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New gTLD use cases not much use

Kevin Murphy, December 10, 2024, Domain Registries

ICANN has come in for periodic criticism over the last decade or so for not being sufficiently enthusiastic in public about its new gTLD program, but this time around it’s trying to do something about it.

New gTLD program participants have said that ICANN should have thrown more of its substantial resources into marketing the program, raising the profile of both the application period and the availability of new gTLDs when they go live.

But, under community guidance for the 2026 application window, Org started promoting the program earlier this year, with the publication of a “Next Round Champion’s Toolkit” web site containing ready-made marketing materials that consultants and gTLD service providers are free to use to reach out to their respective communities or sales prospects.

The latest component of this effort is a batch of 13 “use case” documents, each covering a specific gTLD from the 2012 round, compiled by ICANN, “each providing a compelling example of how different types of organizations use gTLDs”.

ICANN was wise to avoid calling them “case studies”. They’re pretty lightweight, with not [m]any particularly useful insights or actionable nuggets of advice. A cynic might summarize the 13 documents thus:

Hey, did you know .CEO/.SECURITY/.BANK exists? It really does! Here’s barely 500 words of elevator-pitch fluff from the registry’s PR folk, presented in the format of one of those glossy, double-sided, one-page inserts you find in a conference schwag bag and toss into your hotel room trash can unread when trying to reduce the weight of your carry-on.

Six out of the 13 use cases are generics run by XYZ Registry. Five are big-C “Community” gTLDs (including the geographic/linguistic niche offerings .gal, .lat and .bzh). Microsoft is the only dot-brand registry represented.

Notably, given how much emphasis ICANN has been putting on its goal to expand outreach efforts in under-served regions (op-eds and press releases have started popping up in places like India and Nigeria recently), there are no IDN gTLD use cases yet. And all the use cases are in English.

Still, I expect the use cases could be useful to Next Round “Champions” in some scenarios, certainly not as later-stage decision support but rather as part of an arsenal of foot-in-the-door introductory materials aimed at prospects utterly unaware that new gTLDs exist.

ICANN confirms two bans on new gTLD gaming

Kevin Murphy, November 14, 2024, Domain Policy

ICANN’s board of directors has just voted to approve two bans on practices in the new gTLD program that could be considered “gaming”.

It’s banned applicants for the same string from privately paying each other to drop out of contention, such as via private auctions, and has banned singular and plural versions of the same string from coexisting.

The plurals ban means that if, for example, one company applies for .podcast and another applies for .podcasts, they will go into the same contention set and only one will ultimately go live.

It also means that you can’t apply for the single/plural equivalent of an already-existing gTLD. So if you were planning to apply for, oh I dunno, .farms for example, you’re out of luck.

The move should mean that lazy applicants won’t be able to rely on piggybacking on the marketing spend of their plural/singular rivals, or on purely defensive registrations. I will also reduce end-user confusion.

The ban on private contention resolution means that contention sets will largely be resolved via an ICANN-run “auction of last resort”, in which ICANN gets all the money.

In the 2012 application round, private resolution was encouraged, and some companies made tens of millions of dollars from their rivals by losing auctions and withdrawing their applications.

Both bans had been encouraged by ICANN’s Governmental Advisory Committee and received the unanimous support of the board (excluding conflict-related abstentions) at the Org’s AGM in Turkiye this afternoon.

Chinese say internet not ready for single-letter gTLDs

Kevin Murphy, October 22, 2024, Domain Policy

Several major Chinese tech organizations have urged ICANN not to lift its ban on single-character gTLDs, saying the risk of confusion is too great.

Allowing single-character gTLDs in Han script was the most objected-to part of the draft Applicant Guidebook in ICANN’s just-closed public comment period, with the objections all coming from China.

Han script is used in Chinese, Japanese and Korean languages. A single character can convey the same semantic impact as a whole multi-character word in European languages.

But the commenters warned that a single character can have multiple meanings, increasing the risk of confusion.

Rui Zhong of the Internet Society of China said for example that the Han character “新” can mean “new” but is also the abbreviation for the Chinese province of Xinjiang and the nation of Singapore.

Lang Wang of CNNIC warned: “the similarities in pronunciation, form, and meaning of Han script single-character gTLD could lead to the risks of phishing, homophone attacks, intellectual property disputes, etc”.

It seems the issue may be a bit more complex than visually identical words having multiple definitions in other languages, with multiple commenters saying that single-character words do not reflect the reality of modern Chinese usage.

