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Brands want new gTLD fast track

Kevin Murphy, March 9, 2023, Domain Policy

The Brand Registry Group is to propose a set of principles for the next round of ICANN’s new gTLD program that it thinks would see the initial application fee slashed by more than half and some evaluations starting as early as this October.

Under the proposals, TLD-curious applicants could get into the system for as little as $100,000 per string, about $150,000 lower than ICANN’s current estimate, and could see ICANN accepting applications as early as April 2025.

The recommendations, drafted by GoDaddy’s Tony Kirsch and Pharos Global’s Michael Palage, will be presented at a session on Saturday, the first day of ICANN’s 76th public meeting, in Cancun, Mexico.

They’re calling the proposals “Option 2a”, a reference to the two options laid out in ICANN’s Operational Design Assessment of the next round, which was completed in December.

The plan would allow applicants to pay $100,000 to submit a bare-bones application and test the waters in terms of contention, objections and similarity. They could then choose to withdraw before submitting the financial and technical portions of their bid.

Applicants with straightforward applications (presumably including most dot-brands) would have a lower overall cost than those who need additional reviews, contention resolution and objection processing.

The paper also criticizes the “astonishing” estimate of a $400 million program development cost, suggesting instead that ICANN repurpose its existing tools such as Salesforce to roll out the application submission system.

It reckons ICANN could start its Registry Service Provider Pre-Evaluation Program, based on the process it already uses when registries switch back-ends, in October this year.

If ICANN adopts the proposals, the BRG reckons a final Applicant Guidebook could be approved in October 2024, with applications accepted from April 2025.

ICANN to approve next new gTLD round next month (kinda)

Kevin Murphy, February 14, 2023, Domain Policy

ICANN’s board of directors is sending mixed signals about the new gTLD program, but it seems it is ready to start approving the next round when the community meets for its 76th public meeting in Mexico next month.

It seems the board will approve the GNSO’s policy recommendations in a piecemeal fashion. There are some undisclosed sticking points that will have to be approved at a later date.

Chair Tripti Sinha wrote this week that the board “anticipates making incremental decisions leading up to the final decision on opening a new application window for new gTLDs”.

While “many” recommendations will be approved at ICANN 76, the board “will defer a small, but important, subset of the recommendations for future consideration”.

The good news is that the board is erring towards the so-called “Option 2” sketched out in Org’s Operational Design Assessment, which would be much quicker and cheaper than the five-year slog the ODA primarily envisaged.

Sinha wrote:

the Board has asked ICANN Org to provide more detail on the financing of the steps envisioned in the ODA, and to develop a variation of the proposed Option 2 that ensures adequate time and resources to reduce the need for manual processing and takes into account the need to resolve critical policy issues, such as closed generics.

The closed generics issue — where companies can keep all the domains in a generic-term gTLD all to themselves — did not have a community consensus recommendation, and the GNSO Council and Governmental Advisory Committee have been holding bilateral talks to resolve the impasse.

There’s been an informal agreement that some closed generics should be allowed, but only if they serve the global public interest.

A recent two-day GAC-GNSO discussion failed to find agreement on what “generic” and “global public interest” actually mean, so the talks could be slow going. The group intends to file an update before ICANN 76.

New gTLDs: the next round just got real

Kevin Murphy, January 30, 2023, Domain Policy

It seems ICANN can multi-task, after all.

Its board of directors has yet to formally approve the next application round, but staff have started looking for a company to build the application system, regardless.

Org has published an RFI (pdf) for potential developers of a “gTLD Application Lifecycle System” that ICANN, applicants and third-party contractors will be able to use to manage bids from application to delegation.

The document details the 18 system services outlined in the Operational Design Assessment ICANN completed in December.

The deadline for submitting responses is February 24 and there’ll be a follow-up, invitation-only RFP in April. Companies have to respond to the RFI to have a chance at joining the RFP.

By ICANN’s recent standards, this is a pretty ambitious timetable, and will no doubt raise the spirits of those in the GNSO who have been calling for the Org to get a move on after the lengthy and disappointing ODA.

It may also please those worried about ICANN’s apparent inability to operate in anything other that a serial manner — it’s setting the ball rolling now, before the board has approved the program.

