News Review: ICANN, New gTLD Domain Names, Consumer Fraud

Domain Mondo's review of the past week and look ahead [pdf]: 

Consumer Fraud, ICANN, and new gTLD domain names? A lot of misinformation has been propagated about new gTLDs (new generic top-level domains), by both ICANN and its domain name industry partners a/k/a ICANN's customers, and at the same time, important information for consumers (domain name registrants) concerning universal acceptance issues in new gTLDs--new gTLD domain names "failing to work as expected on the internet" or "break stuff,"--has not been fully disclosed by either ICANN or its partners.

New gTLD domain names and Google Search Rank: here's the truth--What The New ICANN Domain Names Mean For Google Rankings & SEO: Nothing | SearchEngineLand.com--read that June 20, 2011, posting for all the particulars. But below is an example of the misleading, deceptive, false, unfair or fraudulent claims that ICANN's partners are still pushing in the marketplace to an unaware, uninformed consumer public:

False claims about ICANN's new gTLDs exposed--new gTLD hucksters slapped down again by Google's John Mueller--

"Google says keywords in the TLD part of your URL are ignored for ranking purposes | SearchEngineLand.com: "Google’s John Mueller confirmed yesterday in a Google Hangout that keyword-rich TLDs, such as the new top-level domains that have keywords in them — like .LIVE, .NEWS, .ATTORNEY and so on — do not count for ranking purposes. Mueller said Google completely ignores that for ranking purposes. He said this at the 12:45 minute mark into the hangout: “The TLD is not something we take into account there,” he said, and added that they [Google] “completely” ignore the words in the TLD portion of the URL. There was some controversy recently around a sponsored article published here on Search Engine Land, Can moving to a new TLD boost search rankings? That article [purportedly] showed how one lawyer switched from a .COM to a .ATTORNEY domain and saw a nice lift in organic traffic. Both Mueller and Gary Illyes from Google said this is not true and urged webmasters not to switch from their current TLDs to the new TLDs for “vague promises” of ranking boosts." (emphasis added)

If you dig down into that "sponsored article" cited above and its underlying "report," you 'discover' how the results are tainted by comparing a stale .COM website and a redeployed new gTLD website utilizing a SEO (search engine optimization) content strategy:

"In addition to the relaunch, Eric’s team concentrated on posting blog entries (initially about seven per month) containing keywords they hadn’t yet been ranked on search results. Very quickly, Jacksonville.Attorney started seeing fantastic results in organic Google listings." (emphasis added)

That's no surprise to anyone familiar with search engine optimization and improving Google search rank by regularly posting fresh original content. When it comes to "Google search rank," having a new gTLD (new generic top-level domain a/k/a domain name extension) will not help you. No matter how many times the new gTLD hucksters try to mislead you, no matter that ICANN does nothing to stop this misinformation from being propagated by its "partners," no matter how much Akram Atallah or others at ICANN, or Rightside, or Donuts, or Afilias, or ARI Registry Services n/k/a Neustar might wish it to be true, it just isn't. Listen to what Google and others have confirmed over and over again. Don't listen to the people trying to make a buck by misleading you. For ICANN and the hucksters, it's all about the money.

ICANN doesn't care about consumers (domain name registrants or internet users) other than to help its "partners" exploit domain name registrants for purposes of monetary gain. See also Consumer Trust? Not at ICANN Compliance | circleid.com and ICANN Fails Consumers (Again) | circleid.com: "The Compliance department of ICANN is an unmitigated disaster when it comes to earning the consumer trust."

I doubt this will be the last time Google has to "correct the record" concerning search rank and new gTLDs. The new gTLD hucksters continue spreading this same big fat lie, over and over again. Eventually the FTC (Federal Trade Commission) or state consumer protection agency(s) or one or more state attorney generals, or some Attorney in a court of law, will hold them accountable via an award of money damages or imposition of fines and penalties for consumer fraud. One would think that new gTLD hucksters realized by now that their phony baloney about new gTLDs and Google search rank just paints them as pathetic liars.

Today, even when a domain name registry operator representative tries to impart useful information for domain name registrants--see, e.g., 7 Key Questions to Ask When Choosing a Domain Name Extension | circleid.com--she (or he) is immediately attacked by one or more new gTLD trolls--my published comment to the article cited above:

"Useful information Jeannie, particularly for domain name registrants (and please ignore the new gTLD trolls). But you could have also added "pricing predictability" in renewing .COM domain names compared to new gTLDs. One issue you did raise, known as the "universal acceptance" problems of new gTLDs "failing to work as expected on the internet" and "breaking stuff" is very problematic for both domain name registrants and end users. ICANN tried to absolve itself of all liability for universal acceptance problems in its registry agreements with new gTLD registry operators. One or more class actions on behalf of new gTLD domain name registrants may be forthcoming once the IANA transition is complete." (link added)

See also on Domain Mondo:  New gTLD Domain Names, Defects, ICANN Liability, FTC Complaints and ICANN, Domain Registry Operators, Monopoly, Antitrust, FTC Statement.

********

•  Different strokes for different folks re: IANA stewardship transition--

• Bloomberg | BNA.com: "[Larry] Strickling told reporters June 9 that NTIA is also studying a provision in pending appropriations legislation that would prohibit the agency from spending money to effect the transition. But he said the contract will expire of its own accord Sept. 30, and he didn't believe allowing the contract to expire would violate the prohibition." (emphasis added)
• The Battle Over Obama’s Internet Surrender | WSJ.com: "... Time is running out for Congress to insist that the U.S. continue to protect Americans and everyone around the world who values the open internet."  See also Opinion Journal: Adios, Internet Freedom? (video) | WSJ.com:  Columnist Gordon Crovitz on the Obama Administration's decision to give up control of the Internet's domain name system.

