[ December 15, 2010] Legal and Technological Preparation for ICANN's New gtlds Presented by: Paul D. McGrady, Jr. Shareholder Greenberg Traurig, LLP Jeff Neuman Vice President, Law & Policy Neustar, Inc. Ivor Sequeira Senior Director, Global Channel Management & Business Development Neustar, Inc.
Status of new gtldprogram Jeff Neuman Vice President, Law & Policy Neustar, Inc. Neustar, Inc. / Proprietary and Confidential / V2010-08-03
Status of new gtld Program» What is a new gtld?» What has happened to Date?» Overarching Issues» Proposed Final Applicant Guidebook» Government Communiqué 12/9/10» ICANN Board Resolutions from Cartagena» Where are we now? Making Networks Smarter
What is a new gtld?» gtld stands for generic Top-Level Domain.» The term gtld refers to the specific suffixes which appear at the end of Internet addresses and are used to route traffic through the Internet.» Some gtlds, such as.com or.biz, are intended for general use.» Others are intended for use by a specific community - such as.travel for the travel community.» New gtld Program?» The new gtld program is an initiative that will enable the introduction of new gtlds (including both ASCII and IDN) into the domain name space.» ICANN Fee for a new gtld?» $185,000 Application Fee with potential additional evaluation/dispute fees» $25,000 Minimum per year and $.25 variable fee for every name above 50k names Making Networks Smarter
Lots of History» June 08- ICANN Board approves GNSO Policy» Nov 08 Draft Applicant Guidebook (DAG) v. 1» Feb 09 DAG v. 2» May 09 DAG v. 2.5 (Excerpts)» May 09-- Implementation Review Team (IRT)» Summer 09 IRT Consultations» Oct. 09 DAG v. 3» Winter 09 Special Trademark Interests (STI)» Feb. 10 DAG v. 3.5 (Excerpts)» May 10 DAG v. 4» Nov 10 Proposed Final Applicant Guidebook 676767» Alphabet Soup: ZFA, HSTLD, TDG, VI-WG, IDN, JAS, Rec6... Neustar, Inc. / Proprietary and Confidential / V2010-08-03
Overarching Issues» Enhanced Trademark Protection» Trademark Clearinghouse» Uniform Sunrise or Trademark Claims Process» Uniform Rapid Suspension» Post Delegation Dispute» Thick Whois» Mitigating Malicious Conduct» More thorough vetting of Registries» DNSSEC» Document registry-level abuse contacts and procedures» Registry Code of Conduct» Expedited registry security request process Neustar Inc. / Proprietary and Confidential
Overarching Issues continued» Root Scaling» Studies performed» Batching of Applications» Annual Delegation rate will not exceed 1,000 per year» Economic Studies» Phase II Report released which looks at past behavior» Benefits of restricted gtlds, IDNs, community gtlds, etc.» Frequency of defensive registrations» Effectiveness of past trademark protection mechanisms» Vertical Integration» ICANN will not restrict cross-ownership between registries and registrars.» Registry agreements will include requirements and restrictions on any inappropriate or abusive conduct arising out of registry-registrar cross ownership with sanctions» ICANN will have the ability to refer issues to relevant competition authorities.» ICANN will have the ability to address possible abuses that may arise out of registryregistrar cross-ownership through the consensus policy process. Neustar Inc. / Proprietary and Confidential
Proposed Final Applicant Guidebook» Published in November 2010» Comment period technically ended December 10, 2010» Why Called Proposed Final» Allowed Board to consider public comments» Modeled after New gtld Program Budget Planning» Acknowledgement that the Guidebook will change» Process launch date TBD, but the process is ready to launch.