It may also give a hint at which way the board is leaning. It met eight days ago to discuss the next round and the ODA but did not formally pass any resolutions or provide any color on the nature of the talks.

ICANN to be told to stop pussyfooting on new gTLDs

Kevin Murphy, January 18, 2023, Domain Policy

The GNSO Council is expected to tell ICANN’s board of directors that it needs to stop lollygagging and set the wheels in motion for the next round of new gTLDs.

The Council plans to send a letter to the board ahead of its retreat this weekend, urging it to approve the GNSO’s new gTLD policy recommendations — the so-called SubPro Final Report — which turn two years old today.

There may also be some harsh critique of ICANN’s Operational Design Assessment for the program, which put an unexpectedly enormous price tag and years-long runway on the next round.

An early draft of the letter urges the board to approve the SubPro report “as soon as practicable” and “quickly” form an Implementation Review Team, which is the next stage of turning policy recommendations into systems and processes.

The ODA had provided two options for the next round. One would take five years and cost $125 million before a single application fee is collected. The second would cost about half as much and take 18 months.

The key differences were that Option 1 would see a lot of automation, with ICANN scratch-building systems for handling applications, objections, contention resolution and such, whereas Option 2 would cut some corners and rely more on manual processing.

But the GNSO, at least judging by the early draft of its letter, seems to regard this as a false dichotomy, instead proposing a third way, leaning on configurable third-party software and existing ICANN systems.

Option 1 is “overly aggressive… overly complex, time and resource intensive, and much more expensive than is necessary”, the draft letter says.

There wasn’t enough information in the ODA for the Council to figure out exactly how the two options differ, it says.

The letter is expected to tell the board that it doesn’t need to pick between the two options. Rather, it should just approve the SubPro’s recommendations and leave it to the ICANN staff and community members on the IRT to work out the details.

While the letter doesn’t come out and say it outright, the subtext I infer is that the ODA, which took a year and cost $9 million, was a waste of time and money. If the Council can’t figure out what it means, how is the board (its intended audience) supposed to?

The Council also expresses bafflement that the proposed Registry Services Providers Pre-Evaluation program, which was meant to streamline the program by accrediting RSPs in advance of the application window opening, is predicted by the ODA to be incredibly expensive and time-consuming, the exact opposite of its intended purpose.

The letter was composed by a “small team” subset of the Council and is likely to be edited over the next few days as other members weigh in. The Council is expected to discuss it at its monthly meeting tomorrow and send it to the board before it discusses the ODA on Sunday.

New ICANN boss makes encouraging noises on new gTLDs

Kevin Murphy, January 16, 2023, Domain Policy

ICANN’s new interim CEO Sally Costerton addressed the community in her new role for what I believe was the first time last Thursday, in a call with the GNSO Council.

The hour-long call was meant to discuss the outcomes of the Council’s Strategic Planning Session a month ago, but it also served as a Q&A between councilors and Costerton.

The last 15 minutes are of particular interest, especially if you’re one of the people concerned about ICANN’s devolution into a “do-nothing” organization over the last several years.

At that mark, Thomas Rickert of the trade group eco addressed the issue in a lengthy comment in which he pointed out that ICANN has been moving so slowly of late that even lumbering governmental institutions such as the European Union have come to realize that it’s faster to legislate on issues such as Whois than to wait for ICANN to sort it out.

He also pointed to the community’s pain of waiting a year for the recent Operational Design Assessment for the next round of new gTLDs, and its shock that the ODA pointed to an even more-expensive round that could take five years or more to come to fruition.

“I’ve heard many in the community say that the operational design reports come up with a level of complexity and diligence that stands in the way of being efficient,” he said. “So maybe the perfect is the enemy of the good.”

ICANN should be brave, dig its heels in, and get stuff done, he remarked.

Costerton seemed to enjoy the critique, suggesting that the recording of Rickert’s comments should be circulated to other ICANN staff.

She described herself as a “pragmatist rather than an ideologue”.

“I so want to say you’re absolutely right, Thomas, I completely agree with you 100%, we should just get it done,” she said. “Good is good enough. Perfect is the enemy of the good — I like that expression, I think it very often is.”

But.

Costerton said she has to balance getting stuff done with threats from governments and the risk of being “overwhelmed by aggressive litigation”. She said that ICANN needs “a framework around us that protects us”.