Second-shot gTLD bid rules revealed

Kevin Murphy, October 18, 2024, Domain Policy

ICANN has published the first, early draft of rules for new gTLD applicants that want to change their applied-for strings at the thirteenth hour.

In a shock move last month, ICANN’s board of directors said that applicants would be able to nominate a second-choice gTLD, as a means to reduce the number of contention sets and potentially increase the number of approved TLDs.

The decision, which has yet to be formally approved by the board, arguably raised more questions than it answered, and has been criticized for being a top-down imposition and introducing much more complexity into the application process.

But the poor Org staffers tasked with turning the idea into reality have now published a first draft of the proposed rules, which could eventually make it into the final Applicant Guidebook, that may answer some of those questions.

But I’m not convinced the idea has been sufficiently thought through yet. Here’s my take.

There’s going to be two Reveal Days

In 2012, Reveal Day was the day ICANN published the applicant names and applied-for strings of all 1,930 new gTLD applications. It was a simple one-time info dump, letting all applicants know who they were competing against.

As host of a Reveal Day panel discussion, I’d been given a hard copy of the spreadsheet in advance and virtually had to fight off applicants wanting a sneak peek with a dirty stick, despite the reveal being mere minutes away.

This time around, giving applicants the option of a pre-selected back-up string complicates matters, so there would be two reveals: Preliminary Reveal Day and Final Reveal Day.

On Preliminary Reveal Day, ICANN would publish the list of applicants along with their primary and secondary desired strings. Applicants would instantly know whether they were in contention, and get a rough idea of of what their second-chance options were.

They would then have a Replacement Period, currently penciled in at [14 days] to decide whether to stick to their first choice or switch their entire application over to their back-up.

If you’re a tiny podcast aggregator who suddenly finds your .podcasts application facing a contention resolution auction against Amazon, Spotify and Joe Rogan, you might want to switch to .knittingpodcasts or something.

Pick a crappy string

I present the example of .knittingpodcasts only half jokingly — the way the rules are currently drafted appears to actively encourage the selection of crappy back-up strings.

ICANN staffers told community members at two implementation meetings this month that applicants should pick second-choice strings “unlikely to be picked up by somebody else as their alternate”.

The whole point of allowing replacement strings is to reduce the number of contention sets. Applicants will not be allowed to switch to a string that is another applicant’s primary or secondary string. The draft text reads:

Applicants must be aware that they will be prevented from using their replacement string in cases where a designated replacement string is identical to another replacement string or applied-for primary string, as this would increase the risk of new instances of contention being created or existing instances being increased.

So, unless you’re hoping to get very lucky indeed, you’d be mad to apply for .crypto and nominate .blockchain as your back-up, as you’d be prevented from switching to your second-choice, which is very likely to be already contested.

Your best chance of avoiding contention would be to pick a string just crappy enough that nobody else is likely to apply for it, but not crappy enough that it doesn’t make business sense to apply for.

Avoid plurals, dummy

It now seems incredibly likely that ICANN is going to ban single/plural equivalents from coexisting, so choosing the plural of your primary string as your back-up (or vice-versa) would probably be an exercise in futility.

If the ban is approved, plural/singular matches will be placed in the same contention set anyway, so picking .podcasts as your alternate for .podcast will in most cases not avoid contention. There are some edge cases here, which I’ll get to below.

There’s no going back

Once you’ve opted to switch to your secondary string, you can’t later change your mind and switch back, even if all your original competitors have dropped out of the race and you’d have a free run at your primary.

The draft rules currently state: “Applicants who opt for their replacement string will be unable to revert to their original primary string at any stage during the program.”

They later state: “Applicants should note that if all applicants for a given string opt for their respective replacement strings, it is possible that there may be no remaining active application for the primary applied-for string.”

War-gaming undesirable consequences

I think we can all agree that .podcast is a more desirable gTLD than .podcasts.

Spotify says there are something like six million podcasts in its library. Selling a .podcast domain to a fraction of those podcasters could be a very lucrative business and provide millions of registrants with cool domains.

But how many entities would feel a .podcasts domain is more appropriate for their businesses? A handful of podcast aggregators, maybe? Certainly a substantially smaller number. The .podcasts registry would have to sell at a huge premium price to make up for the loss of volume.

So, let’s say Company A and Company B both apply for .podcast as their primary string. Company A selects .knittingpodcast as its back-up, while Company B selects .fishingpodcast.

