Second delay for domain security key rollover

ICANN has decided to delay changing the security keys to the DNS for the second time.
The “KSK Rollover” had been rescheduled from October 11 to some time in the first quarter 2018, but that will no longer happen. We’re now looking at Q3 at the earliest.
“We have decided that we do not yet have enough information to set a specific date for the rollover,” VP of research Matt Larson said in a blog post. “We want to make clear, however, that the ICANN org is committed to rolling the root zone KSK”.
The root KSK, or Key Signing Key, is the cryptographic key pair at the very top of the security hierarchy specified by DNSSEC, the security extension for DNS.
The current, first-ever, root KSK has been in operation since 2010, but ICANN’s policy is to roll it every five years or so.
The October date was delayed after newly available data showed that hundreds of DNS resolvers were still only configured to use the 2010 keys and not the 2017 keys that have already been deployed in tandem.
This would mean a rollover would cut off access to DNSSEC-signed zones to potentially millions of internet users.
ICANN found that 4% of the 12,000 DNSSEC-validating resolvers — roughly 500 IP addresses — it surveyed in September were not ready for KSK-2017.
Larson told us last month that at least 176 organizations in 41 countries were affected.
Since the first delay, ICANN has been trying to contact the owners of the 500 incompatible IP addresses but has run into some serious problems, Larson blogged.
First, a significant number of these addresses are dynamically allocated (such as to home broadband hubs) meaning tracking down the owners of the misconfigured devices would be next to impossible. Others were forwarding DNS queries on behalf of other devices, creating a similar problem.
Additionally, it seems ICANN has still not received responses from owners of 80% of the affected IP addresses.
Due to the lack of reliable data, it’s difficult for ICANN to figure out how many users’ internet access will be affected by a rollover.
The threshold called for by current policy is about 20 million people.
So ICANN has delayed the event to some point after Q1. Larson wrote that the organization will publish a plan on January 18 which will be open for public comment and discussed at the ICANN 61 meeting in Puerto Rico next March.
A final plan is not expected until ICANN 62, which happens in late June, so Q3 would be the earliest the rollover could actually occur.
Larson encouraged anyone interested in discussing the plan to join this mailing list.

Comment Tagged: DNSSEC, ICANN, ksk, rollover

Justice gives nod to O.com auction

The US Department of Justice does not intend to prevent Verisign from auctioning off the single-letter domain o.com.
Aaron Hoag, chief of the department’s Technology & Financial Services Section, told ICANN in a letter (pdf) that it does not intend to probe Verisign’s proposal.
The letter reads in its entirety:

Your letter dated December 7, 2017, to Makan Delrahim, Assistant Attorney General of the Antitrust Division, regarding VeriSign’s proposal to auction O.COM, has been referred to the Technology & Financial Services Section for review. After careful consideration of the matter, the Division can report that it does not intend to open an investigation into the proposed auction described in the attachment to your letter.

Verisign asked ICANN’s permission to auction o.com, with most of the the proceeds going to good causes, after over a decade of nagging from retailer Overstock.com, which desperately wants to own the currently reserved name.
It would set a precedent for the company to sell off the remaining 22 single-letter domains, not to mention the 10 digits, which are all currently reserved due to a decades-old technical policy no longer considered necessary.
Verisign would only receive its $7.85 base registry fee from the sale, despite the fact that single-letter domains could easily fetch seven or eight figures.
The company asked ICANN for permission to release the name via its Registry Services Evaluation Process last month.
ICANN said earlier this month that it had no objection on technical grounds, but referred it to US competition authorities for a review.
With the DoJ apparently not interested, the door is open for ICANN to approve the RSEP before the end of the year, meaning Verisign could carry out the auction in 2018.
The big question now is whether anyone other than Overstock will want to take part in the auction. Overstock has US trademarks on “O.com”, despite the fact that it’s never actually owned the domain.

Comment Tagged: antitrust, doj, ICANN, justice, o.com, overstock.com, rsep, verisign

Davies named new IANA boss

Kim Davies has been named the new head of IANA.
ICANN said today that he’s been promoted from his role as director of technical services to VP of IANA services and president of Public Technical Identifiers, the company that manages the IANA functions.
With ICANN since 2005, he replaces Elise Gerich, who announced her departure, originally scheduled for October, back in April.
Gerich has been IANA’s top staffer since 2010 and was PTI’s first president.
IANA is responsible for overseeing the top-level domain database, as well as the allocation of IP address blocks and protocol numbers.
Starting January 1, Davies will be in the top spot when ICANN executes the first-ever rollover of the root system’s most important DNSSEC keys, due to delays.

