Latest news of the domain name industry

Recent Posts

New gTLD registries given way to free up millions of blocked names

Kevin Murphy, February 27, 2014, Domain Tech

Up to 9.8 million new gTLD domain names are to get a get-out-of-jail card, with the publication yesterday of ICANN’s plan to mitigate the risk of damaging name collisions.
As a loyal DI reader, the details of the plan will not come as a great surprise. It was developed by JAS Global Advisors and previewed in a guest post by CEO Jeff Schmidt in January
Name collisions are scenarios where a TLD delegated by ICANN to the public DNS matches a TLD that one or more organizations already uses on their internal networks.
Verisign, in what many view as protectionist propaganda, has been arguing that name collisions could cause widespread technical and economic damage and even a risk to life.
Things might stop working and secret data might leak out of corporate networks, Verisign warns.
JAS’ proposed solution, which ICANN has opened for public comment, is quite clever, I think.
Called “controlled interruption”, it will see new gTLD registries being asked to wildcard their entire second level of their TLDs to point to the IP address 127.0.53.53.
If there’s a name collision on example.corp the company using that TLD on its network will notice unusual behavior and will have an opportunity to fix the problem.
Importantly, no data apart from the DNS look-up will leak out of their networks — the 127/8 IP address block is reserved by various standards for local uses only.
The registry will essentially bounce the DNS request back to the network making the request. If that behavior causes problems, the network administrator will presumably check her logs, notice the odd IP address, and Google it for further information.
Today, she’ll find a Slashdot article about the name collisions plan, which should put the admin on the road to figuring out the problem and fixing her network. In future, maybe ICANN will rank for the term.
Registries would be able to choose whether to wildcard their whole TLD or to only point to 127.0.53.53 those second-level names currently on their collisions block lists.
In either case, the redirection would only last for the first 120 days after delegation. That’s the same duration as the quiet period ICANN already imposes on new delegations, during which only “nic.” may resolve.
After the 120 days are up, the name collisions issue would be considered permanently closed for that TLD.
If this goes ahead, the plan will allow registries to unblock as many as 9.8 million domain names representing 6.8 million unique second-level labels, according to DI PRO collisions database.
It could also put an end to the argument about whether name collisions really were a significant problem (160,000 new gTLD names are already live and we haven’t heard any reports of collisions yet).
Pointing to the fact that new TLDs, some of which showed evidence of collisions, were getting delegated rather regularly before the current new gTLD round, JAS said in its report:

We do not find that the addition of new Top Level Domains (TLDs) fundamentally or significantly increases or changes the risks associated with DNS namespace collisions. The modalities, risks, and etiologies of the inevitable DNS namespace collisions in new TLD namespaces will resemble the collisions that already occur routinely in the other parts of the DNS.

However…

Collisions in all TLDs and at all levels within the global Internet DNS namespace have the ability to expose potentially serious security and availability problems and deserve serious attention.

JAS calls its plan “a conservative buffer between potential legacy usage of a TLD and the new usage”.
As wildcarding is currently prohibited by ICANN’s standard Registry Agreement (ironically, to prevent a repeat of Verisign’s Site Finder) an amendment is going to be needed, as the JAS plan acknowledges.
The drawback of the plan is that if an organization is relying on a colliding internal TLD, whatever systems use that TLD could break under the plan. The 127/8 redirection is a way to help them resolve the breakage, not always to prevent it happening at all.
For new gTLD registries it’s pretty good news, however. There are many thousands of potentially valuable premium names blocked under the current regime that would be made available for sale.
If you’re an applicant for .mail, however, it’s a different story. The JAS report says .mail should be reserved forever, putting it in the same category as .home and .corp:

the use of .corp and .home for internal namespaces/networks is so overwhelming that the inertia created by such a large “installed base” and prevalent use is not likely reversible. We also note that RFC 6762 suggests that .corp and .home are safe for use on internal networks.

Like .corp and .home, the TLD .mail also exhibits prevalent, widespread use at a level materially greater than all other applied-for TLDs. Our research found that .mail has been hardcoded into a number of installations, provided in a number of example configuration scripts/defaults, and has a large global “installed base” that is likely to have significant inertia comparable to .corp and .home. As such, we believe .mail’s prevalent internal use is also likely irreversible and recommend reservation similar to .corp and .home.

In other words, .mail is dead and the five remaining applicants for the string are probably going to be forced to withdraw through no fault of their own. Should these companies get a full refund from ICANN?