Government Response GAC Communiqué (Dec. 9, 2010)» Process Issues» Economic Study just made available» Comment period closed on the same date as the Board meeting» Outstanding Substantive Issues» Objection procedures for government require payment of fees» Process for reviewing sensitive strings (Early warning system?)» Root Zone Scaling» Registry-Registrar Separation» Protection of rights owners and consumer protection issues» Post delegation disputes with governments» Protection of geographical names» Providing opportunities for all stakeholders including those from developing countries
ICANN Board Resolution December 10, 2010 in Cartagena» Overarching Issues Basically done» Trademark Protection» Mitigation Malicious Conduct» Root Scaling» Economic Analysis» Vertical Integration» Morality and Public Order» Geographic Names BUT.
ICANN Board Resolution December 10, 2010 in Cartagena» Inter-sessional meeting with GAC in Feb. 2011 to discuss GAC Concerns» Staff directed to make revisions as appropriate to reflect public comment» Invites additional comment on morality and public order by 1/7/11» Invited additional comment on Applicant Support» Directs staff to prepare final guidebook to enable Board to make decision on the launch of the new gtld program as soon as possible
New gtld Timeline Best Guess 2010 2011 2012 June 2010 July 2010 Dec 2010 March 2011 Q3 2011 2Q 2012 3Q 2012 4Q 2012 4Q 2012 Draft Application Guidebook v4 Public Comment Begins AGv4 Public Comment Ends Application Guidebook Final Accept Applications Evaluations Complete (Simple) Contracts New gtlds Sunrise New gtlds First Come First Serve Note: 1. The above is only an estimate. ICANN has notset a specific timeline for new gtlds. 2. Simple gtldsapplications (those with a single applicant and no objections) will require 8 months for ICANN to evaluate; Complex applications will take 19 months Neustar Inc. / Proprietary and Confidential
New gtld s: The When, What, Why, and Who Paul D. McGrady, Jr. Shareholder Greenberg Traurig, LLP GREENBERG TRAURIG, LLP ATTORNEYS AT LAW WWW.GTLAW.COM 2010, Greenberg Traurig, LLP. Attorneys at Law. All rights reserved.
NEW gtld s : THE WHEN, WHAT, WHY, AND WHO New gtld's When: Based upon the ICANN Board s resolution indicating that the final hurdle will be a consultancy with the GAC, we expect the three month application window for new gtld applications will open in the third or fourth quarter of 2011.
NEW gtld s : THE WHEN, WHAT, WHY, AND WHO New gtld's When: 2011 What: New Content on Right Side of the Dot Generic term - e.g. <.copier> Branded term e.g. <.canon> Community terms e.g. <.copierassociation> Geographic indicator - e.g. <.cannonbeach>?
NEW gtld s : THE WHEN, WHAT, WHY, AND WHO New gtld's When: 2011 What: New Content on Right Side of the Dot Why: Why Depends on the Type Open Open TLDs are those which are registrable by anyone on a first come, first serve basis. The most famous open TLD is <.com> Open with restrictions branded or generic terms e.g. <.statefarm> or <.insurance>, which can be limited to registrations by only your licensees (e.g. your accounts, your licensees) Community These are limited to community members, for example, residents of Hershey, PA would be the only registrants of <.hershey> domain names
NEW gtld s : THE WHEN, WHAT, WHY, AND WHO New gtld's When: 2011 What: New Content on Right Side of the Dot Why: Why Depends on the Type Who: A Big Tent Brand owners who want to express brands Brand owners who want to dominate a generic industry term Entrepreneurs who want to compete with <.com>, <.co.uk> <.cn> <.in> and <.de> Clever squatters/prospectors Cities and other governments (.Cleveland) Communities
NEW gtld s : THE WHEN, WHAT, WHY, AND WHO New gtld's When: Current Application Deadline is Q1 2010 What: New Content on Right Side of the Dot Why: Why Depends on the Type Who: A Big Tent Risks of Inaction Permanent string preclusion. Loss of premium industry term to a competitor. Benefits of Action Centralized fraud/hacking defenses More control over interruptions Enhanced bankruptcy protections (know your registrar) Better traffic intelligence
