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Dot Registry backs .africa loser, batters on the ICANN lawsuit floodgates

Kevin Murphy, August 28, 2016, Domain Registries

Rejected community gTLD applicant Dot Registry has waded into the lawsuit between DotConnectAfrica and ICANN.
Filing an amicus brief on Friday in support of the unsuccessful .africa applicant, Dot Registry argues that chagrined new gTLD applicants should be allowed to sue ICANN, despite the legal releases they all signed.
The company is clearly setting the groundwork for its own lawsuit against ICANN — or at least trying to give that impression.
If the two companies are successful in their arguments, it could open the floodgates for more lawsuits by pissed-off new gTLD applicants.
Dot Registry claims applicants signed overly broad, one-sided legal waivers with the assurance that alternative dispute mechanisms would be available.
However, it argues that these mechanisms — Reconsideration, Cooperative Engagement and Independent Review — are a “sham” that make ICANN’s assurances amount to nothing more than a “bait-and-switch scheme”.
Dot Registry recently won an Independent Review Process case against ICANN that challenged the adverse Community Priority Evaluation decisions on its .inc, .llc, and .llp applications.
But while the IRP panel said ICANN should pay Dot Registry’s share of the IRP costs, the applicant came away otherwise empty-handed when panel rejected its demand to be handed the four gTLDs on a plate.
The ICANN board of directors has not yet fully decided how to handle the three applications, but forcing them to auction with competing applications seems the most likely outcome.
By formally supporting DotConnectAfrica’s claim that the legal waiver both companies signed is “unconscionable”, the company clearly reckons further legal action will soon be needed.
DotConnectAfrica is suing ICANN on different grounds. Its .africa bid did not lose a CPE; rather it failed for a lack of governmental support.
But both companies agree that the litigation release they signed is not legally enforceable.
They both say that a legal waiver cannot be enforceable in ICANN’s native California if the protected party carries out fraud.
The court seems to be siding with DotConnectAfrica on this count, having thrown out motions to dismiss the case.
Dot Registry’s contribution is to point to its own IRP case as an example of how ICANN allegedly conned it into signing the release on the assumption that IRP would be able to sort out any disputes. Its court brief (pdf) states:

although claiming to provide an alternative accountability mechanism, the Release, in practice, is just a bait-and-switch scheme, offering applicants a sham accountability procedure

Indeed, the “accountability” mechanism is nothing of the sort; and, instead of providing applicants a way to challenge actions or inactions by ICANN, it gives lip-service to legitimate grievances while rubber-stamping decisions made by ICANN and its staff.

That’s an allusion to the IRP panel’s declaration, which found no evidence that ICANN’s board of directors had conducted a thorough, transparent review of Dot Registry’s complaints.
Dot Registry is being represented by the law firm Dechert. That’s the current home of Arif Ali, who represented DotConnectAfrica in its own original IRP, though Ali is not a named lawyer in the Dot Registry brief.

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West.cn targets Engrish domainers with new .xyz site

Kevin Murphy, August 26, 2016, Domain Registrars

West.cn, the Chinese registrar that has quickly become the highest-volume seller of new gTLD domains, has turned its attention to the English-speaking market.
The company has launched a new site at West.xyz, offering domains at some of the cheapest prices available, in English.
A .com can be obtained for the equivalent of $8.25 a year, while a .xyz costs about $1.20, according to the site. In .top, names are on sale for about $0.60.
West.xyz is still pricing its names in CNY, which may be off-putting to buyers in English-speaking markets.
The quality of the translation is currently quite poor also, verging on what razy lacists know as “Engrish”.
“Wish you a good luck in deals!” the front page offers.
“We hope to let all customers invest breezily and contribute to the domain industry with unremitting efforts,” the About page reads.
“In future, west.xyz will devote itself to the healthy and sustainable domain industry development and serve all customers wholeheartedly.”
The choice of .xyz as the domain for the new site is perhaps not surprising.
West.cn is XYZ.com’s biggest-volume channel partner, and recently put $1.5 million into subsidizing .xyz renewal fees.