3 Comments Tagged: , , , ,

Here’s why registrars are boycotting .sexy

Kevin Murphy, February 25, 2014, Domain Registries

Will .sexy and .tattoo trip on the starting blocks today due to registrars’ fears about competition and Whois privacy?
Uniregistry went into general availability at 1600 UTC today with the two new gTLDs — its first to market — but it did so without the support of some of the biggest registrars.
Go Daddy — alone responsible for almost half of all new domain registrations — Network Solutions, Register.com and 1&1 are among those that are refusing to carry the new TLDs.
The reason, according to multiple sources, is that Uniregistry’s Registry-Registrar Agreement contains two major provisions that would dilute registrars’ “ownership” of their customer base.
First, Uniregistry wants to know the real identities of all of the registrants in its TLDs, even those who register names using Whois privacy services.
That’s not completely unprecedented; ICM Registry asks the same of .xxx registrars in order to authenticate registrants’ identities.
Second, Uniregistry wants to be able to email or otherwise contact those registrants to tell them about registry services it plans to launch in future. The Uniregistry RRA says:

Uniregistry may from time to time contact the Registered Name Holder directly with information about the Registered Name and related or future registry services.

We gather that registrars are worried that Uniregistry — which will shortly launch its own in-house registrar under ICANN’s new liberal rules on vertical integration — may try to poach their customers.
The difference between ICM and Uniregistry is that ICM does not own its own registrar.
The Uniregistry RRA seems to take account of this worry, however, saying:

Except for circumstances related to a termination under Section 6.7 below, Uniregistry shall never use Personal Data of a Registered Name Holder, acquired under this Agreement, (a) to contact the Registered Name Holder with a communication intended or designed to induce the Registered Name Holder to change Registrars or (b) for the purpose of offering or selling non-registry services to the Registered Name Holder.

Some registrars evidently do not trust this promise, or are concerned that Uniregistry may figure out a way around it, and have voted with their storefronts by refusing to carry these first two gTLDs.
Ownership of the customer relationship is a pretty big deal for registrars, especially when domain names are often a low-margin entry product used to up-sell more lucrative services.
What if a future Uniregistry “registry service” competes with something these registrars already offer? You can see why they’re worried.
A lot of registrars have asserted that with the new influx of TLDs, registrars have more negotiating power over registries than they ever did in a world of 18 gTLDs.
Uniregistry CEO Frank Schilling is basically testing out this proposition on his own multi-million-dollar investment.
But will the absence of these registrars — Go Daddy in particular — hurt the launch numbers for .sexy and .tattoo?
I think there could be some impact, but it might be tempered by the fact that a large number of early registrations are likely to come from domainers, and domainers know that Go Daddy is not the only place to buy domains.
Schilling tweeted at about 1605 UTC today that .sexy was over 1,800 registrations.
Longer term, who knows? This is uncharted territory. Right now Uniregistry seems to be banking on the 40-odd registrars — some of them quite large — that have signed up, along with its own marketing efforts, to make up any shortfall an absence of Go Daddy may cause.
Tomorrow, I’d be surprised if NameCheap, which is the distant number two registrar in new gTLDs right now (judging by name server counts) is not the leader in .sexy and .tattoo names.

8 Comments Tagged: , , , , , , , ,

Mistake blamed for “Germans only” .voting policy

Kevin Murphy, February 25, 2014, Domain Registries

It seems the new gTLD .voting will not be restricted to Germans after all.
We reported earlier today that .voting registry Valuetainment had submitted a registration policy that required all registrants to have a presence in Germany.
The language used in the policy was identical, we later discovered, to that found in the equivalent policy for .ruhr, a German geographic gTLD operated by a different registry.
But Thomas Rickert of the German law firm Schollmeyer & Rickert, which has both .voting and .ruhr registries as clients, just called to let us know that the policy as submitted to ICANN was a mistake.
It seems there will be no local presence requirement for .voting after all.
Valuetainment will be submitting a revised policy to ICANN without the error. The German-language version of the policy does not contain the error, Rickert said.
Rickert said he’d like it to be known that the registry was blameless in this instance.

