First new gTLD contracts signed

Donuts, an ARI Registry Services subsdiary and CORE this morning became the first new gTLD applicants to sign registry contracts with ICANN.
The ceremonial signing took place live on stage at the opening ceremony of ICANN 47, the week-long public meeting in Durban, South Africa.
ARI CEO Adrian Kinderis signed on behalf of شبكة. applicant International Domain Registry. The string is Arabic for “.web” and transliterates as “.shabaka”. It is 3 in the program’s evaluation queue.
In an ARI press release, Go Daddy CEO Blake Irving confirmed that Go Daddy will carry .shabaka.
Donuts CEO Paul Stahura signed for .游戏, the Chinese-language “.games”, which had prioritization number 40.
It was not immediately clear which contracts Iliya Bazlyankov, chair of CORE’s executive committee, signed. CORE has applied for three internationalized domain name gTLDs with high priority numbers.
(UPDATE: Bazlyankov has been in touch to say: “We signed the .сайт (site) and .онлайн (online) contracts which had numbers 6 and 9 in the priority”.)
Representatives of Go Daddy, MarkMonitor, Momentous, Mailclub and African registrar Kheweul.com also joined ICANN CEO Fadi Chehade on stage to sign the 2013 Registrar Accreditation Agreement.
The event marks the beginning of the contract signing phase of the new gTLD program, an important milestone.
For applicants without outstanding objections, contention or Governmental Advisory Committee advice, signing a contract means only pre-delegation testing and the final transition to delegation remains.

86 passes and two failures in this week’s new gTLDs

ICANN has just published this week’s batch of new gTLD Initial Evaluation results, revealing 86 passing scores and two applications that must go to Extended Evaluation.
The two failures are .ged and .bcg.
The .ged bid, which is intended to represent General Educational Development, was filed by a joint venture of the American Council on Education and the big publisher Pearson.
It’s the first example of an application to receive passing scores on both its financial and technical questions but to still require Extended Evaluation anyway.
The applicant had proposed a registry service related to internationalized domain names that gave the evaluation panels reason to believe a deeper evaluation was needed.
Uniquely so far, Extended Evaluation is likely to cost this applicant more money, due to the cost of a Registry Services Evaluation Panel.
Boston Consulting Group applied for .bcg as a dot-brand and failed because it scored a zero on its “Financial Statements” question, as most other IE failures have to date.
This weeks passing scores belong to these applications:

.redstone .institute .website .airtel .bestbuy .education .charity .shouji .alstom .multichoice .reit .bible .holiday .deutschepost .chrysler .terra .cam .inc .farm .cars .florist .financial .bet .design .cafe .sale .lundbeck .latino .iveco .inc .dodge .security .global .food .tradershotels .design .bond .zappos .rwe .commbank .landrover .house .cars .blog .fish .amazon .adult .wine .group .property .free .living .maserati .beauty .amsterdam .foodnetwork .broker .design .sucks .fans .tushu .discount .glass .fashion .search .school .linde .off .office .miami .trust .red .boats .immo .repair .dstv .claims .iinet .soccer .inc .mail .toshiba .law .love .suzuki .africa

There are now 730 applications still in Initial Evaluation. So far 1,092 have passed and 13 have failed.

Afilias opens pre-regs on 30 new gTLDs

Afilias has started accepting expressions of interest on the 30 new gTLDs it has applied for.
A basic site launched today invites potential registrants to indicate which names they’d like to register in future and submit their email address for updates.
As usual, it’s free, no obligation, and provides more value to the registry than the registrant.
The strings covered are:

.移动 (info), .信息 (mobi), .DESI, .APP, .HEALTH, .LTD, .KIM, .BLUE, .PINK, .LOTTO, .MLS, .LGBT, .BLOG, .GREEN, .INC, .TEAM, .SHIKSHA, .MEMORIAL, .RADIO, .BET, .RED, .WINE, .LLC, .WEB, .ORGANIC, .MEET, .PET, .BLACK, .CASINO, .POKER, .VOTE, .VOTO

Many of these gTLDs are still contested and some haven’t yet passed Initial Evaluation, so the list may dwindle as time goes by.