ICANN Hub Offices & Engagement Offices (source: icann.org)

• ICANN & Online Censorship: Other than LA, ICANN also has "hubs" in Istanbul (Turkey) and Singapore (both selected while Fadi Chehade was ICANN President & CEO--he planned on "moving to Singapore")--both of which appear to be actively censoring the internet: Singapore cuts off web access for government workers | CNN.com: "... The move was criticized online as being a retrograde step and one that could lead to wider restrictions on internet freedom in the city-state."  As for Istanbul, since 2013, Freedom House ranks Turkey as "Not Free."

• Shuffling chairs on the deck of the Titanic: Changes to ICANN’s Global Leadership Team | ICANN.org.

• Governance Risk: ICANN's Board of Directors should be held to the standards of a fiduciary (stewards of a global public resource). Unfortunately, ICANN Directors fall far short in executing their duties as fiduciaries--Three Ways to Identify Governance Risk | cfainstitute.org: "The recent tribulations of Zenefits, a San Francisco start-up operating in the health insurance and human resources space, demonstrate how analyzing a firm’s culture can help identify potential red flags. Earlier this year, Zenefits’s replacement CEO announced that the company suffered from issues with its culture and tone, writing that “our internal processes, controls and actions around compliance have been inadequate.” One month later, Fidelity announced that it was marking down its investment stake in the company ... As a fiduciary, ... once you’ve identified something as a risk, you have no choice but to look at it.”--London-based Newton Investment Management recommends before investing conducting thorough research to analyze and understand a company on three particular levels:

• Board of Directors: How is the board composed in terms of diversity, tenure, and independence? [In the case of ICANN you should probably add as important criteria both competence (it's not an 'honorary' appointment) and conflicts of interest.] 
• History: Does the company have a track record of ... carelessness or infractions [e.g., dot SUCKS, dot AFRICA, dot AMAZON, NETmundial Initiative (outside mission and scope), secrecy (see ICANN Internet Governance Initiatives Sanctioned by Secret September Board Resolution | InternetCommerce.org), new gTLD fiascos, conflicts of interest, etc.]?
• Culture: How does the firm engage with the [global internet] community and exercise stewardship over shareholder [stakeholders, domain name registrants, et al] resources [e.g., the global DNS, and millions of dollars in fees collected from registrants worldwide from each gTLD domain name registered]?

•  Cybersquatters beware: Cyber-pest ordered to pay $1,946 in legal costs to Donald Trump | NYDailyNews.com: "... Yung sued Trump to overturn a judgment by the World Intellectual Property Organization to transfer four domain names he owned bearing the real estate mogul's name: trumpindia.com; trumpmumbai.com; trumpabudhabi.com; and trumpbeijing.com. Trump counter-sued under the Anti-Cybersquatting Consumer Protection Act. Federal Judge Dora Irizarry ruled in 2014 that Yung was trying to profit off Trump and ordered him to surrender the infringing domain names plus $32,000 in legal fees ..."

•  Still no word from ICANN about the new RZMA (Root Zone Maintainer Agreement) with Verisign.

•  Still no word from ICANN about date/time of its webinar re: Proposed Amendments to Base New gTLD Registry Agreement (comments close 13 Jul 2016 23:59 UTC).

•  Comments close this coming week at ICANN on Revisions to ICANN Expected Standards of Behaviors 25 Jun 2016 at 23:59 UTC.

•  U.S. Court of Appeals affirms FCC on net neutrality - next stop Supreme Court? Maybe not.

•  Russian State Censor Can Now Un-Delegate Website Domain Names Extrajudicially | Global Voices.org.

•  Intellectual Property Rights? Jack Ma Says Fakes “Better Quality and Better Price Than the Real Names” | WSJ.com: "They are exactly the same factories, exactly the same raw materials but they do not use the names.” Mr. Ma’s comments caused social-media outrage among some who felt he was dodging responsibility for the longstanding presence of counterfeit goods on Alibaba’s online bazaar Taobao [taobao.com]..."

•  Apple $AAPL & China: The intellectual property regulator of Beijing orders Apple to stop selling the iPhone 6 and iPhone 6 Plus | WSJ.com.

•   Nothing Succeeds Like Failure--at Yahoo--“Her core mistake was this belief that she could reinvent Yahoo”--Yahoo’s Marissa Mayer Stumbled After Secret Truce With Investor | WSJ.com:  "As tough as her job was from the start, Ms. Mayer made things even worse ... She failed to produce the pledged cost savings, plunged even deeper into her turnaround efforts and clung to the idea that she was going to save Yahoo, even when it became clear to insiders and other observers that the company was beyond saving ... If Yahoo is sold and Ms. Mayer is terminated as a result, she stands to receive about $55 million. Since joining Yahoo, she has received $118.2 million in cash and equity compensation ..." See also: How Yahoo derailed Tumblr | mashable.com and Here's What Happened To All 53 of Marissa Mayer's Yahoo Acquisitions | gizmodo.com.

