Roussos, an active and vocal ICANN community member.
But the string is valuable, is likely to be contested, and there’s a not insignificant chance that Roussos will be beaten to it by an applicant with deeper pockets.
Regardless, the RIAA’s argument that .music equals piracy is pretty poor, possibly disingenuous, and unlikely to influence the Guidebook.
ICANN constantly walks the tightrope between technical coordination and content regulation; getting into the business of fighting piracy is not going to make it onto the agenda any time soon.

Banks to write security rules for “.bank”

Kevin Murphy, January 17, 2011, Domain Registries

Financial services firms unhappy with ICANN’s new top-level domains program are to take matters into their own hands by writing security guidelines for TLDs like “.bank”.
BITS, the technology policy arm of the Financial Services Roundtable, said it plans to develop “elevated security standards for financial gTLDs” and wants ICANN to make them mandatory.
The organization, which counts many major world banks as members, is concerned that a “.bank” in the hands of a registry with lax security could increase fraud and reduce confidence in banking online.
BITS said its guidelines would be drafted by a globally diverse working group and submitted to an international standards-setting organization for ratification.
It wants ICANN to include a single sentence in its new TLDs Applicant Guidebook, apparently incorporating the guidelines by reference:

Evaluators will use standards published by the financial services industry to determine if the applicant’s proposed security approach is commensurate with the level of trust necessary for financial services gTLDs.

An ICANN working group is working on the concept of a High Security Zone TLD for precisely this kind of application, but in September the ICANN board abruptly decided that it “will not be certifying or enforcing” the idea, apparently in order to mitigate its own corporate risk.
The BITS project appears to be in direct response to that move.
It certainly seems to be a more productive avenue of engagement than hinting at a lawsuit, which it did in a November letter to ICANN.
I’m attempting to confirm whether the BITS plan, submitted as a response to the Applicant Guidebook public comment period, is being proposed with ICANN’s backing. (UPDATE: it isn’t.)

No cheap TLDs for poor countries

Kevin Murphy, January 17, 2011, Domain Registries

Applicants in the developing world that hoped to get a new top-level domain on the cheap will be disappointed after proposals to help subsidize their applications were watered down.
The ICANN GNSO Council last week voted against measures that could have reduced application fees or asked ICANN set up an aid fund for applicants from poor nations.
ICANN’s application fee for a single TLD is $185,000, but it is widely expected to cost most applicants at least double or triple that, once add-on fees and consulting costs are taken into account.
While this is not a lot of money if you’re a big corporation, it’s a substantial barrier to entry if you’re an entrepreneur or community initiative from a poorer country.
So for several months an ICANN working group known as JAS, for Joint Applicant Support, has been working on ideas for how ICANN and others can support less wealthy applicants.
The group wanted to do further work to establish ways to subsidize the application fee, set up an ICANN fund using revenue from TLD auctions, and negotiate registry-level support.
But the GNSO Council voted those ideas down last Thursday, ostensibly on the basis that they were too far-reaching and “beyond the scope of the GNSO” to approve.
The vote was split roughly along party lines, with almost all of the support for the broader motions coming from non-commercial stakeholders.
Business interests such as registrars, registries, ISPs and intellectual property stakeholders voted in favor of a more “limited” set of objectives.
Proponents of the new limited charter tell me that they remain supportive of the work of the JAS, but that they did not believe it has the expertise to carry out such far-reaching work.
I suspect that commercial factors also played a role. For example, the JAS wanted to:

Discuss with Backend Registry Service Providers the extent of coordination, to be given by Backend Registry Service Providers (e.g. brokering the relationships, reviewing the operational quality of the relationship) and propose methods for coordinating that assistance

But the registry-supported replacement resolution, which was approved, asks the JAS to instead:

Propose methods for applicants to seek out assistance from registry service providers.

References to reduced application fees for needy applicants, and to the need for an ICANN-supported fund, were cut entirely.
The changes received majority support on the Council, but were not universally welcomed. Former Council chair Avri Doria called it “neocolonialism”, and wrote on her blog:

The only kind of aid the JAS WG is allowed to work on is aid that makes a applicant from a developing economy beholden and subject to the control of an incumbent or an expert.

Because the JAS working group was a joint effort of the GNSO and At Large Advisory Committee, it now has two charters – one broad, one narrow – and it’s not entirely clear how its work will proceed.
But it does seem that the $185,000 application fee is here to stay, no matter where you come from.