Donuts beats dot-brand in fight over .express gTLD

Donuts has prevailed in the first big dust-up between a portfolio gTLD applicant and a dot-brand hopeful.
The World Intellectual Property Organization today published its decision (pdf) in the Legal Rights Objection filed by a clothing retailer called Express over the .express gTLD.
The ruling could have a big impact on future rounds of the new gTLD program, possibly giving rise to an influx of defensive, generic-word dot-brand applications.
Both Express and Donuts have applied for .express. They’re the only two applicants for the string.
Express runs about 600 stores in the US and elsewhere and has had a trademark on its name since 1979. Donuts, as with all of its 307 original applications, wants to run .express as an open gTLD.
Express argued in its LRO that a Donuts-run .express would severely damage its brand, saying:

Should applicants for new TLDs be able to operate unrestricted TLDs represented by generic words which are also extremely well known brands, billions of dollars of goodwill will be wiped out in a TLD heartbeat.

Donuts, in its response, pointed out that there are thousands of uses of the word “express” in trademarks and other contexts, and even produced a survey that it said showed only 8% of fashionistas even associate the word with the brand.
The WIPO panelist, after what appears to have been something of a crisis moment of wondering what the hell ICANN was thinking when it designed the LRO, sided with Donuts. He said:

The Panel ultimately decides that the trademark owner (Complainant) should not be able to prevent adoption by the applicant (Respondent) of the applied-for gTLD <.express> in the particular context presented here. While Complainant certainly owns rights in the EXPRESS trademark for use in connection with apparel and fashion accessories, and while that trademark is reasonably well known among a relevant segment of consumers in the United States, there are so many common usages of the term “express” that it is not reasonable to foreclose its use by Respondent as a gTLD.

He follows up with a few sentences that should give owners of dictionary-word trademarks reason to be worried.

The Panel recognizes that, should Respondent successfully secure the gTLD, Complainant may be required to address potential Internet user confusion in the commercial marketplace for its products based on the registration (or attempted registration) of certain second level domains. However, Complainant faces this risk because it adopted a common word in the English language for its trademark. Moreover, Complainant has applied for the identical <.express> string as a gTLD in competition with Respondent. Ultimately, the parties may well end up in an auction contest for the gTLD. This is not Complainant’s last chance to secure its trademark as a gTLD.

In other words, Express can either pay ICANN or Donuts a bunch of cash at auction to get its dot-brand, or it can let Donuts win and spend a bunch of cash on defensive registrations and UDRP/URS complaints. Not a great result for Express either way.
The panelist takes 10 pages of his 26-page decision to explain his deliberations, but it basically boils down to this: Express’ trademark is too generic to give the company exclusivity over the word.
It’s hard to disagree with his reasoning.
If subsequent LROs go the same way, and I suspect they will, then it will quickly become clear that the only way to guarantee nobody else gets your dictionary-word brand as a gTLD will be to apply for it yourself and fight it all the way to auction.

IAB gives dotless domains the thumbs down

The Internet Architecture Board believes dotless domain names would be “inherently harmful to Internet security.”
The IAB, the oversight committee which is to internet technical standards what ICANN is to domain names, weighed into the debate with an article apparently published yesterday.
In it, the committee states that over time dotless domains have evolved to be used only on local networks, rather than the internet, and that to start delegating them at the top level of the DNS would be dangerous:

most users entering single-label names want them to be resolved in a local context, and they do not expect a single name to refer to a TLD. The behavior is specified within a succession of standards track documents developed over several decades, and is now implemented by hundreds of millions of Internet hosts.
…
By attempting to change expected behavior, dotless domains introduce potential security vulnerabilities. These include causing traffic intended for local services to be directed onto the global Internet (and vice-versa), which can enable a number of attacks, including theft of credentials and cookies, cross-site scripting attacks, etc. As a result, the deployment of dotless domains has the potential to cause significant harm to the security of the Internet

The article also says (if I understand correctly) that it’s okay for browsers to interpret words entered into address bars without dots as local resources and/or search terms rather than domain names.
It’s pretty unequivocal that dotless domains would be Bad.
The article was written because there’s currently a lot of talk about new gTLD applicants — such as Google, Donuts and Uniregistry — asking ICANN to allow them to run their TLDs without dots.
There’s a ban in the Applicant Guidebook on the “apex A records” that would be required to make dotless TLDs work, but it’s been suggested that applicants could apply to have the ban lifted on a case by case basis.
More recently, ICANN’s Security and Stability Advisory Committee has stated almost as unequivocally as the IAB that dotless domains should not be allowed.
But for some reason ICANN recently commissioned a security company to look into the issue.
This seems to have made some people, such as the At Large Advisory Committee, worried that ICANN is looking for some wiggle room to give its new gTLD paymasters what they want.
Alternatively, ICANN may just be looking for a second opinion to wave in the faces of new gTLD registries when it tells them to take a hike. It was quite vague about its motives.
It’s not just a technical issue, of course. Dotless TLDs would shake up the web search market in a big way, and not necessarily for the better.
Donuts CEO Paul Stahura today published an article on CircleID that makes the case that it is the browser makers, specifically Microsoft, that are implementing DNS all wrong, and that they’re objecting to dotless domains for competitive reasons. The IAB apparently disagrees, but it’s an interesting counterpoint nevertheless.

