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CNN asks: Will .xxx domains cost $185,000?

If you’ve ever doubted what a rarefied world we work in, check out this new CNN interview with ICM Registry, which confusingly conflates .xxx with ICANN’s new top-level domains program.
Anchor Pauline Chiou uses the approval of new gTLD program as a segue into a brief interview with ICM president Stuart Lawley about the forthcoming .xxx sunrise period.
“If they want to apply for this one-time block do they have to pay this $185,000?” she asks
She goes on to press Lawley into launching a defense of ICANN’s program that I doubt he was expecting.

You’ll notice that Chiou also refers to ICANN as the “Internet Corporation for Assigned Names” and flatteringly describes it as “the group that oversees the development of the internet”.
For a casual viewer, it would be fairly easy to come away from this interview assuming Lawley works for ICANN, and that .xxx domains could cost $185,000.

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Why we won’t see dotless domain names

Kevin Murphy, July 20, 2011, Domain Tech

Will http://google ever work?
Will any of the hundreds of .brand gTLDs expected to be approved by ICANN in its first round of new top-level domains resolve without dots?
Will users be able to simply type in the name of the brand they’re looking for into their browser’s address bar and have it resolve to the company’s official site?
Probably not, according to the experts.
ICANN’s Applicant Guidebook answers this question, but you need to know where to look, and to know a little about DNS records, to figure it out what it actually says.
Section 2.2.3.3 of the Guidebook (page 75 of the May 30 PDF) provides a list of the permissible contents of a new gTLD zone.
Specifically not allowed are A and AAAA records, which browsers need in order to find web sites using IPv4 and IPv6 respectively.
“To facilitate a dotless domain, you would need to place an A or a AAAA record in the zone, and these are not on the list of permitted record types,” said Kim Davies, root zone manager at IANA. “The net result is a default prohibition on dotless domains.”
Applicants may be able to obtain A/AAAA records if they specifically ask for them, but this is very likely to trigger an Extended Evaluation and a Registry Services Review, according to Davies and the Guidebook.
There’s an additional $50,000 fee for a Registry Services Review, with no guarantee of success. It will also add potentially months to the application’s processing time.
(Incidentally, ICANN has also banned DNS “wildcards”. You cannot have an infinite SiteFinder-style catch-all at the second level, you need to allocate domain names individually.)
Applicants that successfully obtain A/AAAA records, enabling dotless domains, would face a far greater problem than ICANN’s rules – endpoint software probably won’t support them.
“As it stands, most common software does not support the concept,” Davies said. “There is a common assumption that fully qualified domain names will have at least one dot in them.”
You can type IP addresses, host names, domain names or search terms into browser address bars, and dots are one of the ways the software figures out you’re looking for a domain.
You can test this today. There are already a handful of top-level domains, probably fewer than 20 and all ccTLDs, that have implemented an A record at the TLD level.
On some platforms, you may be able to get URLs such as http://io and http://ac to work.
They don’t revolve on any Windows 7 browser I’ve tested (Firefox/IE/Chrome), but I’d be interested in hearing your experiences, if you’d be so good as to leave a comment below.
Given the lack of software support, it may be a poor use of time and resources to fight ICANN for a dotless gTLD that most internet users won’t even be able to resolve.
According to a recent CircleID article by Paul Vixie, chairman of the Internet Systems Consortium, many browsers treat domains without dots as local resources.
Only if the browser’s “DNS search list” cannot find a local resource matching the dotless TLD will it then go out to the internet to look for it.
In some organizations, a local resource may have been configured which matches a new gTLD. There may be a local server called “mail” for example, which could clash with a .mail gTLD.
A recent article in The Register quoted security people fretting about what would happen if a malicious hacker somehow persuaded ICANN to approve a string such as .localhost or .lan.
These worries appear to be largely reliant on an erroneous belief that getting your hands on a gTLD is going to be as simple as registering a domain name.
In reality, there’s going to be months of technical evaluation – conducted in a fish-bowl, subject to public comment, applicant background checks and, in the case of a request for A records, the aforementioned Registry Services Review – before a gTLD is approved.
If everything works according to plan, security problems will be highlighted by this process and any gTLDs that would break the internet will be caught and rejected.
So it seems very unlikely that we’re going to see domains without dots hitting the web any time soon.
Domain names are designed to help people find you. Dotless domains today will not do that, even if ICANN does approve them.