2 Comments Tagged: , , , ,

Pirate Bay a victim as Go Daddy suspends hundreds of new gTLD domains

Kevin Murphy, February 25, 2014, Domain Registrars

New gTLDs may have only been in general availability for a few weeks, but there’s already evidence of substantial abuse.
Go Daddy has suspended at least 305 new gTLD domain names, putting them on its spam-and-abuse.com name servers, standard Go Daddy practice for domains suspected of abuse.
Over 250 of these were put on the naughty step in the last 24 hours.
The suspended names include, notably, thepiratebay.guru, which matches the name of controversial torrent site frequented by people who like downloading copyrighted material for free.
The Pirate Bay has been like crazy recently, as one ccTLD after another shuts down its latest attempt to find a reliable home.
The .guru domain is registered under Go Daddy’s Domains By Proxy privacy service, so it’s not clear if it actually belongs to The Pirate Bay or to an opportunistic third party.
Other suspended names include premium-looking names such as electric.guru, sexualhealth.guru, as well as obvious cybersquatted names such as verizon.guru (not registered to Verizon).
But the majority of the suspended names seem to belong to a single registrant in Washington state, all in .guru and largely “pigeon shit” names such as bestdrinksites.guru and bestfashionsites.guru.
While 305 seems like a large number (albeit only 0.2% of the current new gTLD names sold), it appears that so far a single individual is responsible for most of the “abuse” in new gTLDs.

3 Comments Tagged: , , , , ,

.wedding and .green gTLD auctions raise millions

Kevin Murphy, February 25, 2014, Domain Registries

Two more new gTLDs — .wedding and .green — have been auctioned off, with proceeds amounting to millions of dollars.
Top Level Domain Holdings said in a press release that it won .wedding and lost .green, which cost it a net $2.23 million.
That’s the amount it paid for .wedding, minus its share of the .green winning bid and its ICANN refund for withdrawing its .green application.
I don’t think we can infer the exact sale price of .wedding from that, other than to say that it was definitely over $2.2 million.
TLDH did not say who won the .green auction. The only other remaining applicants, after Dot Green’s withdrawal last year, were Rightside and Afilias. Neither has withdrawn their applications yet.
In the .wedding auction, conducted by Applicant Auction, it beat rival portfolio applicants Donuts and What Box?

Comment Tagged: , , , , , , ,

Fifth URDP provider goes live

Kevin Murphy, February 25, 2014, Domain Services

The Arab Center for Dispute Resolution has gone live as the fifth approved provider of UDRP dispute resolution services.
The Jordan-based outfit, which says it has offices in “all Arab countries”, says it “is uniquely positioned to address domain name issues pertinent to the region, while maintaining an international, multicultural disposition to case settlement.”
ACDR was approved by ICANN to administer UDRP cases last May, over the objections of the Internet Commerce Association and others, which want UDRP providers bound to ICANN contracts.
The organization does not appear to be competing hard on price. A single-domain case will set trademark owners back a minimum of $1,500 ($1,000 to the panel, $500 to ACDR), which is the same as market leader WIPO.
It’s actually a little more expensive than WIPO — a five-domain case will cost $1,700 compared to WIPO’s $1,500.

1 Comment Tagged: , , , ,

An English new gTLD restricted to Germans?

Kevin Murphy, February 25, 2014, Domain Registries

Reading through the policies of new gTLD registries has given me cause to double-take several times, but .voting has to be one of the oddest yet.
Ostensibly an English-language gTLD, managed by a registry based in Switzerland, .voting domains will be essentially restricted to residents of Germany, according to its policies.
[UPDATE: The policy was actually submitted by mistake. See this story for an update.]
The Domain Name Registration Policy (pdf) submitted to ICANN by the registry, Valuetainment, states:

Registrants are obliged to supply an individual resident in the Federal Republic of Germany as contact person for all registered domains. This contact is generally described as the administrative contact (Admin-C). The registrant ca name himself as Admin-C.

My German isn’t great, and I’m aware that German speakers are very relaxed about adopting English words into common usage, but I’m pretty sure the language has its own verb for voting.
What makes the Germans-only admin contact policy weirder is that Valuetainment is Swiss and its policies state that the registration agreement is subject to Swiss law.
The .voting policy only states that the Administrative contact in Whois has to be German, which means that the main Registrant contact could technically be based in any country.
But if that registrant can’t name a German as an Administrative contact, technically they’ll be in violation of the rules.
It’s possible that registrars will be able to supply a local proxy in Germany, if they have one or want to go to the expense of setting one up, but it seems like a hassle.
There are a few other oddities in .voting’s policies.
Notably, Valuetainment is not just selling you a domain name, it’s granting you a license to use its “.voting” European Community trademark. Its Eligibility Policy (pdf) states:

For the duration of the registration, the Registry grants the user of a . VOTING domain a right of use with regard to the European Community Trade Mark No. 1111568 (. VOTING]. The license fees are included in the registration fee.