DomainsBot takes its new gTLD spinner to registries

DomainsBot has started promoting its domain name suggestion services to new gTLD registries.
Announced today, its new TLD Recommendation Engine for Registries is designed to make TLD suggestions more relevant when people are hunting for a new domain name.
It’s a sister service to the TLD Recommendation Engine for Registrars that, as we reported last week, DomainsBot hopes to have in place on many of the major registrars’ storefronts when new gTLDs launch.
After last week’s news, Domain Name Wire did a test of its demo and found it lacking in certain areas, such as failing to offer a .accountant domain to a query containing “CPA”.
DomainsBot CEO Emiliano Pasqualetti told DI that the service being announced today will help TLD registries avoid this kind of problem.
In consultation with DomainsBot, they’ll be able to more accurately define the meaning of their TLD string, improving the relevancy of DomainsBot’s results and potentially not missing out on sales.
Under the hood, it’s based on a database of all the existing second-level domains in existence today. DomainsBot wants to connect each second-level string to relevant results in new gTLDs.
“My goal is to pre-classify every existing second-level domain before new gTLDs go live,” Pasqualetti said.
The service is not free, of course. The cheapest tier has an introductory price of $1,000 per month, which Pasqualetti said will go up in future.
It’s “pay for relevancy” rather than “pay for display”, he said. “I’m not saying if you pay me I will display .cpa every time.”
MinardosGroup, which has applied for .build, .construction and .expert, has already signed on to use the service, according to a DomainsBot press release.

Key-Systems to take a loss on .hiv domains

Key-Systems said yesterday that it plans to make .hiv domain names available at “below net cost price”, in solidarity with would-be new gTLD registry dotHIV.
The registrar said it will also offer free .hiv names at launch to organizations involving in fighting the virus via its Moniker and domaindiscount24.com retail registrars.
dotHIV, also a German company, plans to donate all of its profits to HIV/AIDs charities.
Its application is uncontested and has already passed Initial Evaluation, but is the target of Governmental Advisory Committee advice, which has put its bid on hold.
Despite this uncertainty, Key-Systems said it expects the Sunrise phase for .hiv to start in December.

First three new gTLD objections thrown out

Three objections against new gTLD applications have been thrown out by the World Intellectual Property Organization, two of them on the basis that they were blatant attempts to game the system.
The objections were all Legal Rights Objections. Essentially, they’re attempts by the objectors to show that for ICANN to approve the gTLD would infringe their existing trademark rights.
The applications being objected to were Google’s .home, SC Johnson’s .rightathome and Vipspace Enterprises .vip.
The decisions are of course completely unprecedented. No LROs have ever been decided before.
Let’s look at each in turn.
Google’s .home
The objector here was Defender Security Company, a home security company, which has also applied for .home and has objected to nine of its competitors for the string.
Basically, the objection was thrown out (pdf) because it was a transparent attempt to game the trademark system in order to secure a potentially lucrative gTLD.
Defender appears to have bought the application, along with associated companies, domains, social media accounts and trademarks, from CGR E-Commerce, a company owned by .music applicant Constantine Roussos.
The panelist in the case apparently doesn’t have a DomainTools subscription and couldn’t make the Roussos link from historical Whois records, but it’s plain to see for those who do.
The case was brought on the basis of a European Community trademark on the term “.home”, applied for in December 2011, just a few weeks before ICANN opened the new gTLD application window, and a US trademark on “true.home” applied for a few months later.
The objector also owned dothome.net, one of many throwaway Go Daddy domain name resellers Roussos set up in late 2011 in order to assert prior rights to TLDs he planned to apply for.
The panelist saw through all the nonsense and rejected the objection due to lack of standing.
Here’s the money quote:

The attempted acquisition of trademark rights appears to have been undertaken to create a basis for filing the Objection, or defending an application. There appears to have been no attempt to acquire rights in or use any marks until after the New gTLD Program had been announced, specifically two weeks before the period to file applications for new gTLDs was to open.