• Bad Bots Behavior: On Artificial Viewers, Followers, and Chat Activity | blog.twitch.tv: "We at Twitch are well aware that view-bots, follow-bots, and chat-impersonation bots are a persistent frustration ... For those unaware, these bots are used to artificially inflate the apparent view count, follower count, and chat activity on a Twitch channel ... Other times, bots are used to harass other broadcasters in order to attempt to deny them partnership, or get their channel suspended. All of this is enabled by bot services offered by a handful of sellers who make misleading claims for their own commercial benefit." (emphasis added)

•   Brexit Vote is Thursday, June 23, read more at:  Brexit: EU Referendum Was A Terrible Mistake by David Cameron (video) | DomainMondo.com.

•  Five most popular posts (# of pageviews Sun-Sat) this week on DomainMondo.com:

1. News Review [12Jun]: IANA Transition Has Already Cost ICANN Over $28 Million
2. Systemic Risk and Asset Management in the Post Crisis Era (videos)
3. New gTLD AFRICA Litigation: Defendant ZACR Dismissed as a Party
4. WeChat, China's Everything App, Why Facebook Is Very Jealous (video)
5. TIE: a) Marc Andreessen on Twitter $TWTR, Startups, Technology, IPOs (videos) and b) FIFA Corruption Scandal A Warning for ICANN Post IANA Transition (video)

•  8 Other Reading Recommendations:

1. Internet of Things (IoT): Nest’s Biggest Problem Wasn’t Tony Fadell | technologyreview.com: "... most of us still aren’t convinced that we need or want all of our home appliances to be connected to the Internet."
2. Why Startups Are Struggling | technologyreview.com: "...“Even as the number of new ideas and potential for innovation is increasing, there seems to be a reduction in the ability of companies to scale in a meaningful and systematic way.” As many seeds as ever are being planted. But fewer trees are growing to the sky."
3. Dinosaur watch: 4 Reasons Microsoft Wasted $26.2 Billion To Buy LinkedIn | Forbes.com.
4. Easy Come, Easy Go: Li Ka-shing’s Fortunes Slide - China Real Time Report | WSJ.com: "Mr. Li was once Asia’s richest man, but is now third behind Alibaba Group Holding Ltd. Chairman Jack Ma and Dalian Wanda Group Co.’s Wang Jianlin, according to Bloomberg."
5. " ... This Looks Terrible | WolfStreet.com: "... the Fed’s Industrial Production Index has been falling since November 2014. In May, it dropped to 103.6, down 2.9% from its peak in November. It has been in decline for 18 months! Every time this kind of decline occurred in recent decades, it was associated with a recession ..."
6. The World Nears Peak Fossil Fuels for Electricity | Bloomberg.com: "... eight massive shifts coming soon to power markets. 1. There Will Be No Golden Age of Gas ... costs of wind and solar power are falling too quickly for gas ever to dominate on a global scale ... rock-bottom prices won't be enough to derail a rapid global transition toward renewable energy ... peak year for coal, gas, and oil: 2025 ... 2. Renewables Attract $7.8 Trillion ... 3. Electric Cars Rescue Power Markets ..."
7. How to Psychologically Prepare Clients for Bear Markets | AdvisorPerspectives.com: "... it helps to understand that you, your clients and all the investors who are panicking as the bear claws its way through the markets are operating with three very different brains: (1) the Neo-cortex; (2) a set of ganglia below it that has the processing power of an unusually smart cat; (3) below that at the top of the spine, a cluster of neurons which, together, possess roughly the thinking power of a lizard ..."
8. Ego is the Enemy: The Legend of Genghis Khan | farnamstreetblog.com: "No matter what you’ve done up to this point, you better still be a student. If you’re not still learning, you’re already dying."

Have a great week!

-- John Poole, Editor, Domain Mondo

feedback & comments via twitter @DomainMondo
Follow @DomainMondo

DISCLAIMER

News Review: New gTLDs 'Nobody Cares About' - ICANN's Trash Problem

Domain Mondo's News Review of the past week and look ahead [pdf here]:

“... disappointed with how this whole program [ICANN's new gTLDs program] has evolved … the internet is now littered with a lot of TLDs that nobody cares about …” --Craig Schwartz, ICANN's former Chief gTLD Registry Liaison (2006-2011), interviewed on DNW Podcast #81, April 25, 2016 (starting at 27:56).  

It is unusual to hear a former ICANN staffer and new gTLD domain name industry insider, like Craig Schwartz (.BANK and .INSURANCE), be so honest and frank in assessing ICANN's new gTLDs program a/k/a ICANN's boondoggle. Schwartz's comment now ranks up there with the letter sent to new gTLD registry operator Rightside, by investor J. Carlo Cannell of Cannell Capital LLC:

"Most of these new gTLDs are irrelevant and will never be sold in material volumes. NAME [Rightside] is holding back the growth potential of your registrar by pushing garbage extensions to a user base that quietly knows better ..." (emphasis added)

Just how badly has ICANN 'littered' the internet with new gTLDs (new generic top-level domains) that 'nobody cares about'?  Take a look at the current Root Zone file of all TLDs, and even that does not include new gTLDs not yet delegated, a few of which have already been surrendered back to ICANN, which is probably one of the smartest moves any of the new gTLD registry operators or applicants have made to date. ICANN Accountability? ICANN has a lot of problems, functionally, and ethically, both as an "organization" (California non-profit corporation), and as a "community." You can start with its dysfunctional Board of Directors and leadership (just look at the past 2 CEOs), but that's just the tip of the iceberg.