After Preliminary Reveal Day, both applicants become afraid that their rival is better-funded and more committed to their application, so to avoid an auction decide to switch to their secondary string.

Remember, ICANN is bent on banning private resolution of contention sets, and while language has yet to be published or finalized, the current thinking is that private resolution would also be banned during the Replacement Period. The rules might even go so far as to ban non-monetary resolution, or communication between competing applicants.

So Company A and Company B, both fearful of the other’s financial clout, switch to their back-ups and a year or two down the line the internet has a .fishingpodcast gTLD and a .knittingpodcast gTLD, but no .podcast gTLD.

Let’s say instead that Company B ignored ICANN advice and named the plural .podcasts as its back-up, and both applicants switched. Now, not only would the more desirable singular .podcast not get delegated, but the single/plural ban would mean it would never be delegated.

Is that a desirable outcome? Populating the DNS with second-choice gTLDs nobody wants? (.com fanboys feel free to leave a comment below).

I can’t help but feel that a lot of this stuff is going to need much more intensive war-gaming, possibly involving top psychologists and game theorists, before the rules are finalized and approved.

ICANN fixes embarrassing “What is a Domain Name?” mistake

Kevin Murphy, September 30, 2024, Gossip

Good news, everyone! ICANN knows what a domain name is!

The Org has quietly corrected a slide deck, designed as a high-level introduction to the new gTLD program’s Next Round, that seemed to mislabel the components of a domain name.

When it was first published in early September, the offending slide looked like this:

ICANN slide 1

When I saw it, for a few moments I was genuinely worried I’d had another stroke or, worse, been wrong for a quarter century. Surely ICANN, the organization that oversees the global DNS, knew more about this stuff than I do?

Rather than call an ambulance immediately, I tweeted a screengrab on Twitter to get the reassurance of the four people still on that platform that I had not lost my mind.

Now, in the same ICANN deck (pdf), apparently updated September 19, the slide looks like this:

ICANN slide 2

The deck is part of a “Champions Toolkit”, a bunch of freebie marketing materials made available for people who want to market the Next Round, particularly in under-served regions, on ICANN’s behalf.

New gTLD application fee rises by thousands after collision call

Kevin Murphy, September 25, 2024, Domain Policy

ICANN has upped its expected new gTLD application fee after approving a costly new plan to tack name collisions.

The baseline price of applying for a single string, most recently pegged at $220,000, is now expected to go up by $5,000, according to a recent resolution of the ICANN board of directors.

The board earlier this month approved the Name Collision Analysis Project Study 2 Final Report, which proposed a way to prevent new gTLDs seriously interfering with existing non-standard TLD use on private networks.

Strings applied for successfully in the 2012 round had to agree to a 90-day post-launch period of “controlled interruption”, during which the entire gTLD was wildcarded with information to help affected parties fix their DNS configuration.

So if a company had been using .horse on its internal network, and a suddenly-delegated .horse gTLD started causing leakages to the public DNS, the company was quickly alerted to what the problem was.

Under the now-approved NCAP 2 plan, ICANN will take over responsibility for controlled interruption. Applied-for strings will be tested in the live DNS before a registry has even been contracted.

The results would be assessed by a Technical Review Team and applicants for strings considered at high risk of collisions would be able to submit mitigation plans for evaluation before having their registry contracts approved.

While approving NCAP 2 will generate more confidence that the Next Round will in fact go ahead in the second quarter of 2026, this extra stage of course will add friction and cost to the evaluation process.

ICANN estimates it will add $500,000 to its program implementation budget and $6.9 million to the application processing budget, increasing the application fee by $5,000 per application. That seems to assume 1,500 applications being submitted.

The likely increase has been flagged up for months, so is unlikely to surprise potential applicants, but will not appease those already grumbling that the fee has gone up so sharply from the $185,000 charged in the 2012 round.

It’s also bad news for companies that applied for .home, .corp or .mail in 2012, which were rejected due to the high risk of collisions.

The ICANN board rejected NCAP 2’s recommendation that these three gTLDs should be submitted to the new Name Collision Risk Assessment Process, potentially reawakening their applications from their Not Approved status.

Under the latest board action, anyone who applied for .home, .corp or .mail in 2012 will have no preferential treatment if they apply for the same strings again in 2026, according to the resolution.

Affected applicants were already offered a full refund for their rejected bids, with only deep-pocketed Amazon and Google so far not exercising that option. Now they have no excuse.