Comment Tagged: iana, ICANN, pti

Shocker! After 15 years, Afilias kicks Neustar out of Australia

Afilias has been awarded the contract to run .au, Australia’s ccTLD, kicking out incumbent Neustar after 15 years.
It’s currently a 3.1 million-domain contract, meaning it’s going to be the largest back-end transition in the history of the DNS.
It’s also very likely going to see the price of a .au domain come down.
Neustar, via its 2015 acquisition of AusRegistry, has been the back-end provider for .au since 2002. That deal is now set to end July 1, 2018.
auDA, the ccTLD manager, said today that Afilias was selected from a shortlist of three bidders, themselves whittled down from the initial pool of nine.
It’s not been disclosed by auDA who the other shortlisted bidders were, and Afilias execs said they do not know either. I suspect Neustar would have been one of them.
The contract was put up for bidding in May, after auDA and Neustar failed to come to terms on a renewal.
At 3.1 million domains under management, .au is currently bigger than .org was when Afilias took over the back-end from Verisign in 2003.
Back then, .org was at 2.7 million names. It’s now at over 10 million.
“It’s the biggest transition ever, but not by much,” Afilias chief marketing officer Roland LaPlante said.
CTO Ram Mohan said that it should actually be easily than the .org transition, which had the added wrinkle of switching registrars from Verisign’s legacy RPP protocol to the now-standard EPP.
auDA said that Afilias will start reaching out to the 40-odd current .au registrars about the transition “as early as this week”.
About half of registrars are already on Afilias’ back-end and about half are ICANN-accredited, LaPlante said.
“We don’t expect to have many changes for registrars, but we have plenty of time to prepare them for what is needed,” Mohan said. “It ought to be a fairly easy glide path.”
There will be a live test environment for registrars to integrate with prior to the formal handover, he said.
There are several local presence requirements to the contract, so Afilias will open up a 20-person office in Melbourne headed by current VP of corporate services John Kane, who will shortly move there.
The company will also have to open a data center there, as the contract requires all data to be stored in-country.
Mohan, LaPlante and Kane said they’re all jumping on planes to Melbourne tonight to begin transition talks with local interested parties.
Financial terms of the deal are not being disclosed right now, but LaPlante said that .au registrars should see prices come down. This could lead to lower prices for registrants.
They currently pay AUD 17.50 ($13.44) per domain for a two-year registration, and I believe Neustar’s cut is currently around the $5 (USD) per year mark.
Afilias is not known for being a budget-end back-end provider, but it seems its slice of the pie will be smaller than Neustar’s.
LaPlante said that fees charged to registrars will be set by auDA, but that it now has flexibility to reduce prices that it did not have under the incumbent.
“Some savings should flow down to registrars as part of this,” he said.
The term of the contract is “four or five years” with options to renew for additional years, he said.
The loss of .au has no doubt come as a blow to Neustar, which paid $87 million for AusRegistry parent Bombrra just two years ago.
While Bombora also had dozens of new gTLD clients, many dot-brands, .au was undoubtedly its key customer.

3 Comments Tagged: .au, afilias, auda, ausregistry, back-end, contract, neustar

.sx switches from KSRegistry to CIRA’s Fury

Sint Maarten ccTLD .sx has changed registry back-end providers.
SX Registry has switched from Germany’s KSRegistry to Canada’s CIRA, according to a CIRA press release and IANA records.
SX is now using CIRA’s relatively new Fury back-end platform, which launched a bit over a year ago with the new gTLD .kiwi as its inaugural customer.
The transition took under 30 days, according to CIRA, which built Fury using its experience managing Canadian ccTLD .ca.
Sint Maarten is a relatively new country, formed when the Netherlands Antilles’ .an split into three new ccTLDs in 2010.
.an has since been retired.
SX Registry won the deal to operate the TLD and launched it in 2012. The company, while technically based on the island, is run by a Canadian.