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Spurned applicant crowd-funding to fight ICANN for .gay gTLD

Kevin Murphy, August 26, 2016, Domain Registries

The community-driven applicant for .gay is attempting to raise hundreds of thousands of dollars via crowd-funding to challenge a series of adverse decisions that look set to lock it out of running the gTLD.
Alongside the fundraising, dotgay LLC has launched an extraordinary broadside at its frustrators, accusing ICANN of “discrimination” and rival applicants of trying to “exploit” the gay community.
The company wants to raise $360,000 via this Generosity.com page, “to challenge decisions that have stalled community efforts for .GAY.”
Although the campaign has been running for 23 days, so far only three people (including a former employee) have donated a total of $110.
Given the vast number of LGBTQIA organizations that have lent their support to dotgay, I can only assume a lack of publicity is to blame for the $359,890 shortfall.
A five-minute video announcing the campaign has been on YouTube since August 3, but at time of writing has only been viewed 100 times.
In the video, embedded below, dotgay says that only it can properly represent the LGBTQIA (Lesbian, Gay, Bisexual, Transgender, Queer, Intersex and Ally) community.

ICANN is dividing the community by accepting the Economist Intelligence Unit’s decision that the company should fail its Community Priority Evaluation (largely because the TQIA are not necessarily “gay”), the video voiceover suggests.

This is an old game that highlights how LGBTQIA continue to be disadvantaged and discriminated against. If .gay is not recognized as a community domain, ICANN will simply auction the namespace to the highest bidder and pocket the proceeds. If ICANN assigns to the right to operate the registry for .gay to a company seeking to exploit it for profit — very possibly without community participation in policy development for the domain, or taking into consideration LGBTQIA interests and concerns — the community will have no assurances .gay will be s safe space on the internet… In the end, ICANN and the three other applicants for the .gay domain have shown no respect for the global gay community’s wishes.

Neither the video not the crowdfunding page specify exactly what the $360,000 would be used for.
However, in order to challenge the CPE decision(s) against it, a lawsuit or an Independent Review Process — either of which could wind up costing over a million dollars — would be the most usual avenues of attack.
Perhaps eager to avoid the possibility of a legal challenge, the three other applicants — Minds + Machines, Rightside and Top Level Design — this week wrote to ICANN to demand a hasty resolution of the long-running saga.
Writing on behalf of all three, Rightside VP Statton Hammock wrote (pdf):

It has been more than FOUR years since the Applicants filed their applications for .GAY. Since this time long ago, dotGay has filed THREE community objections, one against each of the Applicants; TWO community priority applications, ONE Independent Review Panel request (later withdrawn) and ONE motion for reconsideration with the BGC which has been carefully considered by the members of that Committee and found insufficient to be granted. In total dotGay has had SIX “bites of the apple” and has been unsuccessful each time… It is simply time for the Board to affirm these decisions and allow the .GAY applications to proceed to contention set resolution.

The ICANN board had been due to consider dotgay’s latest Request for Reconsideration at at a meeting August 9, but the agenda item was removed, the letter notes. The applicants called on the board to meet again soon to make a decision.
After the board processes the RfR, .gay would presumably go to auction. Whether the auction resulted in ICANN pocketing the cash (as dotgay claims) or being distributed between the three losing applicants remains to be seen.
Whether the auction is public or private, the crowdfunding campaign strongly suggests that dotgay does not currently have the resources to win.