ICANN, the corporation and the community, having foolishly opened a Pandora's box with the ill-conceived, misbegotten new gTLDs policy and program, is now trying to close the barn door after the horse has bolted via several different ongoing separate processes, including:

• Universal Acceptance issues: new gTLDs which fail to work as expected on the internet
• Rights Protection Mechanisms: trying to curb the rampant cybersquatting (trademark infringement) in new gTLDs
• Competition, Consumer Trust and Consumer Choice Review (the 3 false narratives used to justify adding 1000+ unwanted and unneeded new gTLDs to the Internet Root)
• New gTLD Subsequent Procedures here we go again! 

What was the market demand, innovation, or need to justify adding 1000+ new gTLDs (on top of 22 gTLDs and more than 100 ccTLDs in an already well-functioning global domain market)? There wasn't one. It was all about the money, for ICANN, and supposedly for registrars and registry service providers and operators, who dominate and control ICANN structures and processes. But we know about fools and their money.

So what should all the new gTLD proponents, from former ICANN Chairman Peter Dengate Thrush (who resigned from the ICANN Board after approving the new gTLDs program to try to cash in on new gTLDs), and former ICANN CEOs Rod Beckstrom and Fadi Chehade, to people who have already lost money, or their jobs like two former CEOs of  Minds + Machines (see here and here), have already learned? There are many, many lessons, but for those in the new gTLD domain name industry, number one is probably this: "be wary of competing in an established marketplace. Especially one with long entrenched players. You are going to hit headwinds from minute one" (hat tip).

•  Speaking of long entrenched players, Verisign continues to take steps to protect its market-dominant brand .COM globally, including in China, CNNIC: "On 28 April, 2016, Patrick Kane, the vice president of Verisign has paid a visit to CNNIC. Researcher Xiaodong Lee, Director of CNNIC and Patrick Kane have discussed the cooperation in the field of domain names. CNNIC and Verisign have signed a cooperation agreement on 19 April that CNNIC will provide real name and domain name verification services free of charge to ".COM", “.NET” and other top-level domains managed by Verisign." CNNIC (China Internet Network Information Center) is the administrative agency responsible for Internet affairs under the Ministry of Information Industry of the People's Republic of China, and manages China's ccTLD .CN and the "Chinese Domain Name system (Internationalized domain names that contain Chinese characters" (Wikipedia).

• It is ironic that "pricing" which is the greatest .COM competitive advantage in the domain name marketplace beyond just "brand recognition"--price stability, price predictability, price protection--is only referenced under "Risk Factors" in Verisign's Form 10-Q filed with the S.E.C. on April 28, 2016:

"Pricing . Under the terms of the Cooperative Agreement with the DOC and the .com Registry Agreement with ICANN, we are generally restricted from increasing the price of registrations or renewals of . com domain names except that we are entitled to increase the price up to 7%, with the prior approval of the DOC, due to the imposition of any new Consensus Policies or documented extraordinary expense resulting from an attack or threat of attack on the security and stability of the DNS. However, it is uncertain that such circumstances will arise, or if they do, that the DOC will approve our request to increase the price for .com domain name registrations. We also have the right under the Cooperative Agreement to seek the removal of these pricing restrictions if we demonstrate that market conditions no longer warrant such restrictions. However, it is uncertain that such circumstances will arise, or if they do, that the DOC will agree to the removal of these pricing restrictions. In connection with a renewal of the . com Registry Agreement, we can seek an increase of the price for . com domain name registrations. Regardless of whether we seek such an increase, there can be no assurance of the price that DOC will approve in connection with a renewal of the . com Registry Agreement. Under the terms of the .net and .name Registry Agreements with ICANN, we are permitted to increase the price of registrations and renewals in these TLDs up to 10% per year. Additionally, ICANN’s registry agreements for the new gTLDs do not contain such pricing restrictions" (emphasis and link added). Note that the current expiration date of the Cooperative Agreement is November 30, 2018, subject to the U.S. Department of Commerce's rights to extend 'in its sole discretion.'

What prudent business owner wants to establish a website on a new gTLD domain name address where the landlord (new gTLD registry operator) can increase the "rent" from year to year without limitation? ICANN, the corporation and the community, decided there was no "public interest" in the new gTLDs policy and program, and unleashed the new gTLDs program with monopolistic predatory pricing built-in, including bait-and-switch pricing practices.

• Finally in regard to Verisign, April has come and gone without any final word about, or posting, from ICANN or Verisign about the 10-year extension of the .COM registry agreement and the new Root Zone Maintainer Agreement. Last word from ICANN on April 27th: "ICANN and Verisign continue to engage in discussion to prepare for a RZMA. The current plan for completion of a draft RZMA is the end of this month [April]"--IANA Stewardship Transition Planning Update | ICANN. D. James Bidzos, President, CEO & Executive Chairman of Verisign, commented during the Q1 2016 earnings conference call on April 28: "As we discussed during the last call, ICANN and VeriSign are in the final stages of preparing the Root Zone Maintainer Agreement and the .com Registry Agreement extension documents. We continue to make progress and we'll provide periodic updates as appropriate on our progress towards these objectives."

• In the world of tech: In Q1 2016 earnings results reported this past week, Apple reported its first decline in revenues since 2003, while Facebook and Amazon continued to beat consensus estimates. Yahoo CEO Marissa Mayer made $36M in 2015 as disclosed in a 10-K amendment filed Friday. Co-founder and "Chief Yahoo" David Filo? $1.00. Meanwhile Yahoo reaches deal to sell Santa Clara land to Chinese company | Silicon Valley Business Journal. See also: Yahoo got bigger and became mediocre says Ex-President Sue Decker | CNBC.com and Yahoo! -- $8 Billion or B/O | Craigslist.org.