NEW gtld s : THE WHEN, WHAT, WHY, AND WHO Pre-Application Activities Identify Backend Registry Provider Negotiate Backend Services Agreement - ICANN Technical Compliance - Service Levels - Ownership of Domain Names Prepare ICANN Application (cybersquatters need not apply) Register for ICANN Electronic Filing System File ITU Applications on Eve of ICANN Window
NEW gtld s : THE WHEN, WHAT, WHY, AND WHO Application Period File Application with ICANN File Public Comments on Other Applications File Trademark Objections on Other Applications Resolve Contention Sets (if necessary) - No Co-Existence Method in Current Version (although we have asked for one in latest comments) - Participate in Auctions
NEW gtld s : THE WHEN, WHAT, WHY, AND WHO Delegation Stage Negotiate Amendments to Form Registry Agreement with ICANN - Wind Down vs. Roll Over - Audits/Compliance - Effects of Changes to Consensus Policy - Participation in ICANN Negotiate Web Development Agreements to Reflect New Architecture
Neustar& Registry Services New gtld Services Overview Ivor Sequeira Senior Director, Global Channel Management & Business Development Neustar, Inc. Neustar, Inc. / Proprietary and Confidential / V2010-08-03
Registry Services Overview Neustar, Inc. / Proprietary and Confidential / V2010-08-03
Extensive TLD Registry Experience Neustar Inc. / Proprietary and Confidential
What is a Domain Name Registry-Registry Operator?» A domain name registry is a database of all domain names registered in a top-level domain.» The registry operator is an integral part of the Domain Name System (DNS) of the Internet and typically has the following responsibilities:» Maintaining the authoritative (master) database for the zone» Providing WHOIS» Providing a registrar interface through which domain names are registered» Updating and publishing the zone files» Operating the authoritative nameservers» Controlling the policy associated with domain name allocation» Stability and security of the space and the operation» Ensuring that the Registry operation meets all guidelines and RFCsset by ICANN, and other Standards organizations as required» Registrars are wholesalers that connect to the Registry. They typically sell to resellers or to Registrants (end users-customers). Neustar Inc. / Proprietary and Confidential
A Simple Picture of the Eco-System Neustar Inc. / Proprietary and Confidential
Are all Registries Exactly The Same?»Although all gtldregistries perform the standard functions, each are unique in its design and architecture.»having a partner rather than just a technical operator is important. Neustar Inc. / Proprietary and Confidential
Registry Services Neustar Inc. / Proprietary and Confidential
Shared Registry System (SRS) High-Availability (HA) Architecture No single points of failure Two fully redundant data centers Utilizes Best in Breed Software and Hardware Designed to be highly scalable, robust and secure Multi-tiered design for easy scaling and optimization Sophisticated Monitoring and Network Controls Multiple firewall and security layers Support for IDN and IPv6 Neustar Inc. / Proprietary and Confidential
Global DNS Infrastructure DNS Nodes Americas» California» Florida» Illinois» New York» Texas» Virginia» Colombia Europe» Luxembourg» London» Amsterdam Africa» Johannesburg Asia-Pacific» Beijing» Hong Kong» Sydney Neustar Inc. / Proprietary and Confidential
WHOIS High-Availability (HA) Design No single points of failure Operate from both data centers at all times Separated from SRS for maximum efficiency and performance Port 43 and Web Based Dynamically Updated Support for Privacy Options Process over 120 million WHOIS queries each month No unplanned downtime in over 8 years Neustar Inc. / Proprietary and Confidential
Functional Roles Back Office Front Office Neustar Inc. / Proprietary and Confidential
Internationalized Domain Names (IDNs) Compliant with RFCs and ICANN Guidelines Current support for 16 languages: German Norwegian Danish Japanese Korean Polish Latvian Finnish Swedish Icelandic Spanish Chinese Portuguese Lithuanian Hungarian Russian sãopaulo.biz 菲 仕 乐 厨 具.biz oglaševanje.biz 작명.biz játékok.biz pożyczka.biz alpinschule-schröcken.biz 教 えたい 学 びたい.biz latvijā.biz vektergården.biz Neustar Inc. / Proprietary and Confidential
