Instagram paid Chinese cyberquatter $100,000 for instagram.com, Facebook lawsuit reveals

Facebook has sued a Chinese cybersquatter for trying to renege on a five-year-old deal that saw it buy the domain instagram.com for $100,000.
The lawsuit, filed in California last week, claims that a family of known cybersquatters, based in Guangdong, is trying to have the purchase invalidated by a Chinese court.
The company, which acquired Instagram for $1 billion in 2012, wants the court to rule that the domain deal was legal, preventing the cybersquatters retaking control of the domain.
Photo-sharing app Instagram launched in October 2010 using the domain instagr.am.
At that time, instagram.com was owned by a US-based domain investor, but it was bought by Zhou Weiming about a month later.
Zhou, Facebook says, was the now-dead father of three of the people it is suing, and the husband of the fourth.
When Zhou purchased the domain, Instagram had become wildly popular, well on the way to hitting the million-user mark in December 2010.
Instagram had applied for the US trademark on its name in September 2010, less than a month before its launch.
The company made the decision to pay $100,000 for the domain in January 2011.
The Whois information for instagram.com changed from Zhou Weiming to Zhou Murong, apparently his daughter, around about the same time, though the registrant email address did not change.
The purchase was processed by Sedo, according to a copy of the deal filed as evidence (pdf).
Now, Murong’s mother and sisters are suing her and Instagram in China, claiming she did not have the authority to sell the domain, according to Facebook’s complaint.
Facebook claims the Chinese suit is a “sham” and that the whole Zhou family is acting in concert.
The company wants the California court to declare that the sale was valid, and that registrar MarkMonitor should not be forced to transfer the domain back to the Zhous.
Facebook in 2014 won a 22-domain UDRP case against Murong Zhou, related to typos of its Instagram trademark.
Read the full California complaint as a PDF here.

6 Comments Tagged: cybersquatting, facebook, instagram, udrp

.security names priced at $3,000, .theatre at $750

XYZ.com may be best known for its budget .xyz gTLD, but its portfolio is increasingly leaning toward the super-premium end of the industry price range.
The company entered Early Access Period with its .security, .protection and .theatre gTLDs today, and they ain’t cheap.
.security and .protection are expected to carry retail prices of $3,000 a year, when they hit general availability a week from now.
Today, they’re $65,000 apiece, with the price reducing to $35,000, $15,000, $8,750 and $5,000 over the coming days.
Meanwhile, .theatre starts at $64,000, going down to $32,000, $14,000, $7,000 and $4,000 before finally settling at the GA RRP of $750.
All three gTLDs were acquired by XYZ.com from other applicants.
That was also the case for .cars, .car and .auto, which XYZ runs in a joint venture with Uniregistry, where retail prices are roughly $2,500.
In terms of competition, .security and .protection are probably up against .trust, while .theatre may well find itself in competition with .tickets, which has made inroads in Broadway.

5 Comments Tagged: .protection, .theatre, eap, new gTLDs, security, xyz.com

.boston was a “distraction”, says gTLD seller

The Boston Globe newspaper decided to offload the gTLD after its new owners decided it was a “distraction”.
That’s according to a report yesterday in the newspaper itself.
Last week, it was announced that Minds + Machines, which already runs a handful of geo-gTLDs, is acquiring the .boston contract for an undisclosed sum.
Today, the Globe reports that its owners thought .boston would be “a distraction from the Globe’s central business of providing information through its print and online outlets”.
“The .boston domain business was inherited by the current management team and is not perceived as core to the mission of supporting the highest quality journalism in the region,” it quotes the Globe’s VP of marketing as saying.
The newspaper was acquired by Boston Red Sox owner John Henry in 2013, a year after the .boston application was filed, according to the report.
The acquisition, which sees M+M buy 99% the Globe subsidiary in control of the gTLD registry agreement, is subject to ICANN approving the contract reassignment.

2 Comments Tagged: .boston, acquisition, boston globe, ICANN, m+m, new gTLDs, reassignment

Does .tickets have the ultimate anti-cybersquatting system?

I’ve never seen anything like this before.
.tickets gTLD registry Accent Media has launched an anti-cybersquatting measure that lets the world know who is trying to register what domain name a whole month before the domain is allowed to go live.
The service, at domains.watch, is currently only being used by .tickets, but it seems to be geared up to accept other TLDs too.
A spokesperson said the site soft-launched a couple months ago.
Today, if you want to register a .tickets domain name, you have a choice of two processes — “fast-track” or “standard”.
Fast-track is for organizations with trademarks matching their names. It take five days for the trademark to be verified and the domain to go live.
Standard-track applications, however, are published on domains.watch for 30 days before the the registration is fully processed (under the registry hood, the domain are kept in “Pending Create” status).

During that 30 days, anyone with a trademark they believe would be infringed by the domain may file a challenge against the registration. They have to pay a fee to do so.
The would-be registrant can counter by showing their own rights. If they have no documented rights, the challenger gets the name instead.
“Rights” in the case of .tickets means a trademark or evidence of use of a mark in a ticketing-related context.
While it’s certainly not unusual in the industry for restricted TLDs to manually vet their registrants before processing a registration, I’ve never before come across a registry that does it all in public, allowing basically anyone — or, at least, anyone who is willing to pay the challenge fee — to challenge any registration.
Can you imagine what the domain world would be like if this kind of system were commonplace across a range of TLDs?
A lot of people outside the industry — particularly in security, I fancy — would love it.