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Confused by new gTLDs? Allow this Nominet infographic to make your brain explode

Kevin Murphy, August 23, 2016, Domain Registries

There are over 1,000 new gTLDs out there right now, and figuring out what’s going on in the marketplace can be difficult.
So what better way to reduce confusion than to plot the 250 most populous TLDs into an infographic that vaguely resembles the iconic London Underground route map?
There must be thousands of better ways.
Regardless, the Tube map idea is the one Nominet decided to run with, and it released this beauty today.
Tube map
While the strings have been roughly organized by categories, there doesn’t seem to be much logic to the layout otherwise.
If one were to overlap the map on a map of London, there doesn’t appear to be much relationship between the string and the characteristics of the corresponding neighborhood.
DI World International Global Headquarters would be sandwiched between .lawyer and .marketing, or thereabouts, just to the north of Jack the Ripper’s stalking ground of .miami.
There is a Citizens Advice Bureau across the street, but I’m not sure that makes this area a hotbed of legal activity.
Market-leading .xyz would be up in Walthamstow somewhere, quite off the beaten track, .tokyo would be close to Chinatown, and .city is nowhere near the City.
I’m probably reading it wrong.
Anyway, the full map can be puzzled over in PDF format here, and you can read Nominet CEO Russell Haworth’s accompanying blog post here.

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Registries rebel against ICANN’s Whois upgrade decree

Kevin Murphy, August 23, 2016, Domain Services

Registry operators are challenging an ICANN decision to force them to launch a new Whois-style service, saying it will cost them too much money.
The Registries Stakeholder Group has filed a Request for Reconsideration — a low-level appeal — of a decision asking them to launch RDAP services to complement their existing Whois.
RDAP, Registration Data Access Protocol, is being broadly touted as the successor to Whois.
It offers the same functionality — you can query who owns a domain — but the data returned is more uniformly structured. It also enables access control, so not every user would have access to every field.
The RySG now claims that ICANN is trying to sneak an obligation to implement RDAP into its registry agreements through a “backdoor” in the form of the new Consistent Labeling and Display Policy.
That policy, which originated in a formal, community-driven GNSO Policy Development Process, seeks to normalize Whois (or Registration Data Services, in its generic not protocol-specific wording) output to make it easier to machine-read.
It applies to all gTLDs except .com, .net and .jobs (which are “thin” registries) and would come into effect February 1 next year.
Registries appear happy to implement the CL&D policy, but not as currently written. It now contains, almost as an aside, this requirement:

The implementation of an RDAP service in accordance with the “RDAP Operational Profile for gTLD Registries and Registrars” is required for all gTLD registries in order to achieve consistent labeling and display.

The RySG argues in its RfR (pdf) that implementing RDAP was never part of the community-endorsed plan, and that it is not “commercially feasible” to do so right now.

The 2012 new gTLD Registry Agreement specifies that implementation of the protocol now known as RDAP be commercially feasible before it’s required. The RySG can’t even respond as to whether it’s feasible or not since no reasoning to that regard was provided in the notice to implement such services.
Furthermore, some of our members are on record stating that since the RDAP profile replicates the known deficiencies of WHOIS – which is currently being studied by a PDP WG – so it’s not commercially feasible to deploy it to mimic a flawed system.
The introduction of RDAP represents an additive requirement for Registries to operate a new (additive) service. As there are no provisions for the sunset of the legacy Whois service, it’s unclear how this additional requirement can be considered commercially feasible.

In other words, the registries think it could be too costly to deploy RDAP and Whois at the same time, especially given that RDAP is not finished yet.
It’s yet another case of domain companies accusing ICANN the organization of slipping in requirements without community support.
Whether the RfR will be successful is debatable. There’s only been a few Reconsideration requests that have been approved by the ICANN board in the history of the mechanism.
However, the board may be feeling especially diligent when it comes to look at this particular RfR, due to the spotlight that was recently shone on the Reconsideration process by an Independent Review Process panel, which determined that the board just rubber-stamped decisions written by house lawyers.