Cute sees .org’s future in new TLDs

Kevin Murphy, January 14, 2011, Domain Registries

The Public Interest Registry sees new top-level domains as an opportunity to strengthen the .org brand as well as add new TLDs to its stable, according to newly appointed CEO Brian Cute.
“We have the new round of gTLDs opening up soon, and I see that as genuinely an opportunity for PIR, so a lot of our strategic focus will be there,” Cute said in an interview.
Internationalized domain name TLDs will play a major role in this strategy. Cute said that “expanding .org into the IDN world” will be the key focus.
While PIR plans to apply to ICANN for several IDN variants of .org, there’s less interest in expanding into ASCII strings or outside of the company’s “public interest” mission.
“We not particularly looking at that opportunity,” Cute said.
He also believes that the large number of new TLDs ICANN is expected to authorize could actually strengthen .org as a brand.
“There will be lots of new entrants, lots of new competition,” he said. “The environment will be one where if we play our cards right, we’ll be able to be successful and in fact flourish.”
Cute was named CEO of PIR earlier today. Previously, he worked at Afilias, a close partner, so his learning curve at his new employer will be relatively gentle.
He said he doesn’t plan to shake things up much.
“I don’t see any need to make any major course corrections to our strategy,” he said. “It’s now a matter of execution. There will be new competition so we will have to execute well.”

Brian Cute named CEO of .org

Kevin Murphy, January 14, 2011, Domain Registries

Public Interest Registry, which manages the .org domain, has named Brian Cute as its new CEO, following the resignation of Alexa Raad last August.
Cute was most recently a vice president at Afilias, which provides .org’s back-end registry infrastructure. Before that, he was with VeriSign, .org’s original custodian.
He’s a familiar face to many in the domain name industry and the ICANN community, most recently chairing ICANN’s Accountability and Transparency Review Team.
Cute replaces Maarten Botterman, PIR’s chairman, who had stepped into the CEO’s office temporarily after Raad quit. He starts February 1.

IP lawyers call for halt to new TLDs

Kevin Murphy, January 13, 2011, Domain Registries

Some trademark interests are ratcheting up the rhetoric in opposition to ICANN’s new top-level domains program, with one company calling for it to be scrapped altogether.
While ICANN’s extended public comment period on the proposed final Applicant Guidebook does not end until the weekend, a Danish bloc of companies has already made its objections known.
The most vociferous views so far this week have come from Lundbeck, a drug company that researches treatments for diseases such as Alzheimer’s and Parkinson’s.
Lundbeck trademark counsel Søren Ingemann Larsen accused ICANN of operating “fake” comment periods that ignore feedback from the trademark lobby.
In a cap-happy missive, he said the program should be “HALTED” until ICANN can prove the domain market lacks competition, then “cancelled” if such proof is not forthcoming.

The fact of the matter is that the only entities that are in favour of the Program are the ones who can make money out of it, and that is ICANN and the Registrars. The “internet community”, including private users and brand owners, are NOT interested.

Lundbeck, which has brands such as “Cipralex” and “Xenazine”, does not appear to be a major target for cybersquatters, judging by how many UDRP complaints it has filed (none).
It did however join CADNA, the Coalition Against Domain Name Abuse, at the same time as prolific UDRP user Lego Juris, last November.
Lego, and a few other companies submitting virtually identical comments to ICANN this week, have reiterated criticisms of the program’s trademark protections expressed in previous months.
But they have now also seized upon elements of the latest independent economic report into the costs and benefits of new TLDs, which ICANN published last month.
One extract Lego and the others quote questions whether new TLDs are needed to provide some of the services proposed by community TLD wannabes:

Are there other ways to achieve the primary objectives of the proposed gTLD, such as: (a) second-level domain names; (b) certificates; (c) software tags; and (d) filters that look at content beyond the URL and any tags? How do the alternatives, if any, compare in terms of their likely effectiveness in achieving the primary objectives of the gTLD and the costs they would impose on different members of the Internet community?

It’s an interesting argument – that a community TLD could just as well operate as a second-level domain – not one I recall reading in a long while. I don’t think it has legs.

Native Americans want new TLD protection

Kevin Murphy, January 11, 2011, Domain Registries

The National Congress of American Indians, a Native American rights group, has asked ICANN for special protection for tribal names under the new top-level domains program.
In comments filed with ICANN today, the NCAI asks for the same level of protection given to countries and territories found on various UN lists, such as the ISO 3166-1 list of country names.
NCAI president Jefferson Keel wrote:

Allowing the approval of top level tribal domain names (such as .navajo or .seneca) without considering the protection of tribal governments would cause confusion, attributing certain information or views to a tribal government which would lack control while its name is being used. In our view, only tribal government websites should be authorized to use a tribal name gTLD, unless express consent is granted by the tribal government.

The letter appears to request that these protections are extended both to TLD strings and to names registered at the second level, although it’s not entirely clear on that point.
In other words, the NCAI appears to want not only “.navajo” reserved, but also to have “navajo” placed on the list of reserved strings that all TLD registries will have to abide by.
The latest list of tribes officially recognized by the US government has several hundred entries. If ICANN were to make the requested changes, more tribes would be protected than UN members.
Most of the push for protection of geographic terms has come from ICANN’s Governmental Advisory Committee, which does not have any Native American tribal representatives.
Keel’s comments were filed in response to the ongoing ICANN public comment period on the latest version of the Applicant Guidebook, which ends this Saturday.