• Earnings Season schedule this week on Domain Mondo's Earnings Calendar:

• GoDaddy $GDDY Wednesday, May 4, After Market Close
• Alibaba $BABA Thursday, May 5 Before Market Open
• Web.com $WEB Thursday, May 5 After Market Close

• This past week's five most popular posts on Domain Mondo (# of pageviews Sun-Sat):

1. News Review [24 Apr 2016]: ICANN Bylaws, Comments, ICANN Chairman's Op-ed Flops
2. Twitter $TWTR Q1 2016 Financial Results April 26, Gary Vaynerchuk Video
3. Amazon $AMZN, Neustar $NSR, Verisign $VRSN, Q1 2016, April 28
4. Facebook $FB Q1 2016 Financial Results, LIVE Webcast April 27 5pm ET
5. Apple $AAPL Q1 2016 Results, Used iPhones Resistance in India (video)

Honorable Mention: Apple's First Revenue Decline in 13 Years (video) & Mobile Ate The World

• Other Recommendations (with a little taste of the content or my commentary):

1. Apple's Numbers - Lefsetz Letter: "So we’re down to three, Amazon, Google and Facebook, Apple is over."
2. Might want to make that 'down to two'--Larry Page Punts on a Chance to Explain Alphabet’s Woes | MIT Technology Review: "Every year since Google went public in 2004, its founders have published a letter explaining their vision of the company’s future and current business—until this year. Breaking that 13-year tradition neatly helped Larry Page and Sergey Brin avoid having to update the world on how Alphabet, the holding company they created last year, is doing. Lately there have been signs that the company ... is troubled." See also Google faces first EU fine in 2016 with no deal on cards: sources | Reuters.
3. Alibaba's UC Browser launches in Kenya | Targets Africa's growing mobile population | TechMoran: "UC Browser has over 65.9% market share in China and [is] the leading browser in India with over 34% market share according to StatCounter. Alibaba Group acquired UCWeb in June 2014 ..."
4. Even at 1.0, Vivaldi closes in on the cure for the common browser | Ars Technica
5. FCC chairman, Justice Department sign off on Charter's takeover of Time Warner Cable - LA Times: "The union of three cable companies -- Charter, Time Warner Cable and Bright House -- accelerates the consolidation of media by creating the second largest cable TV and Internet service provider in the nation with more than 23 million customers in 41 states.  Only Comcast Corp. will have more cable customers."
6. Mark Zuckerberg’s audacious plan to control Facebook as he sells his stock, explained | Vox
7. As a follow-up to noting last week HTC's rise among Android smartphones, the rumor mill is that HTC will make the next Nexus phones | The Verge.
8. Warren Buffett's Long Road Back Into Manufacturing - Bloomberg But don't forget that Buffett is one of the largest stockholders in Verisign and other "utilities."
9. Unmasking the Men Behind Zero Hedge, Wall Street's Renegade Blog - Bloomberg: "...The site’s ethos is perhaps best summed up by the tagline at the top of its homepage, also borrowed from Fight Club: “On a long enough timeline the survival rate for everyone drops to zero.” ... hell-bent on bringing down the corrupt system of the global elite—an attitude often reflected in Zero Hedge’s content. With that in mind, the website has argued that “pseudonymous speech” is necessary ..."
10. San Francisco’s long shadow - Washington Post: "the nation’s housing boom, bust and recovery over the last cycle has exacerbated inequality along lines of geography, race and income."
11. The limitations of Big Data, advertising, and experts: "Cruz's operation was oriented around microtargeting various types of voters using big data ... Trump's operation essentially consisted of the candidate doing news interviews, flying around to speak at rallies, and issuing direct public statements on channels like Twitter ... Unlike Cruz, he appears to have done no polling or other type of opinion research. Rather than microtargeting, Trump aimed for mass appeal among the GOP electorate ... If you had described these two approaches to any professional in politics before the campaign started, they would have predicted Trump to fail spectacularly ..." --Rich Danker in What Trump Saw and Cruz Did Not | The Weekly Standard.
12. Some good news following up on my "good news" mention last week of the new Acer Chromebook 14 for Work, note that HP announced this week its own new HP Chromebook 13: up to 16GB RAM; QHD+ panel with 5.76 million pixels (3200 X 1800 pixels), razor-sharp text and photos and video; up to 11.5 hours of battery life; Bang & Olufsen audio; 802.11ac dual-band wireless; 32GB of storage; webcam; SD card reader, integrated Intel HD 515 graphics; USB-C ports for charging and connect peripherals like external storage; available USB-C dock for connectivity to ethernet, external displays, other peripherals; available May 6th; starting price $499. Sounds like HP just gave Acer some competition!

Have a great week!