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NamesCon confirms three more shows after being acquired

Kevin Murphy, August 19, 2016, Domain Services

NamesCon says it has booked the venue for three more years of domain name conferences, following its acquisition this week.
The conference organizers said today that it has been acquired by 13-year-old German events outfit WorldHostingDays, which usually focuses on the hosting market, for an undisclosed sum.
NamesCon said in a press release that all existing commitments — such as tickets and sponsorship deals — will be honored, and that the same folk will still run the 2017 conference.
It said that it has booked the Tropicana hotel in Las Vegas, venue for the first three events, for the next three years.
The next three events will be held January 22 – 25, 2017, January 28 – 31, 2018 and January 27 – 30, 2019, the company said.
NamesCon focuses on the business of domain names, providing sessions on the buy and sell sides of the business.

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Afilias set to get .hotel despite hacking claims

Kevin Murphy, August 19, 2016, Domain Registries

Afilias is back on the path to becoming the registry for .hotel, after ICANN decided claims of hacking by a former employee of the applicant did not warrant a rejection.
The ICANN board of directors decided last week that HOTEL Top-Level Domain Sarl, which was recently taken over by Afilias, did not gain any benefit when employee Dirk Krischenowski accessed competing applicants’ confidential documents via an ICANN web site.
Because HTLD had won a Community Priority Evaluation, it should now proceed to contracting, barring any further action from the other six applicants.
ICANN’s board said in its August 9 decision:

ICANN has not uncovered any evidence that: (i) the information Mr. Krischenowski may have obtained as a result of the portal issue was used to support HTLD’s application for .HOTEL; or (ii) any information obtained by Mr. Krischenowski enabled HTLD’s application to prevail in CPE.

It authorized ICANN staff to carry on processing the HTLD application.
The other applicants — Travel Reservations, Famous Four Media, Radix, Minds + Machines, Donuts and Fegistry — had called on ICANN in April to throw out the application, saying that to decline to do so would amount to “acquiescence in criminal acts”.
That’s because an ICANN investigation had discovered that Dirk Krischenowski, who ran a company with an almost 50% stake in HTLD, had downloaded hundreds of confidential documents belonging to competitors.
He did so via ICANN’s new gTLD applicants’ portal, which had been misconfigured to enable anyone to view any attachment from any application.
Krischenowski has consistently denied any wrongdoing, telling DI a few months ago that he simply used the tool that ICANN made available with the understanding that it was working as intended.
ICANN has now decided that because the unauthorized access incidents took place after HTLD had already submitted its CPE application, it could not have gained any benefit from whatever data Krischenowski managed to pull.
The board reasoned:

his searches relating to the .HOTEL Claimants did not occur until 27 March, 29 March and 11 April 2014. Therefore, even assuming that Mr. Krischenowski did obtain confidential information belonging to the .HOTEL Claimants, this would not have had any impact on the CPE process for HTLD’s .HOTEL application. Specifically, whether HTLD’s application met the CPE criteria was based upon the application as submitted in May 2012, or when the last documents amending the application were uploaded by HTLD on 30 August 2013 – all of which occurred before Mr. Krischenowski or his associates accessed any confidential information, which occurred from March 2014 through October 2014. In addition, there is no evidence, or claim by the .HOTEL Claimants, that the CPE Panel had any interaction at all with Mr. Krischenowski or HTLD during the CPE process, which began on 19 February 2014.

The HTLD/Afilias .hotel application is currently still listed on ICANN’s web site as “On Hold” while its rivals are still classified as “Will Not Proceed”.
It might be worth noting here — to people who say ICANN always tries to force contention sets to auction so it possibly makes a bit of cash — that this is an instance of it not doing so.

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“Dave” becomes first .blog blogger

Kevin Murphy, August 19, 2016, Domain Registries

Blogging pioneer Dave Winer has become the first person to start blogging at a .blog domain name.
His new site, dave.blog, went live yesterday as a beneficiary of registry Knock Knock Whois There’s pioneer program.
The site is one of two pioneer .blog domains — the other being design.blog — highlighted by KKWT yesterday in publicity connected to the opening of its sunrise period.
Winer is the author of Scripting News, which has been around since 1997, one of the first must-read tech blogs.
He also made major contributions to the format and popularity of RSS syndication technology.
He was an outspoken critic of Google, which had planned to use blog in a “closed generic” fashion, linked closely to its Blogger service, writing in 2012:

I played a role in establishing blogs. How does Google get the right to capture all the goodwill generated in the word blog?