Getting that balance right is the tricky bit, she indicated.

Costerton, who took her new role at the end of last year following Göran Marby’s unexpected resignation, did not tip her hand on whether she plans to apply to have the “interim” removed from her job title. It is known that she has applied at least once before.

Content police? ICANN mulls bylaws change

Kevin Murphy, December 14, 2022, Domain Policy

ICANN could change its bylaws to allow it to police internet content to an extent, it emerged this week with the publication of the Operational Design Assessment for the next stage of the new gTLD program.

Currently, ICANN’s bylaws state that the Org may not “regulate (i.e., impose rules and restrictions on) services that use the Internet’s unique identifiers or the content that such services carry or provide”, and it’s been adamant that it is not the “content police”.

But the community has recommended that future new gTLD applicants should be able to agree to so-called Registry Voluntary Commitments, statements of registry policy that ICANN would be able to enforce via contract.

RVCs would be much like the Public Interest Commitments many registries agree to in the 2012 application round, implemented before ICANN’s current bylaws were in effect.

As an example I’ve used before, Vox Populi Registry has PICs that ban cyberbullying and porn in its .sucks gTLD, and in theory could lose its contract if it breaks that rule by allowing .sucks sites to host porn (like this NSFW one, for example).

ICANN’s board of directors expressed concern two years ago that its bylaws may prevent it from approving the RVC recommendation.

But Org staff have now raised, in writing and on a webinar today, the prospect that the board could change the bylaws to permit RVCs to go ahead. The ODA published on Monday states:

The Board may wish to consider how and whether it can accept the recommendations related to PICs and RVCs. One option may be to amend the Bylaws with a narrowly tailored amendment to ensure that there are no ambiguities around ICANN’s ability to agree to and enforce PICs and RVCs as envisioned

How worrying this could be would depend on the wording, of course, but even the chance of ICANN meddling in content is usually enough to raise eyebrows at the likes of the Electronic Frontier Foundation, not to mention supporters of blockchain alt-roots, many of whom seem to think ICANN is already censoring the internet.

It’s not clear whether the change is something the board is actively considering, or just an idea being floated by staff.

ICANN bloat to continue as new gTLD program begins

Kevin Murphy, December 13, 2022, Domain Policy

ICANN expects to hire so many new staffers over the next few years that it’ll need to rent a second office in Los Angeles to store them all in, according to a newly published new gTLD program planning document.

We’re looking at about 100 more people on the payroll, about 25% above the current level, judging by ICANN figures.

The Org said in the Operational Design Assessment published last night that the next new gTLD round will need it to hire another 25 to 30 dedicated staff during implementation of the program, along with 10 to 15 contractors, and then an additional 50 to 60 permanent staff to help manage the program going forward.

The number could be even higher if the board of directors and community encourage ICANN to speed up the roll-out of the round by reducing automation and relying more on the manual processing of applications.

The ODA says that ICANN has already identified an option to lease more office space close to its LA headquarters, to house the newcomers.

The budget for ICANN’s current fiscal year expects the Org to average 423 operational staff and another 25 employees dedicated to the new gTLD program.

ICANN reckons that the next round will require 125 full-time equivalents (FTE) during the implementation phase, reduced to 114 after the application phase kicks off.

For comparison, in May 2012, shortly after ICANN closed the application window for the last round, the whole organization comprised just 143 people. A year later, it had grown to 239.

The ODA does not break down how many additional staffers it will need to hire if the community plumps for the low-automation “Option 2”.

ICANN spunks a year, $9 million, on new gTLD plans destined for trashcan

Kevin Murphy, December 13, 2022, Domain Policy

ICANN has published the Operational Design Assessment for the next round of the new gTLD program, a weighty tome of 400 pages, most of which are likely destined to be torn up, burned, or used as toilet paper.

The ODA is the document, prepared by staff for board consideration, that lays out how the Org could implement the community’s policy recommendations for the next application round, how much it would cost, and how long it would take.

As I wrote last week, the paper outlines two options, the more expensive of which would take five years and cost $125 million before a single application fee is collected.

This option “reflects the goal of delivering on all outputs of the SubPro Final Report [the community’s 300-odd policy recommendations] to the maximum extent possible”.