-- John Poole, Editor, Domain Mondo

Follow @DomainMondo

DISCLAIMER

ICANN Finally Releases APNIC Report on New gTLDs UA Problems

Universal Acceptance (UA) screenshot from ICANN Quarterly Stakeholder Call August 20, 2015

"What data or metrics is ICANN capturing or measuring about new gTLDs Universal Acceptance issues, i.e., new gTLD domain names “failing to work as expected on the internet” and reportedly “breaking stuff”? Is this data being captured on an on-going basis? Will the data or metrics be published so the global Internet community and domain name registrants may be advised of “defect” issues relating to ICANN’s new gTLDs domain names?" -- Question asked by John Poole, editor of Domain Mondo at ICANN Quarterly Stakeholder Call, August 20, 2015

When the above question was asked on August 20, 2015, Fadi Chehade, ICANN CEO, referred it to Global Domains Division President, Akram Atallah, who basically indicated there were no such metrics or data being captured on an ongoing basis and did not mention the APNIC report. Then ICANN CTO Dave Conrad answered and indicated the "APNIC" Report had been published on the ICANN website and he would provide the URL before the stakeholder call concluded. At the conclusion of the stakeholder call, Conrad entered the following into the chat window:

David Conrad: My apologies, it seems that the report on the study on Universal Acceptance we developed with APNIC has not yet been released -- we wanted to look at the data a bit more.  We anticipate a release of the report very soon.

The referenced APNIC report (pdf) was finally released September 14, 2015. It is of limited scope and use, however the biggest takeaway was stated by David Conrad:

"There will need to be changes to systems and software to fully leverage the global opportunities these new TLDs enable."

The transcript of the Quarterly (FY15 Q4) stakeholder call on August 20, 2015, is still not available as of September 16th (3pm ET), but the recordings and presentation may be accessed here.

For more information about Universal Acceptance "problems" with ICANN's new gTLDs (new generic top-level domains) see Domain Mondo posts:

• Security Firm Recommends Blocking ICANN's "Shadiest" New gTLDs 01 September 2015
• Why New gTLD Domain Names Fail To Work Across the Internet 06 January 2015
• ICANN, New gTLD Domain Names, Universal Acceptance Another #FAIL 14 October 2014
• ICANN 52, Universal Acceptance, New gTLD Domain Names "break stuff" 09 February 2015

and
ICANN website on Universal Acceptance
and maillist: http://mm.icann.org/pipermail/ua-discuss/

Maillist posting of September 16, 2015, by ICANN Board Member Ram Mohan (and Chair, UASG):

"BlueCoat <https://www.bluecoat.com/company-overview>, a security vendor used by most of the Fortune 500, released a report on the Web’s shadiest TLDs <https://www.bluecoat.com/company/press-releases/blue-coat-reveals-webs-shadiest-neighborhoods> on Sep 1, 2015. They recommend to their 15,000+ customers to block all listed TLDs (report attached). Most of these are new gTLDs. There are implications for universal acceptance. This will result in some discussion at the upcoming UA Coordination Summit in Horsham tomorrow and Friday. The summit will have a conference bridge for anyone interesting in participating. Don Hollander will provide details."    -Ram Chair, UASG [BlueCoat report (pdf)] (emphasis added)
and
http://mm.icann.org/pipermail/ua-discuss/2015-September/000399.html
"BlueCoat’s methodology is discussed in some security group mailing lists. My understanding is that in the case of .zip, there were instances of <file>.pdf.zip which allowed for drive-bys, malware etc. regardless of the state of name registration. -ram"

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DISCLAIMER

ICANN is NOT a new gTLDs Marketing Agency: ICANN 53 Review, Part 3

Akram Atallah, President of  ICANN's Global Domains Division, on the "hot seat" at ICANN 53

It had to happen at some point, a mature realization that the hype and mania which formed and launched ICANN's new gTLDs program was misplaced. Signs of this epiphany were very much present at ICANN 53, which just concluded in Buenos Aires, Argentina. From stakeholders to ICANN Board Members, the judgment is emerging that the new gTLDs were a product of bad policy making, both in substance and process, as well as "horrible implementation" and the disappointing sales are self-evident proof that the policy and program were not grounded in market reality, and as a result, examples of lack of consumer demand abound. In addition, problems with new gTLD domain names "failing to work as expected on the Internet" (i.e., Universal Acceptance issues), as well as questions about new gTLDs having a negative impact on Internet root stability, are now being taken seriously.

ICANN staff, particularly Akram Atallah (see photo above) and his GDD staff, received a jolt when their underhanded attempt to apply new gTLDs URS policy against domain name registrants of legacy gTLD .TRAVEL (and by implication, all legacy gTLDs: .COM, .NET, .ORG, etc.) received an overwhelming negative response in comments posted, as well as at ICANN 53, including Philip Corwin, of the Internet Commerce Association, raising the issue throughout the meeting from Sunday through Thursday's last day public forum. "Desire for uniformity of the Registry Agreement" is a poor excuse for ICANN staff attempting to bypass stakeholder policy-making processes, and make "uniform" that which was specifically made not to be uniform, not to mention the variations and lack of uniformity within all the new gTLD registry agreements. In addition, it is hardly "voluntary" when ICANN staff prepare and present a Registry Agreement with the URS included, to a renewing legacy gTLD registry operator. Note to ICANN and Akram Atallah--start being honest for once, and stop making excuses--take the URS out of legacy gTLD registry agreements until it has been approved through a stakeholder PDP. The "affected parties" are primarily domain name registrants, and ICANN staff has no clue about domain name registrants since there is no domain name registrants stakeholder group within ICANN. ICANN officers and staff tend to forget that new gTLDs are an "experiment" and total less than 2% of all domain names registered globally. Domain Mondo hopes they "got the message."