12 Comments Tagged: .tickets, accent media, cybersquatting, trademarks

Uniregistry beats Donuts to .shopping, but .shop still in play

Uniregistry has emerged as the successful registry-to-be of .shopping from the convoluted .shop/.shopping new gTLD contention set.
Donuts, the only competing applicant for the string, withdrew its application late last week.
As we previously reported, the .shop/.shopping contention sets were joined at the hip due to a bizarre string similarity challenge, making the scheduled auction very complex.
But Donuts and Uniregistry seem to have come to a private arrangement about .shopping, outside of the ICANN auction process, making .shop a straightforward nine-way fight.
Donuts tells me the auction, in which it is participating, is still scheduled for January 27.

4 Comments Tagged: .shop, .shopping, auctions, donuts, new gTLDs, uniregistry

Afilias $10 million court win slashed by judge

A US judge has dramatically reduced a $10 million ruling Afilias won against Architelos in a trade secrets case.
Architelos, which a jury decided had misappropriated trade secrets from Afilias in order to build its patented NameSentry domain security service, may even be thrown a lifeline enabling it to continue business.
A little over a week ago, the judge ordered (pdf) that the $10 million judgment originally imposed by the jury should be reduced to $2 million.
That won’t be finalized, however, until she’s ruled on an outstanding injunction demanded by Afilias.
The judge said in court that the original jury award had been based on inflated Architelos revenue projections.
The company has made only around $300,000 from NameSentry subscriptions since launch, and its sales pipeline dried up following the jury’s verdict in August.
The service enables TLD registries to track and remediate domain abuse. It was built in part by former Afilias employees.
Afilias has a similar in-house system, not available on the open market, used by clients of its registry back-end business.
Even a reduced $2 million judgment is a bit too rich for Architelos, which is desperately trying to avoid bankruptcy, according to court documents.
But the judge seems to be considering an injunction that would enable Architelos to continue to exist.
It may even be permitted to sell NameSentry, as long as it gives almost a third of the product’s revenue to Afilias for up to five years or until the $2 million is paid off.
The injunction might also grant joint ownership of the disputed patents to the two companies, allowing them to jointly profit from the technology.
This has all yet to be finalized, however, and Afilias can always appeal whatever injunction the judge comes up with.
It emerged in court earlier this month that Architelos offered to give full ownership of its patent, along with NameSentry itself, to Afilias in order to settle the suit, but that Afilias refused.
Afilias is also suing Architelos over the same matters in Canada, but that case is progressing much more slowly.

Comment Tagged: afilias, architelos, namesentry, new gTLDs, patents, security, trade secrets

.top gTLD tops a million as China goes domain nuts

China-based new gTLD .top has become only the second new gTLD to pass the one-million-domain milestone.
The gTLD, managed by Jiangsu Bangning Science & Technology Co, had 1,000,469 domains in its zone file on Saturday, an increase of 5,808 on the day.
The zone has grown by 453,833 domains in the last 90 days, according to DI PRO stats.
It’s growing just slightly faster, in percentage terms, than new gTLD volume leader XYZ.com’s .xyz.
The rapid growth can no doubt be attributed largely to price, feeding the current Chinese appetite for domain investment.
Its most successful registrar, West.cn (Chengdu West Dimension Digital Technology Co), is currently selling .top names prominently for CNY 4 for the first year. That’s just $0.60.
The registry says that registrants come from 231 countries and regions. On its web site, it highlights France’s Gandi.net and Gibraltar’s budget registrar AlpNames as key international partners.
However, the latest registry reports show that over 90% of its sales are coming from China-based registrars.
Despite .top being a Latin-script TLD, European and North America registrars seem to account for a very small number of registrations.
It’s not even carried by the likes of GoDaddy and eNom.
The third-place 2012-round new gTLD is currently .wang, another Chinese registry, which yesterday had 628,125 names in its zone file.
Number four is .win, which despite being run by Gilbraltar-based Famous Four Media is utterly dominated by sales via Chinese registrars.
At number five is .club, with 552,065 names and a much more international distribution of registrars.

10 Comments Tagged: .top, Chengdu West Dimension, china, Jiangsu Bangning, new gTLDs, west.cn

.cloud gets 500 sunrise regs

Aruba, the .cloud gTLD registry, said it received 500 applications during its sunrise phase, which closed this afternoon.
While low by pre-2012 standards, it’s a relatively respectable performance for a new gTLD, where sunrises periods consistently result in double-digit registrations.
It’s almost certainly in the top 10 for 2012-round gTLDs.

exactly one hour left to submit Trademark Priority Registration Orders in the .cloud sunrise… 500 received so far 🙂 #dotCloudFTW

— Get .Cloud (@getdotcloud) January 15, 2016

I gather there was only one duplicate application during the period, which ran from November 16.
Before sunrise began, Aruba already had about 30 “pioneer” registrants in the web hosting space, including Ubuntu and Weebly.
Landrush is set to kick off January 25, with general availability following February 16. Retail pricing will be around the $25 a year mark.

1 Comment Tagged: .cloud, aruba, sunrise

Kinderis calls on industry to cut the bullshit

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.

15 Comments Tagged: ICANN, namescon, neustar

GoDaddy launches mobile app for investors

GoDaddy has launched a new mobile device app specifically for domain investors.
GoDaddy Investor, as it is called, will enable domainers to monitor watch-lists of expiring domains, as well as bid in and track auctions, the company said.
Authentication is handled via a special PIN system or, on iOS, Apple’s TouchID.
“We worked closely with our domain investors to bring the same great investing experience to mobile that they’ve enjoyed on desktop for years,” Paul Nicks, GoDaddy’s senior director of aftermarket, said in a press release.
The app is available for Android and iOS operating systems and is available via their respective app stores.

Comment Tagged: .app, auction, godaddy