For the EC trademark, lack of standing was found because Defender didn’t present any evidence that it actually owned the company, DotHome Ltd, that owned the trademark.
For the US trademark, which is still not registered, the panelist seems to have relied upon UDRP precedent covering rights in unregistered trademarks in his decision to find lack of standing.
The panelist also briefly addresses the Applicant Guidebook criteria for LROs, although it appears he was not obliged to, and found Defender’s arguments lacking.
In summary, it’s a sane decision that appears to show that you can’t secure a gTLD with subterfuge and bogosity.
It’s not looking good for the other eight objections Defender has filed.
Vipspace Enterprises’ .vip
This is another competitive objection, filed by one .vip applicant against another.
The objector in this case is German outfit I-Registry, which has applied for four gTLDs. The respondent is Vipspace, which has only applied for .vip.
In this case, both companies have applied for trademarks, one filed one month before the other.
The panelist’s decision focuses, sanely again, on the generic nature of the string in question.
Because both trademarks were filed for the word “VIP” meaning “Very Important Person”, which is the intended meaning of both applications, it’s hard to see how either is a proper brand.
The panelist wrote (pdf):

while SOAP, for example, may be a perfectly satisfactory trade mark for cars, it cannot serve as a trade mark for the cleaning product “soap”.
…
While the parties have used the term, “VIP”, in various forms on their website to indicate the manner in which the term will be used if they are successful in being awarded the domain, there is nothing before the Panel (beyond mere assertion) to show that either of them has yet traded under their marks sufficiently to displace the primary descriptive meaning of the term and establish a brand or at all.

In other words, it’s a second case of a WIPO panelist deciding that getting, or applying for, a trademark is not enough to grant a company exclusive rights to a new gTLD string.
Sanity, again, prevails.
SC Johnson’s .rightathome
While it contains the word “home”, this is a completely unrelated case with a different objector and a different panelist.
The objector here was Right At Home, a Nebraska-based international provider of in-home elderly care services. The applicant is a subsidiary of the well-known cosmetics company SC Johnson, which uses “Right@Home” as a brand.
It appears that both objector and applicant have really good rights to the string in question, which makes the panelist’s decision all the more interesting.
The way the LRO is described in ICANN’s new gTLD Applicant Guidebook, there are eight criteria that must be weighed by the panelist.
In this case, the panelist does not provide a conclusion showing how the weighting was done, but rather discusses each point in turn and decides whether the evidence favors the objector or the applicant.
The applicant here won on five out of the eight criteria.
The fact that the two companies offer different products and/or services, accompanied by the fact that the phrase “Right At Home” is in use by other companies in addition to the complainant and respondent appears to have been critical in tipping the balance.
In short, the panelist appears to have decided (pdf) that because SC Johnson did not apply for .rightathome in bad faith, and because it’s unlikely internet users will think the gTLD belongs to Right At Home, the objection should be rejected.
I am not a lawyer, but it appears that the key takeaway from this case is that owning a legitimately obtained brand is not enough to win an LRO if you’re an objector and the new gTLD applicant operates in a different vertical.
This will worry many people.

Geo gTLD bidders propose new constituency

Applicants for geographic gTLDs voted unanimously to form a new ICANN constituency last week.
According to minutes of a meeting hosted by .london applicant London & Partners in London last Thursday, 20 applicants voted in favor of a constituency and nobody voted for the alternatives.
Not every geo was in attendance, however. Twenty votes represents less than a third of the overall geographic gTLD applicant base.
A new constituency would likely join registries and registrars in the Contracted Parties House of the Generic Name Supporting Organization.
A constituency for dot-brand applicants, the Brand Registry Group, is also currently being formed.

Demand Media withdraws .bar application

Demand Media has withdrawn is application for the .bar new gTLD.
It’s the first of the company’s applications, filed via its United TLD subsidiary, to be withdrawn.
It was in a contention set with only one other applicant, a Mexican venture by the catchy name of Punto 2012 Sociedad Anonima de Capital Variable, which has also applied for .cafe and .rest.
There are now 97 withdrawn applications and a maximum of 1,357 future delegated gTLDs.