Yesterday he expressed relief that the .blog auction was actually won by KKWT, a subsidiary of WordPress owner Automattic, writing:

I’m glad to say that my friend Matt Mullenweg and Automattic are consistent champions of user and developer freedom. That’s why they host .blog for all to use. They could have said “blog” == “wordpress” — many companies would have — but they didn’t. That’s very good! I wish more big tech companies had that philosophy.

Winer said he will use his self-developed 1999.io blogging software on his new domain.
His allocation of dave.blog is arguably bad news for blokey British cable TV station Dave and disgraced former prime minister David “Call Me Dave” Cameron.

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Registrar CEO faces terrorism charges

Kevin Murphy, August 16, 2016, Domain Registrars

The CEO of Turkey’s largest registrar is facing terrorism charges in the wake of last month’s coup attempt in the country, according to reports.
Abdullah Büyük of Istanbul-based FBS was deported from Bulgaria last Wednesday, according to local reports, having overstayed his visa.
Büyük went to Bulgaria last year and Turkey had unsuccessfully tried to get him extradited earlier this year.
Turkey’s Erdogan government, which has arrested thousands of people since the July 15 attempted coup, claims Büyük is a supporter of US-based exiled cleric Fethullah Gülen.
Turkey claims that Gulen is behind a terrorist group called FETÖ, which it believes carried out the attack.
Buyuk is reportedly an open supporter of Gulen, but it’s not entirely clear from English-language reports out there what he’s accused of doing.
I suspect it’s probably unrelated to domain names.
The decision to hand over Buyuk to Turkish authorities has proved controversial in Bulgaria, where some suspect it was a political gesture related to Europe’s migrant crisis.
FBS is believed to be Turkey’s largest registrar, with just shy of 600,000 domain names under management.

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Industry lays into Verisign over .com deal renewal

Kevin Murphy, August 15, 2016, Domain Registries

Some of Verisign’s chickens have evidently come home to roost.
A number of companies that the registry giant has pissed off over the last couple of years have slammed the proposed renewal of its .com contract with ICANN.
Rivals including XYZ.com (sued over its .xyz advertising) and Donuts (out-maneuvered on .web) are among those to have filed comments opposing the proposed new Registry Agreement.
They’re joined by business and intellectual property interests, concerned that Verisign is being allowed to carry on without implementing any of the IP-related obligations of other gTLDs, and a dozens of domainers, spurred into action by a newsletter.
Even a child protection advocacy group has weighed in, accusing Verisign of not doing enough to prevent child abuse material being distributed.
ICANN announced last month that it plans to renew the .com contract, which is not due to expire for another two years, until 2024, to bring its term in line with Verisign’s contracts related to root zone management.
There are barely any changes in the proposed new RA — no new rights protection mechanisms, no changes to how pricing is governed, and no new anti-abuse provisions.
The ensuing public comment period, which closed on Friday, has attracted slightly more comments than your typical ICANN comment period.
That’s largely due to outrage from readers of the Domaining.com newsletter, who were urged to send comments in an article headlined “BREAKING: Verisign doubles .COM price overnight!”
That headline, for avoidance of doubt, is not accurate. I think the author was trying to confer the idea that the headline could, in his opinion, be accurate in future.
Still, it prompted a few dozen domainers to submit brief comments demanding “No .com price increases!!!”
The existing RA, which would be renewed, says this about price:

The Maximum Price for Registry Services subject to this Section 7.3 shall be as follows:
(i) from the Effective Date through 30 November 2018, US $7.85;
(ii) Registry Operator shall be entitled to increase the Maximum Price during the term of the Agreement due to the imposition of any new Consensus Policy or documented extraordinary expense resulting from an attack or threat of attack on the Security or Stability of the DNS, not to exceed the smaller of the preceding year’s Maximum Price or the highest price charged during the preceding year, multiplied by 1.07.