Registrants will be banned from charging for their services — .voting web sites must all be provided free of charge unless they’re providing “statistical voting evaluations”.
They’ll also be banned from offering directories of .voting sites, because Valuetainment intends to offer such a service and doesn’t want any competition.
Also, presumably so the registry can comply with local laws, any attempt to deny the Holocaust will cause your domain to be yanked under the company’s Rapid Takedown Policy (pdf).

2 Comments Tagged: , ,

ROTD conducts first new gTLD auction as One.com wins .one

Kevin Murphy, February 25, 2014, Domain Sales

Danish registrar One.com has won the .one contention set in the first private auction carried out by new gTLD consultancy Right Of The Dot.
One.com beat Radix, the United Arab Emirates-based portfolio applicant, to the string. Radix withdrew its application last week. The price has not been disclosed.
ROTD, Mike Berkens and Monte Cahn-managed company, has been competing with Applicant Auction for contention set resolution services and this is its first win.
The .one auction was carried out using a “single sealed bid second price” methodology, in which all participants privately submit a single bid and the winner pays the second-highest losing bid.
In this case, One.com will have paid Radix whatever bid Radix had put forward, with ROTD and escrow partner Escrow.com taking their fees from the winning bid.
Applicant Auction uses an “ascending clock” method, where bids are set in increments by the auctioneer over the space of several rounds, with bidders choosing to stay in or drop out in each round.
Cahn said in a press release: “Our Single Sealed Bid Second Price auction method protects the participants from ‘auction fever,’ which often causes over-bidding as people get emotionally tied to the process of winning at any cost due to time committed and sometimes throw their budgets out the window.”

1 Comment Tagged: , , , , , ,

Uniregistry doing private new gTLD auctions? Company deals with Donuts on five strings

Kevin Murphy, February 21, 2014, Domain Registries

Uniregistry and Donuts have settled at least five new gTLD contention sets this week, raising the question of whether Uniregistry has reversed its objection to private auctions.
I think it has.
In five of the six head-to-head contention sets between the two companies, Donuts has won the rights to .furniture, .auction and .gratis, and Uniregistry has won .audio and .juegos.
The losing company has already withdrawn their applications in all five cases.
I gather that a deal was made, but Uniregistry won’t say whether it was via a private auction or not and I’ve not yet had a reply to a request for comment from Donuts.
The withdrawals come the same week as Applicant Auction was scheduled to conduct its latest private auction for new gTLD contention sets. The auction was slated for February 18.
But Uniregistry, which has previously spoken out against the private auction concept — saying it raises antitrust concerns — declined to confirm or deny whether these five contests were resolved by auction.
“We’re grateful to have found a way through the impasse and resolved the contention,” was all Uniregistry CEO Frank Schilling would say.
Applicant Auction’s project director Sheel Mohnot confirmed that a new gTLD auction took place this week but said he could not disclose the participants or the strings.
To the best of my knowledge, that’s a new line — the auctioneer has always kept quiet about sales prices in the past, but has always revealed which companies were involved.
So has Uniregistry changed its mind about the legality of private new gTLD auctions? My guess is: “Yes.”
The only remaining string where the two companies are competing in a two-horse race is .shopping, according to the DI PRO database, but that’s subject to some weird string similarity nonsense and probably not suitable for a private auction yet.

Comment Tagged: , , , , , , , , , , ,

Donuts looking for accountant with IPO experience

Kevin Murphy, February 21, 2014, Domain Registries

Anyone want to take bets on Donuts’ exit strategy?
The largest new gTLD portfolio applicant has placed a job ad on its web site for an accountant with “Understanding of SEC and/or IPO related accounting”.
That’s SEC for Securities and Exchange Commission and IPO for Initial Public Offering, of course.
It appears IPO experience is a desired quality of the sought-after individual, rather than a must-have, but it seems to point to where Donuts plans to take the company in future.
Donuts of course now has revenue, and it’s been almost two years since it raised its first $100 million venture capital investment in a funding round led by Austin Ventures.
That a VC-backed tech company should be eyeing an eventual IPO should not come as a surprise to anyone — and I wouldn’t expect to see an S-1 any time soon — but it does look like Donuts is already planning for its exit when it comes to its staffing arrangements.
(Thanks to Silver Siwei Wang for the tip).

2 Comments Tagged: ,