Here are excerpts from ICANN 53 relating to new gTLDs and the above:

Krisitna Rosette (Amazon): "FWIW, Chris Disspain [ICANN Board Member] told ALAC this morning that the new gTLD round should not have gone forward when it did because the policies weren't done.  So, at least one Board member thinks that more policy work needs to be done." 

Slide from Universal Acceptance issues presentation at RySG ICANN 53 meeting

Slide above: Universal Acceptance--domain names "failing to work as expected on the internet"--is a problem for all new gTLDs (new generic top-level domains) and any TLD of more than 4 characters (note: there are no legacy gTLDs (e.g., .COM, .NET, .ORG, etc.) of more than 4 characters.) The last line is the kicker: "It's an issue if registrants can't effectively use their names."

From the Universal Acceptance topic at the Generic Registry Stakeholders Group session at ICANN 53:

“We don’t want the message going out into the market that new gTLDs don’t work but there is a problem that needs to be fixed.”

Even at the ICANN public forum on the last day (Thursday) of ICANN 53, the Universal Acceptance "defects" problems of new gTLD domain names were publicly acknowledged. After a new gTLDs lobbyist (a/k/a stakeholder) spoke and urged ICANN to undertake a multi-million dollar promotional campaign for new gTLDs (and new gTLD registry operators), ICANN Board member Mike Silber delivered the coup de grâce:

ICANN is NOT a marketing agency for new gTLD domains says ICANN Board Member Mike Silber at #ICANN53 Public Forum #newgtlds #domains

— Domain Mondo (@DomainMondo) June 25, 2015

In summary:
New gTLDs registry operators should not count on getting "marketing support" from ICANN, the DNS coordinator, and the net auction funds are going to be the subject of a lengthy community process. Some in the ICANN community definitely do not want any of the funds to be used to benefit the new gTLDs registry operators or applicants. In their view, new gTLD Registry operators and applicants knew, or should have known, the risks they were taking on, and that ICANN was never a guarantor of success nor a joint venture "partner."

ICANN is now in the process of selecting a contractor to study the impact of new gTLDs upon the stability of the root and issue a final report in 2017, which will require further steps thereafter by the ICANN staff and community. Therefore, the next round opening for new gTLDs applications, based on what was said at ICANN 53: 2018-19 best case scenario. Of course, by that time, one or more of the new gTLD registry operators will have filed bankruptcy or gone "out of business," probably bad-mouthing ICANN all the way out the door, similar to what Executive Chairman and Co-Founder of new gTLDs registry operator Minds + Machines (MMX), Fred Krueger, did after he recently left MMX and promptly sold 14,000,000 of his MMX shares, posting on Facebook: "One of the advantages of leaving MMX is that I am finally done with ICANN — which is one of the single worst organizations I have come across on this planet..."

We feel your pain Fred, but if you feel that way, why did you invest so much of your time and money in ICANN's new gTLDs program? You should have done your due diligence before you made your investment. By 2018, it's going to be the same old story, more Fred Krueger type rants, over and over again. Akram, better get used to all the rants bad-mouthing ICANN from failing new gTLD registry operators!

Note: this is the third and final part of the 3-part series ICANN 53 Review. Links to the ICANN budget for FY16 (fiscal year July, 2015-June, 2016) and other ICANN 53 related links will be posted this week on Domain Mondo's Links and ICANN pages. The previous two posts in this series can be read here:

• ICANN 53 Review, Part One: IANA Transition and ICANN Accountability
• FBI and FTC Join ICANN, GAC, PSWG: ICANN 53 Review, Part Two

See also on Domain Mondo:

• New gTLD Domain Names, Defects, ICANN Liability, FTC Complaints
• New gTLD Domains, the Walking Dead and Dying, ICANN FY15 Results
• Is It ICANN's Job To Market New gTLD Domain Names?

Caveat Emptor!


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New gTLD Domain Names, Defects, ICANN Liability, FTC Complaints

"..."Universal acceptance" (UA) has become an urgent top priority for new gTLD adherents as well as those concerned about the performance of new domains for consumers and businesses. Simply put, many new gTLD addresses don't resolve in web browsers or work with email systems. This is exactly the type of technical issue that is supposed to be ICANN's core competence, so why is it only now being grappled with given the many years of planning in the run-up to new gTLDs becoming available? This is hardly a new issue. According to the CTO for Afilias, the challenge was first identified by ICANN's Security and Stability Advisory Committee (SSAC) in 2003, with multiple recommendations made to address it. Yet, he observes,"That was over a decade ago! "..."--Philip S. Corwin - ICANN.WTF?...

As Phil Corwin pointed out above, ICANN knew that new gTLD domain names would have universal acceptance "defects"--i.e., "failing to work as expected on the Internet" and/or "break stuff" or even compromise the stability and security of the Internet--that must be why ICANN included an exculpatory (escape of liability) clause a/k/a weasel clause, in its Registry Agreements with new gTLD domain name registry operators:

Registry Agreement between ICANN and new gTLD Registry operators: "....1.2 Technical Feasibility of String. While ICANN has encouraged and will continue to encourage universal acceptance of all top-level domain strings across the Internet, certain top-level domain strings may encounter difficulty in acceptance by ISPs and webhosters and/or validation by web applications. Registry Operator shall be responsible for ensuring to its satisfaction the technical feasibility of the TLD string prior to entering into this Agreement...." (emphasis added)

But what about the gullible "suckers" (not a reference to dotSUCKS and no pun intended) who "buy" or register these new gTLD domain names, and then discover their new gTLD domain names "failing to work as expected on the Internet" or "break stuff"? Where was ICANN when it came to protecting consumers--domain name registrants, users, businesses-- and the public interest? Or was ICANN just out to make money for itself to expand its offices and pay lavish amounts to ICANN officers, staff, directors, and/or "line the pockets" of its multitudes of contractors and self-serving, self-interested stakeholders?