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Yawn… Google buys shortcut g.co for millions

Do I have to write another 19 of these stories?
.CO Internet has announced the sale of the domain name g.co to Google. It will be used – shock! – as a URL shortener for Google’s services.
While the selling price has not been disclosed, I believe the starting bid for single-character .co domains is around $1.5 million. I expect Google will have paid more.
Google said on its official blog that only Google will be able to create g.co short links and they’ll only redirect to Google sites, unlike goo.gl, which is its customer-facing shortening service.
This is excellent news for .CO, of course. It gets yet another super-high-profile anchor tenant that will spread .co links (and, hopefully for the company, awareness) around the web like a virus.
Amazon acquired a.co, z.co and k.co, Overstock is of course now known as O.co, Go Daddy got x.co and Twitter is using t.co as its official URL shortener.
By my reckoning, that leaves another 19 one-letter .co names to sell. The registry’s windfall could quite easily amount to a year’s revenue for just 26 registrations.
That’s not including the numbers, of course.
Speaking of numbers, .CO also announced today that Silicon Valley incubator 500 Startups is to use 500.co, instead of 500startups.com, as its official domain.
Entrepreneurs, not URL shorteners, are .CO’s target market, vital for its longevity, so it was a very smart PR move to combine these two customer wins into one announcement.

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Legal fight breaks out over .pr domains

The University of Puerto Rico has accused the manager of the .pr top-level domain of hoodwinking ICANN in order to “illegally” take over the registry.
It recently filed a lawsuit seeking to regain control of .pr, saying that the current registry operator has made an estimated $2 million from domain registrations since it somehow took over the ccTLD.
The lawsuit and other documents tell a remarkable story, one in which a University department quietly spun itself out as a private for-profit company and took .pr with it.
If the claims are true, ICANN may have made a huge screw-up by inadvertantly allowing the ccTLD to be transferred from the University into private hands.
According to an archived copy of the IANA delegation record for .pr, the ccTLD was from 1988 until about 2007 delegated to:

University of Puerto Rico
Gauss Laboratory
Facundo Bueso Building
Office 265
Rio Piedras 00931
Puerto Rico

That’s the Sponsoring Organization. The administrative and technical contacts also stated that UPR was in charge of the domain. The contact email address was @uprr.pr, the University’s domain.
Today, the IANA record is quite different:

Gauss Research Laboratory Inc.
Calle Vesta 801
San Juan 00923
Puerto Rico

The University is no longer listed. The contact email addresses are now @nic.pr. These new details have been in effect apparently since some time in 2007.
To my eye, this looks like the stewardship of .pr was transferred from one organization, the University of Puerto Rico, to another, Gauss Research Laboratory Inc.
But IANA never produced a redelegation report – as it must when a registry changes hands – and the ICANN board never voted to redelegate.
According to a July 2007 letter (pdf) circulating this week from David Conrad, who was then IANA general manager at ICANN, the changes merely reflected a “structural reorganization” of the registry:

Since the underlying organization performing registry services for .PR did not change (it was Gauss Laboratory before and after the change), this is not considered a full redelegation, and therefore does not result in a public report with board approval.

But the University claims that long-time manager Oscar Moreno set up Gauss as a non-profit organization to handle .pr when he retired from UPR, then in 2007 changed it to the for-profit corporation that is now the designated registry manager.
A 2009 letter from UPR to ICANN general counsel John Jeffrey (pdf), which emerged on mailing lists last week, said Moreno was trying to sell his company, and the ccTLD, to a third party.
IANA, according to the letter, was fooled into thinking the University backed the transfer of control due to a letter from a faculty member who did not have the authority to authorize the changes.
The University sued Moreno in late May (pdf), seeking an injunction ordering him to transfer .pr back to UPR and to return the $2 million it believes .pr domain sales have raised since 2007.
IANA redelegations are rarely straightforward.
A recent report from the Country Code Names Supporting Organization found that ccTLD redelegations have been basically a bloody mess – unpredictable, opaque and poorly documented.
ICANN does not discuss IANA requests, but I’m currently aware of a handful of ongoing redelegation battles, such as those over Niue’s .nu and Rwanda’s .rw.
It is suspected that Irish operator IEDR is currently trying to have .ie taken away from its nominal sponsor, University College Ireland, which has put the fear into at least one registrar.

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Go Daddy dominant in .co domains

Go Daddy is responsible for more than one third of all .co domain name registrations, according to new research from HosterStats.
HosterStats has managed to track down 616,227 .co domains, and found in its first .co report that 32.69% of them point to domaincontrol.com, Go Daddy’s primary name server doman.
Another two Go Daddy domains, secureserver.net and cashparking.com, handle 3.89% and 3.42% of known .co domains, the report says.
The registry, .CO Internet, does not publish its zone files, so HosterStats does not have stats covering the over one million .co domains that have been registered.
Still, it’s a pretty decent sample size, and probably a reasonably reliable guide for estimating Go Daddy’s .co market share.
It’s pretty much in line with Go Daddy’s overall market share, and comes as little surprise given joint marketing initiatves such as this year’s Super Bowl commercial.
Sedo’s sedoparking.com was the second-largest .co host, with 5.21% of the names.
Tallying up percentages from name servers exclusively associated with parking services, it appears that at least 10% of .co is parked.
I suspect the real number to be much larger.