The proposed amendment (pdf) that would extend the contract through 2024 does not directly address price.
It does, however, contain this paragraph:

Future Amendments. The parties shall cooperate and negotiate in good faith to amend the terms of the Agreement (a) by the second anniversary of the Effective Date, to preserve and enhance the security and stability of the Internet or the TLD, and (b) as may be necessary for consistency with changes to, or the termination or expiration of, the Cooperative Agreement between Registry Operator and the Department of Commerce.

The Cooperative Agreement is the second contract in the three-way relationship between Verisign, ICANN and the US Department of Commerce that allows Verisign to run not only .com but also the DNS root zone.
It’s important because Commerce exercised its powers under the agreement in 2012 to freeze .com prices at $7.85 a year until November 2018, unless Verisign can show it no longer has “market power”, a legal term that plays into monopoly laws.
So what the proposed .com amendments mean is that, if the Cooperative Agreement changes in 2018, ICANN and Verisign are obligated to discuss amending the .com contract at that time to take account of the new terms.
If, for example, Commerce extends the price freeze, Verisign and ICANN are pretty much duty bound to write that extension into the RA too.
There’s no credible danger of prices going up before 2018, in other words, and whether they go up after that will be primarily a matter for the US administration.
The US could decide that Verisign no longer has market power then and drop the price freeze, but would be an indication of a policy change rather than a reflection of reality.
The Internet Commerce Association, which represents high-volume domainers, does not appear particularly concerned about prices going up any time soon.
It said in its comments to ICANN that it believes the new RA “will have no effect whatsoever upon the current .Com wholesale price freeze of $7.85 imposed on Verisign”.
XYZ.com, in its comments, attacked not potential future price increases, but the current price of $7.85, which it characterized as extortionate.
If .com were put out to competitive tender, XYZ would be prepared to reduce the price to $1 per name per year, CEO Daniel Negari wrote, saving .com owners over $850 million a year — more than the GDP of Rwanda.

ICANN should not passively go along with Verisign’s selfish goal of extending its unfair monopoly over the internet’s most popular top-level domain name.

Others in the industry chose to express that the proposed contract does not even attempt to normalize the rules governing .com with the rules almost all other gTLDs must abide by.
Donuts, in its comment, said that the more laissez-faire .com regime actually harms competition, writing:

It is well known that new gTLDs and now many other legacy gTLDs are heavily vested with abuse protections that .COM is not. Thus, smaller, less resource-rich competitors must manage gTLDs laden (appropriately) with additional responsibilities, while Verisign is able to operate its domains unburdened from these safeguards. This incongruence is a precise demonstration of disparate treatment, and one that actually hinders effective competition and ultimately harms consumers.

It points to numerous statistics showing that .com is by far the most-abused TLD in terms of spam, phishing, malware and cybersquatting.
The Business Constituency and Intellectual Property Constituency had similar views about standardizing rules on abuse and such. The IPC comment says:

The continued prevalence of abusive registrations in the world’s largest TLD registry is an ongoing challenge. The terms of the .com registry agreement should reflect that reality, by incorporating the most up-to-date features that will aid in the detection, prevention and remediation of abuses.

The European NGO Alliance for Child Safety Online submitted a comment with a more narrow focus — child abuse material and pornography in general.
Enasco said that 41% of sites containing child abuse material use .com domains and that Verisign should at least have the same regulatory regime as 2012-round gTLDs. It added:

Verisign’s egregious disinterest in or indolence towards tackling these problems hitherto hardly warrants them being rewarded by being allowed to continue the same lamentable
regime.

I couldn’t find any comments that were in unqualified support of the .com contract renewal, but the lack of any comments from large sections of the ICANN community may indicate widespread indifference.
The full collection of comments can be found here.

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