Big twist as ICANN bans new gTLD auctions

Kevin Murphy, September 16, 2024, Domain Policy

ICANN is to ban new gTLD applicants from paying each other off if they apply for the same strings, removing a business model that saw tens of millions of dollars change hands in the 2012 application round.

But, in a twist, applicants will be able to submit second-choice strings along with their main application, allowing them to switch if they find themselves in contention.

While ICANN’s board of directors has yet to pass a resolution on private resolution in forthcoming application rounds, chair Tripti Sinha said in a letter to the GNSO Council (pdf) and blog post that there’s agreement on three principles.

“Private resolution of contention sets will not be permitted during the Next Round,” Sinha told the Council. The idea of permitting joint-venture resolution was also ruled out as impractical and open to gaming.

This of course means that where contention sets do occur, they’ll be resolved with a “last resort” auction where ICANN gets all the cash from the winning bidder.

Funds raised this way in the last round, along with a decade’s worth of investment interest, have been used to replenish ICANN’s reserve fund, to fund the current Grant Program, and may be shortly used to subsidize the Applicant Support Program.

Second, applicants will be able to submit at least one alternate string with their applications, allowing them to avoid a contention set and last resort auction.

This potentially makes the cost of acquiring a gTLD cheaper for the applicant while increasing the number of gTLDs that go live. ICANN might also have to issue fewer refunds for withdrawn applications.

ICANN thinks this measure might make gTLDs more affordable for less well-resourced applicants from the Global South, where ICANN is keen to diversify the industry, although the applicants may not get their first-choice strings.

Applicants would only be able to switch to an alternate string, which they will have to have pre-selected, if doing so would not create a new contention set or make the applicant join a different existing contention set.

They’d also only be able avoid a contention set of exact-match strings, and not sets subsequently created by the String Similarity Review or String Confusion Objection results.

So, to take an example from 2012, any of the seven .hotels applicants would have been able to switch to a second-choice string immediately after Reveal Day, but not after the similarity review placed them in contention with .hoteis.

The third point of agreement from the board is that the last resort auctions should keep the ascending-clock second-price method used for the 2012 round, deciding against lotteries or the Vickrey auction method.

The ascending clock method sees bids filed in rounds until all bidders but one had dropped out. The last applicant standing then pays ICANN the last price offered by the runner-up.

A Vickrey auction would have seen applicants submit their maximum bids at the time of application, not knowing who they were bidding against. Lotteries are legally problematic under California gambling law.

Sinha said the board intends to pass a resolution embodying these three principles “in the coming weeks”.

This is going to create some extra work for the GNSO, as ruling out joint ventures as a means to private resolution goes against community policy recommendations (and the board’s adoption of those recommendations).

The GNSO Council is set to discuss Sinha’s letter at its regular monthly meeting this Thursday.

The new gTLD next, next and next round

Kevin Murphy, September 12, 2024, Domain Policy

“The goal is for the next application round to begin within one year of the close of the application submission period for the initial round.”

Believe it or not, that sentence appears in the new gTLD program’s Applicant Guidebook that ICANN published in June 2012, 12 years of seemingly interminable review and revision ago.

Ah, 2012…

Obama was reelected for his second term. The final of the Euros took place in Kyiv. Gangnam Style topped the charts. Harvey Weinstein won an Emmy. Microsoft released Windows 8. Jedward sang for Ireland in Eurovision. Everyone had an opinion on Joseph Kony and Grumpy Cat.

Naturally enough, a lot of people aren’t very happy about the massive delay between the close of the last application window and the opening of the next one, currently penciled in for the second quarter of 2026.

So the community has done something about it, placing language in the draft of the next AGB that commits ICANN to open subsequent, post-2026 rounds without all the mindless navel-gazing and fannying around.

The intent is pretty clear — make application rounds more frequent and more predictable — but there’s still plenty of wiggle-room for ICANN to exploit if it wants to delay things yet again.

Here’s what the proposed AGB language (pdf) says:

ICANN works towards future rounds of new gTLDs taking place at regular and predictable intervals without indeterminable periods of review and, absent extraordinary circumstances, application procedures will take place without pause. A new round may be initiated even if steps related to application processing and delegation from previous application rounds have not been fully completed.

The ICANN Board will determine the timing of the initiation of a subsequent application round of the New gTLD Program as soon as feasible, but preferably not later than the second Board meeting after all the following conditions have been met:

1. The list of applied-for strings for the ongoing round has been confirmed and the window for string change requests has closed. This will provide applicants in a subsequent round with an understanding of which strings can be applied for.