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Former ICANN chair joins M+M

Peter Dengate Thrush, the former ICANN chairman who pushed through approval of the new top-level domains program less than a month ago, is to join new gTLD firm Minds + Machines.
He has become executive chairman of Top Level Domain Holdings, M+M’s parent company, which is listed on the Alternative Investment Market.
The hire will undoubtedly boost M+M’s credibility and raise its profile, but is already also raising eyebrows.
TLDH plans to apply to ICANN for potentially dozens of new gTLD contracts next year, both with partners and customers and on its own.
Dengate Thrush has been granted options to buy 15 million TLDH shares for 8p each, roughly the same as its current price, which he can exercise at a rate of 1.25 million per quarter through July 2014.
TLDH currently has no revenue to speak of. Its future share price will depend on its ability to sign registry services customers and win new gTLDs through the ICANN process.
It’s fairly easy to extrapolate scenarios where Dengate Thrush’s compensation package is worth millions.
His chairmanship of ICANN’s board of directors came to an end June 24, just a few days after it voted to approve the new gTLD program.
During that vote, dissenting director Mike Silber accused the board of voting too soon, saying it was being hurried by “ego-driven deadlines”.
This was a reference to Dengate Thrush and fellow new gTLD cheerleader Rita Rodin Johnston, both of whom were due to see their terms on the board expire that week.
Dengate Thrush is the first ICANN chair to take a high-paying domain name industry job following his time with ICANN.
His predecessor, Vint Cerf, joined Google. Earlier, Esther Dyson went on to invest in and work with a number of technology start-ups.
ICANN does not have a policy preventing former employees or directors taking lucrative jobs working for the companies that they were previously essentially regulating.
Indeed, some of its directors currently work for such companies.
Few in the ICANN community doubted that Dengate Thrush, an IP lawyer by trade, would join a new gTLD company. The question was which one.
I asked him, along with CEO Rod Beckstrom and senior VP Kurt Pritz, at a press conference in Singapore, whether they would be prevented from joining a new gTLD firm.
The answer, basically, was: “No.”
ICANN staff and board sign confidentiality agreements that prevent them taking secrets into future employers, but there’s nothing to prevent a “revolving door” between industry and regulator.
There have already been calls from parts of the ICANN community to create a new ethics policy, after senior registry liaison Craig Schwartz left to join the VeriSign-backed .bank project.
GNSO Council chair Stephane Van Gelder of the French registrar Indom suggested in a blog post this morning that ICANN should consider hiring independent directors and barring them from working in the industry for a year after their terms end.
It would be pretty difficult to enforce such a rule on the board as it is currently made up, given that it draws some of its members, by design, from the domain name industry.
ICANN’s new vice chair Bruce Tonkin works for Melbourne IT, a registrar, for example. He recused himself from the new gTLD vote because of this conflict of interest.
It would be silly for ICANN to ban him from working for Melbourne IT after his term expires if he’s allowed to work there during the term itself.
While no rules appear to have been broken, M+M’s new hire may sit uncomfortably with some.
It will certainly reinforce beliefs, where they are held, that the new gTLD program is largely a money-grabbing exercise by the domain industry.

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ICM reveals .xxx launch dates, extends sunrise

Citing demand, ICM Registry has lengthened the .xxx sunrise period, which begins September 8, by three weeks. It will now end October 28, running for 50 days.
The new deadlines apply to all three sunrises, which will run concurrently.
Sunrise A-T – for porn publishers with trademarks.
Sunrise A-D – for porn publishers with matching domains in other TLDs.
Sunrise B – for anyone outside the porn business who wants to “turn off” their trademark in .xxx to prevent cybersquatting.
Successful Sunrise B applicants will see their chosen domains resolve to a standard information page explaining that the domain is not available for registration.
Post-launch, anyone can register a non-resolving domain that returns an NXDOMAIN response, but they’ll have to pay for it annually. Sunrise B applicants pay a one-time fee.
If applicants from Sunrise A and Sunrise B both apply for the same domains, the porn applicant will be given precedence, although they will be warned about possible trademark infringement.
If more than one Sunrise A applicant applies for the same domain, the fight will be taken to an auction, managed by Pool.com. Auction rules will be published at a later date.
The sunsrise is outlined in a policy document (pdf) ICM published on its web site today that sets out the rules for its pre-launch period.
The company has not yet announced details of its Charter Eligibility Dispute Resolution Procedure, nor its Rapid Evaluation Service, though it has said it expects them to cost between $750 and $1,500, depending on what deals it can come to with dispute resolution providers.
The Rapid Evaluation Service, previously referred to as “rapid takedown” will be an interesting one.
It’s expected to be a little like the Uniform Rapid Suspension process ICANN’s new gTLDs will have to implement, except it will only take about 48 hours to take down an obviously cybersquatted domain.
ICM says it expects to publish these policies before the sunrise begins.
Landrush is now expected to run November 8 until November 25. General availability will begin December 6.