This would see the clock ticking the moment ICANN gets the board’s nod and begins the implementation work — best case scenario, probably the first half of next year — and the first applications accepted at least five years later.

So, no new gTLD applications would be received until the first half of 2028 at the earliest. The first registry go-live would not happen until the 2030s, three decades after the first application window closed.

The second option, which was discussed on a webinar last week, would take about 18 months to roll out and cost half as much in up-front costs, but would not necessarily give the community every last thing it has asked for.

In this scenario, the next application window could open as early as 2025, followed by windows in 2026, 2027 and 2028. There’d be no per-window limit on applications, but ICANN would only start to process 450 each year, with the lucky applications selected by lottery.

What’s surprising about the ODA is how little airtime is given to the second option — known as the “cyclical” or “batching” option — which doesn’t really get a serious look-in until page 354.

The large majority of the document is devoted to the single-round, long-runway, more-expensive option, which Org surely knows will prove repellent to most community members and would, if approved, surely confirm that ICANN is mortally unfit for purpose.

Yet ICANN has nevertheless spunked over a year and $9 million of domain buyers’ money assessing an operational design it surely knows has no chance of ever going operational. It’s pure, maddening, bureaucratic wheel-spinning.

ICANN will hold two webinars tomorrow to discuss the document, so if you’re interested in the debate, best settle in for a night of tedious and rather frustrating reading.

The ODA itself is here (pdf).

New gTLD applications to cost about $250,000

Kevin Murphy, December 8, 2022, Domain Policy

Getting hold of a new gTLD could cost applicants well north of a quarter million dollars in base application fees alone in the next round, according to ICANN.

Presenting the results of its year-long Operational Design Phase to the GNSO Council via Zoom last night, staffers said application fees are likely to be either around $240,600 or $270,000 next time, higher than the $185,000 it charged in 2012.

Those would be the base fees, not including any additional evaluations or contention-related fees.

The Org next week is set to present its board and the community with a stark choice — one big expensive round along the lines of 2012, with a potential five-year wait for the next application window to open, or a cheaper, staggered four-stage round with maybe only 18 months of development time.

The Operational Design Assessment — a 400-page tome the Org has spent the last 14 months developing — is set to be published early next week, outlining two options for how ICANN should proceed on the next round.

One option is to build a highly automated system that fully implements all of the GNSO’s policy recommendations but costs up to $125 million up-front to build and roll out over five years. Application fees would be about $270,000.

The other would cut some bells and whistles and require more human intervention, but would be cheaper at up to $67 million up-front and could be rolled out within 18 months. Application fees would be about $240,600.

ICANN CFO Xavier Calvez, responding to exclamations of surprise via Zoom chat, said that a decade of inflation alone would lead to a 28% price increase to $237,000 if the next round were opened today, but in two or three years the price could be even higher if current economic trends continue.

While many expected the fact that technical evaluations will be conducted on a registry service provider basis rather than a per-application basis would wipe tens of thousands from the application fee, ICANN pointed out that building and executing this RSP pre-evaluation process will also cost it money.

ICANN wants to operate the program on a “cost-recovery basis”, so it neither makes a profit nor has to dig into its operational budget. It expects “more than three dozen vendors will be required” to help run the round.

It seems that the portion of the fee set aside to deal with “risks” — basically, anticipated litigation — is expected to be around a fifth of the total, compared to about a third in the 2012 round.

ICANN is asking its board and the community to decide between what it calls “Option 1 — One Big Round” and “Option 2 — Four Annual Cycles”.

Option 1 would essentially be a replay of 2012, where there’s a single unlimited application window, maybe a couple thousand applications, and then ICANN processes them all in a highly automated fashion using custom-built software.

Option 2 would allow unlimited applications once a year for four years, but it would cap the number processed per year at 450 and there’d be a greater degree of manual processing, which ICANN, apparently unfamiliar with its own history of software development, thinks poses additional risk.

My hot take is that the Org is presenting a false choice here, much like it did in January with its ODA on Whois reform, where one option was so unpalatably time-consuming and expensive that it had most of the community retching into their soy-based lattes.

There’s also an implicit criticism in both ODAs that the community-driven policy-making process has a tendency to make big asks without adequately considering the resources required to actually get them done.