2. ICANN org has not encountered significant barriers to its ability to receive and process a new batch of applications.

Absent extraordinary circumstances, future reviews and/or policy development processes, including the next Competition, Consumer Choice & Consumer Trust (CCT) Review, should take place independent of subsequent application rounds. In other words, future reviews and/or policy development processes must not stop or delay subsequent new gTLD rounds.

If the outputs of any reviews and/or policy development processes has, or could reasonably have, a material impact on the manner in which application procedures are conducted, such changes will apply to the opening of the application round subsequent to the adoption of the relevant recommendations by the ICANN Board. Once adopted by the Board, the implementation of that policy or review recommendation(s) will then become a dependency for the timing of that subsequent round of applications.

The language is among several draft sections of the 2026 AGB that ICANN this week opened for public comment.

An intriguing question now arises: will this commitment on subsequent round timing have any impact on the number of applications submitted in 2026?

People in the know tell us that there’s a decade-long backlog of wannabe applicants, particularly in the dot-brand world, but will any of them decide to slow down their ambitions if they know they only have an extra year or two to wait for another round?

Or will they trust ICANN’s record of delay over the somewhat flexible promises of the AGB?

It’s not just an academic question. How much applicants will ultimately pay ICANN in application fees, after rebates, will depend on how may applications are filed.

Unstoppable reveals gTLD bid doomed to fail

Kevin Murphy, August 21, 2024, Domain Policy

It’s finally happened. Somebody has announced an application for a new gTLD that will almost certainly fall foul of ICANN’s rules and be rejected.

The would-be applicant is Farmsent, a United Arab Emirates startup that is building a blockchain-based marketplace for farmers and buyers of farm produce, and its domains partner is Unstoppable Domains.

Unstoppable said last week that the two companies are launching .farms domains on Unstoppable’s alternative naming system, and that an ICANN application for a proper gTLD is in the works.

The company said it “will be collaborating with Farmsent to plan and strategize for the next ICANN gTLD application, further solidifying .farms in the wider domain ecosystem”.

The problem is that .farms will likely be banned under the rules set out in ICANN’s Applicant Guidebook for the next round, unless the current draft recommendations are completely rewritten or rejected.

ICANN is to be told to reject applications for the plural and singular variants of existing gTLDs in the next round, and .farms is of course the plural of .farm, which is one of the few hundred names in Identity Digital’s stable.

The draft recommendations would merely require for ICANN to be informed that an applied-for string is a single or plural variant of an existing gTLD in the same language and check in a dictionary to confirm that is indeed the case.

In the case of .farm and .farms, I doubt the dictionary verification would realistically even be needed — though I’d bet checking that box would be at least one billable hour for somebody — as it’s a pretty clear-cut case of a bannable clash.

The ICANN staff/community working group drafting the recommendations has spent a huge amount of time arguing about the language of the plurals rule. It’s a surprisingly tricky problem, especially when ICANN is terrified of being seen as a content regulator.

Private auctions to be banned in next new gTLD round

Kevin Murphy, July 25, 2024, Domain Policy

ICANN plans to ban private auctions in the next new gTLD application round, chair Tripti Sinha has told governments.

The board of directors plans to accept the Governmental Advisory Committee’s recent advice to “prohibit the use of private auctions in resolving contention sets in the next round of New gTLDs”, Sinha told her GAC counterpart in a letter published this week.

This is a significant departure from the 2012 round, where many contention sets were resolved privately, with tens of millions of dollars changing hands. Simply applying for a gTLD, in order to lose an auction rather than actually running a registry, will quite possibly no longer be a business model.

What replaces private auctions is yet to be determined. ICANN plans to publish a paper and hold two community webinars in August to discuss alternatives, and reach a decision at its meeting in early September.

Sinha warned that if it cannot reach a conclusion by the September meeting, it might delay the publication of the Applicant Guidebook and thus the opening of the next application window.

It’s quite an aggressive deadline, given the complexity of the problem. ICANN is essentially trying to figure out a way to prevent unscrupulous actors from attempting to game the system for financial gain.

Ideas such as allowing good-faith joint ventures to be formed between competing applicants have been floated in recent months, but have faced scrutiny as they might permit side-deals to be inked that have the same effect as private auctions.

What seems certain is that “last resort” auctions — where ICANN gets all the money for its already $200 million war chest — will still be an option in the next round, which is current penciled in for the first half of 2026.

ICANN’s board plans to pass resolutions on the matter next Monday, so we should have a little more clarity by the start of August at the latest.