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DomainMonster gets .co accreditation

DomainMonster has announced that it’s the first UK-based domain name registrar to get a .co accreditation.
The partnership comes as .CO Internet expands its registrar channel beyond the initial 10 that were approved when it launched a year ago.
The registry announced in April that it would add 20 new registars over the next 12 months.
DomainMonster has been selling .co domains as a reseller of Colombian registrar Domino Amigo for the last year.
The company says did a pretty brisk trade on the first day of .co availability, securing more .co names in the first 10 minutes than any other registrar, with a 90% success rate.
I’ve heard from a few places recently that Go Daddy may have even asked DomainMonster to submit launch-day registrations on its behalf.
The company also has a new reseller platform of its own, DomainBox, which will also make .co domains available to partners.

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VeriSign to raise .com and .net prices again

VeriSign has announced price increases for .com and .net domain name registrations.
From January 15, 2012, .com registry prices will increase from $7.34 to $7.85 and .net fees will go up from $4.65 to $5.11.
That’s a 10% increase for .net and a 7% increase for .com, the maximum allowable under its registry agreements with ICANN.
As ever, registrants have six months to lock down their domains at current pricing by renewing for periods of up to 10 years.
The last time VeriSign raised prices, also by 7% and 10%, the higher prices became effective a year ago, July 2010.
VeriSign’s contract for .net was renewed last month after it was approved by the ICANN board of directors.
Its .com contract comes up for renewal next year.

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How Protect IP will get you hacked

Kevin Murphy, July 14, 2011, Domain Policy

The collection of DNS experts opposing the Protect IP Act today held a press conference to outline exactly why the proposed US piracy protection legislation is dangerous.
Protect IP, currently making its may through Congress, would force ISPs to intercept and redirect domain name look-ups for proscribed piracy sites.
It’s the latest in a series of attempts by the IP lobby to push through legislation aimed at curbing the widespread bootlegging of digital content such as music and movies.
But ICANN chair Steve Crocker, DNS uber-hacker Dan Kaminsky, David Dagon of Georgia Tech, VeriSign’s Danny McPherson and BIND supremo Paul Vixie all think the Act will have unintended and dangerous consequences.
They published a white paper explaining their concerns in May, which I wrote about here, and today ramped up the campaign by talking to reporters in Washington, DC.
Here’s the problem as they see it:
Today, the vast majority of internet users take the default DNS service from their ISP. Usually, the servers are configured automatically when you’re installing the ISP’s software.
Many users are also aware of alternative DNS providers such as Google and OpenDNS. Whatever you think of these services, you can be pretty confident they’re not out to steal your identity.
What Crocker et al are worried about is that content pirates will set up services similar to OpenDNS in order to enable users to visit domains that are blocked by Protect IP in their country.
Users can configure such a service in just 30 seconds, with a single click, the experts said. If they want access to the latest movies and music, they may do so without considering the consequences.
But if you sign up to use a DNS server provided by a bunch of movie pirates, you don’t necessarily have the same reassurances you have with OpenDNS or Google.
You’re basically signing up to pass all your domain name look-up data to proven rogues, what Kaminsky referred to during the press conference as “unambiguously bad guys”.
These bad guys may well direct you to the correct server for the Pirate Bay, but they may also hand you over to a spoof web site when you try to visit your bank.
You’ll think you’re looking at your bank’s site, and your computer will think it got a genuine IP address in response to its DNS query, but you’re really handing your login credentials to a crook.
DNS blocking already takes place with respect to content such as child pornography, of course, but it has not to date created a huge reaction with millions of users taking their DNS overseas.
“The scale of the reaction is what we fear,” Kaminsky said. Vixie added: “To the extent that the content is extremely popular the bypass mechanisms will also be popular.”
The measures proposed by Protect IP would also break DNSSEC, but that’s still pretty much pie-in-the-sky stuff, so the press conference did not spend much time focusing on that.

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