Comment Tagged: .ca, .sx, cira, fury, sx registry

Radix says it’s profitable after making $12 million this year

New gTLD stable Radix said today that it expects to top $12 million in revenue this year.
The company also told DI that it is currently profitable.
Radix, which counts the likes of .site and .store among its portfolio of nine active gTLDs, said revenue so far for the calendar year has been tallied at $11.7 million.
The company said that more than half of revenue came from “non-premium domain renewals”, an important metric when considering the long-term health of a domain business.
Recurring revenue of non-premiums was almost twice as much as new registrations, Radix said. Only $1.76 million of revenue came from premium sales (14%) and renewals (86%).
The US accounted for just under half of revenue, with Germany at 14.4% and China, where .site was fully active for the whole year and four other TLDs were approved in October, coming in at 7.7%.
Radix is a private company, part of the Directi Group, and has not previously disclosed its financials.
Assuming apples-to-apples comparisons are valid (which may not be the case), its figures compare favorably to public competitors such as MMX, which expects to report 2017 in the same ball-park despite having more than twice as many gTLDs under management.

Comment Tagged: earnings, financials, radix, revenue

Expect “minor inconveniences” in post-hurricane Puerto Rico

ICANN 61 is going ahead in Puerto Rico despite the continuing fallout of a devastating hurricane season, the organization has confirmed.
The March 10-15 meeting will take place at the convention center in San Juan, and participants can only expect “minor inconveniences”
ICANN said in a statement:

We recognize that Puerto Rico is still in the recovery phase, and while we can expect some minor inconveniences, the convention center and supporting hotels are fully operational and eager to host our event in March.

ICANN has not yet listed its official supporting hotels, where it usually negotiates bulk discounts, on the official ICANN 61 page.
In the event you, like me, always find ICANN’s approved hotels a tad on the pricey side, you’ll probably need to do your own research.
ICANN added that it has been working with the island’s governor and that: “We have been assured that our presence in San Juan will support economic recovery on the island.”
Hurricane Maria made landfall in Puerto Rico on September 20, killing at least 48 people and causing billions of dollars in property damage.
The convention center venue for ICANN 61 escaped relatively unscathed and was actually used as a command and control center during the immediate aftermath of the disaster.

Comment Tagged: hurricane maria, ICANN, icann 61, puerto rico

.kids auction is off

ICANN has postponed the planned auction of the .kid(s) gTLDs after an appeal from one of the applicants.
The last-resort auction had been penciled in for January 25, and there was a December 8 deadline for the three participants to submit their info to the auctioneer.
But DotKids Foundation, the shallowest-pocketed of the three, filed a Request for Reconsideration last Wednesday, asking ICANN to put the contention set back on hold.
The cancellation of the January auction appears to be to give ICANN’s board of directors time to consider the RfR under its usual process — it has not yet ruled on it.
DotKids and Amazon have applied for .kids and Google has applied for .kid. A String Confusion Objection won by Google put the two strings in the same contention set, meaning only one will eventually go live.
DotKids comprehensively lost a Community Priority Evaluation, which would negate an auction altogether, but it thinks the CPE got it wrong and wants to be treated the same way as other gTLD applicants whose CPE results are currently under review.
Reconsideration requests take between 30 and 90 days to process, and they rarely go the way of the requester, so the delay to the auction will likely not be too long.

Comment Tagged: .kid, .kids, amazon, auction, cpe, dotkids, google, ICANN, last resort, new gTLDs, reconsideration, rfr

CentralNic now owns .sk after $30m deal closes

CentralNic has just closed its acquisition of SK-NIC, the ccTLD operator for Slovakia, the company announced today.
The London-based firm announced the deal back in August, when it was to be worth €21.27 million up front, with a deferred performance-related cash payout of €4.85 million cash over three years.
But the deal, originally intended to close in September, was delayed by legal “complexities” and restructured from an asset purchase to a purchase of SK-NIC, including its liabilities, in its entirety.
The purchase price is now €20.27 million in advance, with €5.85 million deferred. That’s still a total of €26.12 million ($30.67 million).
The acquisition is unusual in that it sees a ccTLD transferring to control of a foreign entity, and was opposed by many in the Slovakian internet community.
A petition was organized calling for the transfer of .sk to a new independent body with more community and government oversight.
There had been fears that CentralNic would do to .sk what it has to Laos’ .la — repurpose it to mean something other than “Slovakia” — but CentralNic told DI that it will no do so.
The deal means .sk will move from its outdated old registry infrastructure to CentralNic’s standards-based EPP platform, which should make it easier for registrars to integrate.
It’s also likely to mean it’s going to be much easier for non-Slovaks to be able to register .sk domains.
SK-NIC currently has about 360,000 domains under management.