I might be wrong, but I can’t at this early stage see much support emerging for the “One Big Round” option, except perhaps from the most ardent opponents of the new gTLD program.

ICANN expects to deliver the ODA — 100 pages with 300 pages of appendices — to its board on Monday, with wider publication not long after that. It will hold two webinars for the community to discuss the document on Wednesday.

No SSAD before 2028? ICANN publishes its brutal review of Whois policy

Kevin Murphy, January 25, 2022, Domain Policy

Emergency measures introduced by ICANN to reform Whois in light of new privacy laws could wind up taking a full decade, or even longer, to bear dead-on-the-vine fruit.

That’s arguably the humiliating key takeaway from ICANN’s review of community-created policy recommendations to create a Standardized System for Access and Disclosure (SSAD), published this evening.

The Org has released its Operational Design Assessment (pdf) of SSAD, the first-ever ODA, almost nine months after the Operational Design Phase was launched last April.

It’s a 122-page document, about half of which is appendices, that goes into some detail about how SSAD and its myriad components would be built and by whom, how long it would take and how much it would cost.

It’s going to take a while for the community (and me) to digest, and while it generally veers away from editorializing it does gift opponents of SSAD (which may include ICANN itself) with plenty of ammunition, in the form of enumerated risk factors and generally impenetrable descriptions of complex systems, to strangle the project in the crib.

Today I’m just going to look at the timing.

Regular DI readers will find little to surprise them among the headline cost and timeline predictions — they’ve been heavily teased by ICANN in webinars for over a month — but the ODA goes into a much more detailed breakdown.

SSAD, ICANN predicts, could cost as much as $27 million to build and over $100 million a year to operate, depending on adoption, the ODA says. We knew this already.

But the ODA contains a more detailed breakdown of the timeline to launch, and it reveals that SSAD, at the most-optimistic projections, would be unlikely to see the light of day until 2028.

That’s a decade after the European Union introduced the GDPR privacy law in May 2018.

Simply stated, the GDPR told registries and registrars that the days of unfettered access to Whois records was over — the records contain personal information that should be treated with respect. Abusers could be fined big.

ICANN had been taken off-guard by the law. GDPR wasn’t really designed for Whois and ICANN had not been consulted during its drafting. The Org started to plan for its impact on Whois barely a year before it became effective.

It used the unprecedented top-down emergency measure of the Temporary Specification to force contracted parties to start to redact Whois data, and the GNSO Council approved an equally unprecedented Expedited Policy Development Process, so the community could create some bottom-up policy.

The EPDP was essentially tasked with creating a way for the people who found Old Whois made their jobs easier, such as intellectual property lawyers and the police, to request access to the now-private personal data.

It came up with SSAD, which would be a system where approved, accredited users could funnel their data requests through a centralized gateway and have some measure of assurance that they would at least be looked at in a standardized way.

But, considering the fact that they would not be guaranteed to have their requests approved, the system would be wildly complex, potentially very expensive, and easily circumvented, the ODP found.

It’s so complex that ICANN reckons it will take between 31.5 and 42 months for an outsourced vendor to build, and that’s after the Org has spent two years on its Implementation Review Team activities.

SSAD timeline

That’s up to almost six years from the moment ICANN’s board of directors approves the GNSO’s SSAD recommendations. That could come as early as next month (but as I reported earlier today, that seems increasingly unlikely).

The ODA points out that this timetable could be extended due to factors such as new legislation being introduced around the world that would affect the underlying privacy assumptions with which SSAD was conceived.

And this is an “expedited” process, remember?

Ten years ago, under different management and a different set of bylaws, ICANN published some research into the average duration of a Policy Development Process.

The average PDP took 620 days back then, from the GNSO Council kicking off the process to the ICANN board voting to approve or reject the policy. I compared it to an elephant pregnancy, the longest gestation period of all the mammals, to emphasize how slow ICANN had become.

Slow-forward to today, when the “expedited” PDP leading to SSAD has so far lasted 1,059 days, if we’re counting from when Phase 2 began in March 2019. It’s taken 1,287 days if we’re being less generous and counting from the original EPDP kicking off.

Nelly could have squeezed out two ankle-nibblers in that time. Two little elephants, one of which would most assuredly be white.