Internationally Diverse Registrar Base Neustar Inc. / Proprietary and Confidential
What you should look for in a Registry?» Reputation and Capacity» Financially strong company with a reputation for integrity and reliability.» Organization, infrastructure, ability to scale; ability to servecustomers and growing/changing needs and markets.» Proven Experience» Providing gtldand cctldregistry services -operational stability, reliability and availability» Successfully launching, managing, and supporting new TLDsin a variety of flavors (authentication, finance and tax issues, changes in dns)» Years of experience in running highly secure, robust, global DNSwith support for DNSSEC» Ability to provide world-class, winning, proposal content Neustar Inc. / Proprietary and Confidential
What you should look for in a Registry?» Proven Experience (Continued)» Full, deep involvement and familiarity in ICANN policies, procedures and requirements» Policy development, including active participation in working groups, constituencies, and the GNSO» Working with partners to guide them through the process and to successfully launches and on-going operations» Designing, running, and managing IP protection mechanisms» Award Contract Delegation Sunrise Landrush GA» Sunrise Options» IP Claims» Sunrise - Traditional Model vs. Clearinghouse Model» Landrush Options» Open Auctions» Applications - Random Selection vs. Auctions» First-Come, First-Served - GA vs. Reverse Auction Neustar Inc. / Proprietary and Confidential
Why Apply for a New gtld?» Control everything to the left of the dot» No more looking to see what is available in.com» User-friendly URLs» www.companynameand www.product.brandvs. www.company.com/productname» Enhance and Extend online branding» Promote and extend your own brand (not.com)» Unify multiple brands under your own gtld» Improved search results» SEs likely to rank brand gtlds highly for associated brand keyword(s)» Brand Protection» Apply before companies with same Trademark in other categories» Improved security» Users can recognize address as belonging to company Neustar Inc. / Proprietary and Confidential
Neustar Overview // Seamless Connections // Trusted Security // Frictionless Innovation // Reliable Performance // About Neustar has two (2) major Network Operations Centers. Neustar, Inc. / Proprietary and Confidential / V2010-08-03
Facts Headquarters Sterling, VA Neustar, Inc. / Proprietary and Confidential / V2010-08-03
Financial Strength» Publicly Traded (NYSE: NSR)» FY 2009 Revenue: US $480.4M // About Strong balance sheet with virtually no debt. Neustar, Inc. / Proprietary and Confidential / V2010-08-03
Industries We Serve Carriers Business and Enterprise Associations, Government, and Regulatory Agencies Neustar, Inc. / Proprietary and Confidential / V2010-08-03
Solutions» Internet Protocol (IP)» Domain Name System (DNS)» Web Performance and Monitoring» Order Management» Mobile Messaging» Risk Management» Numbering Services» Domain Name Registry Services» Margin Management» Load Testing» Common Short Code» Digital Media & Entertainment Services» 2D Mobile Barcode 676767 Neustar, Inc. / Proprietary and Confidential / V2010-08-03
Neustar Customers Thousands of UltraDNS Enterprise Customers Over 280 Registrars 4,000 Network Operator Customers Worldwide Neustar Inc. / Proprietary and Confidential
Experienced Registry Operator If you're looking for a registry solution that is trustworthy and has a proven track record, talk to the folks at Neustar. Launching a new TLD is not a simple process and requires people and technical resources that will maximize your investment. Look no further. -Juan Diego Calle, CEO,.CO Internet S.A.S. Neustar was judged to be the best overall registry operator for bidders experience, track record, and ability to deliver operational performance, technological excellence, policy compliance, product innovation, and marketing. -US Department of Commerce Neustar Inc. / Proprietary and Confidential
Thank You Paul D. McGrady, Jr. Shareholder Greenberg Traurig, LLP mcgradyp@gtlaw.com Jeff Neuman Vice President, Law & Policy Neustar, Inc. Jeff.Neuman@neustar.biz Ivor Sequeira Senior Director, Global Channel Management & Business Development Neustar, Inc. ivor.sequeira@neustar.biz