Comment Tagged: .sk, acquisition, centralnic, sk-nic, slovakia

As .wed goes EBERO, did the first new gTLD just fail?

A wedding-themed gTLD with a Bizarro World business model may become the first commercial gTLD to outright fail.
.wed, run by a small US outfit named Atgron, has become the first non-brand gTLD to be placed under ICANN’s emergency control, after it lost its back-end provider.
DI understands that Atgron’s arrangement with its small New Zealand back-end registry services provider CoCCA expired at the end of November and that there was a “controlled” transition to ICANN’s Emergency Back-End Registry Operator program.
The TLD is now being managed by Nominet, one of ICANN’s approved EBERO providers.
It’s the first commercial gTLD to go to EBERO, which is considered a platform of last resort for failing gTLDs.
A couple of unused dot-brands have previously switched to EBERO, but they were single-registrant spaces with no active domains.
.wed, by contrast, had about 40 domains under management at the last count, some apparently belonging to actual third-party registrants.
Under the standard new gTLD Registry Agreement, ICANN can put a TLD in the emergency program if they fail to meet up-time targets in any of five critical registry functions.
In this case, ICANN said that Atgron had failed to provide Whois services as required by contract. The threshold for Whois triggering EBERO is 24 hours downtime over a week.
ICANN said:

Registry operator, Atgron, Inc., which operates gTLD .WED, experienced a Registration Data Directory Services failure, and ICANN designated EBERO provider Nominet as emergency interim registry operator. Nominet has now stepped in and is restoring service for the TLD.
The EBERO program is designed to be activated should a registry operator require assistance to sustain critical registry functions for a period of time. The primary concern of the EBERO program is to protect registrants by ensuring that the five critical registry functions are available. ICANN’s goal is to have the emergency event resolved as soon as possible.

However, the situation looks to me a lot more like a business failure than a technical failure.
Multiple sources with knowledge of the transition tell me that the Whois was turned off deliberately, purely to provide a triggering event for the EBERO failover system, after Atgron’s back-end contract with CoCCA expired.
The logic was that turning off Whois would be far less disruptive for registrants and internet users than losing DNS resolution, DNSSEC, data escrow or EPP.
ICANN was aware of the situation and it all happened in a coordinated fashion. ICANN told DI:

WED’s backend registry operator recently notified ICANN that they would likely cease to provide backend registry services for .WED and provided us with the time and date that this would occur. As such, we were aware of the pending failure worked to minimize impact to registrants and end users during the transition to the Emergency Back-end Registry Operator (EBERO) service provider.

In its first statement, ICANN said that Nominet has only been appointed as the “interim” registry, while Atgron works on its issues.
It’s quite possible that the registry will bounce back and sign a deal with a new back-end provider, or build its own infrastructure.
KSregistry, part of the KeyDrive group, briefly provided services to .wed last week before the EBERO took over, but I gather that no permanent deal has been signed.
One wonders whether it’s worth Atgron’s effort to carry on with the .wed project, which clearly isn’t working out.
The company was founded by an American defense contractor with no previous experience of the domain name industry after she read a newspaper article about the new gTLD program, and has a business model that has so far failed to attract customers.
The key thing keeping registrars and registrants away in droves has been its policy that domains could be registered (for about $50 a year) for a maximum period of two years before a $30,000 renewal fee kicked in.
That wasn’t an attempt to rip anybody off, however, it was an attempt to incentivize registrants to allow their domains to expire and be used by other people, pretty much the antithesis of standard industry practice (and arguably long-term business success).
That’s one among many contractual reasons that only one registrar ever signed up to sell .wed domains.
Atgron’s domains under management peaked at a bit over 300 in March 2016 and were down to 42 in August this year, making it probably the failiest commercial new gTLD from the 2012 round.
In short, .wed isn’t dead, but it certainly appears extremely unwell.
UPDATE: This post was updated December 12 with a statement from ICANN.

1 Comment Tagged: .wed, atgron, ebero, ICANN, ksregistry, new gTLDs, nominet, whois