How big a problem is universal acceptance with new gTLDs (new generic top-level domains)? Look at the schedule for the ICANN 53 meeting later this month: a full one-day Universal Acceptance workshop plus another separate Universal Acceptance session the next day. No prior ICANN meeting has devoted so much time to the Universal Acceptance problem. Better late than never!

The victims or "injured parties" here include domain name registrants who have been deceived by all the hype from ICANN or its new gTLD registry operators or new gTLD domain name registrars, without benefit of any corresponding prominent warnings or disclosures about the universal acceptance problems with new gTLD domain names.

Domain Name Registrants' Rights: "... 3.You shall not be subject to false advertising or deceptive practices by your Registrar or though [sic] any proxy or privacy services made available by your Registrar. This includes deceptive notices, hidden fees, and any practices that are illegal under the consumer protection law of your residence...." (emphasis added)

Could this be yet another ICANN matter for the U.S. Federal Trade Commission (FTC) to investigate?

What We Do | Federal Trade Commission: "The FTC protects consumers by stopping unfair, deceptive or fraudulent practices in the marketplace. We conduct investigations, sue companies and people that violate the law, develop rules to ensure a vibrant marketplace, and educate consumers and businesses about their rights and responsibilities. We collect complaints about hundreds of issues from data security and deceptive advertising to ... and make them available to law enforcement agencies worldwide for follow-up. Our experienced and motivated staff uses 21st century tools to anticipate – and respond to – changes in the marketplace." (emphasis added)

For more information or to file a complaint with the Federal Trade Commission go to https://www.ftccomplaintassistant.gov/Information or www.ftc.gov/complaint and watch the video below, or call Toll-free: 1-877-FTC-HELP (1-877-382-4357).


If you cannot view the FTC video above, view the video here.

Or perhaps the California State Attorney General or all the State Attorney Generals in the U.S. might be interested in investigating this further?

For further information:

• Why New gTLD Domain Names Fail To Work Across the Internet
• ICANN 52, Universal Acceptance, New gTLD Domain Names "break stuff"
• ICANN Admits New gTLDs Compromise Internet Stability and Security
• ICANN, New gTLD Domain Names, Universal Acceptance Another #FAIL
• More Problems Crop Up With Universal Acceptance of Top Level Domains
• Universal Acceptance - Resources - ICANN
• FTC: How to Make Effective Disclosures in Digital Advertising (pdf)

#ICANN #accountability

Caveat Emptor! 


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Google Just Killed The Last Remaining Rationale for New gTLD Domains

Google just disrupted ICANN's new gTLD domains--it's called "innovation" [Update below] 

"... today we’re updating the algorithms that display URLs in the search results to better reflect the names of websites, using the real-world name of the site instead of the domain name, and the URL structure of the sites in a breadcrumbs-like format..."--Google, April 16, 2015 (emphasis added) 

The bad news for ICANN's new gTLDs just keeps piling up. While the domaining-domainer blogosphere was all lit up last week about Google's new search change now rolling out in mobile--the domain name extension (TLD) of the destination URL will not show in the search results--they missed the most important effect of the change: Google just killed the last remaining rationale for new gTLD domain names. Countless promoters, hustlers, speculators and "consultants," have invested their time and treasure in ICANN's new gTLDs based on the premise of the significance and importance of the "right of the dot" word for "branding" purposes! Oops! Never mind--Google is just serving up the website "title" without the TLD ("right of the dot word").

UPDATE: Many are still confused about "what just happened?"--it's called innovation, disintermediation--Google just disintermediated the new gTLDs. Impact on .COM, and ccTLDs? Minimal. They already have dominant "branding" and market share in their respective markets and are the "presumed TLD"--e.g., in the U.S. and global online market, it is a well-known fact that consumers and other users of the Internet will just type the name of the business or website and add .COM when doing direct navigation in a browser or application.

But you believed those new gTLD hucksters when they told you that Google would "ensure" the success of the new gTLDs? That new gTLDs would produce superior SEO results? FALSE. That first year new gTLD registrations would total 33 million or more? FALSE!

Let's add all the above to the other ways that new gTLD domain names have now reportedly failed, including, failing all the most important factors in choosing a domain name extension (top-level domain or "TLD"):

1. New gTLD domain names FAIL to work across the internet and "break stuff" (a/k/a the universal acceptance problem which ICANN has known about since at least 2003);

2. New gTLDs compromise the stability and security of the Internet (a corollary to the above).

3. New gTLD domain names lack pricing predictability--why invest time and money building a website on a new gTLD domain name only to be subject to the possibility of extortionate future price increases for annual registration renewals? Thanks to ICANN, new gTLD registry operators have sole discretion and control for new gTLD domain name pricing, including future increases for registration and renewal fees. A trusted, reliable registry operator with a history, practice, policy and/or requirement of pricing predictability for their TLDs, is a necessary requirement before most prudent registrants will even begin to invest their own hard-earned money in building a website on that TLD! But ICANN, its GNSO, and their "well-paid expert" never thought about that! And these are some of the same people, who, despite the pathetic registration numbers of new gTLDs, are still expecting everyone to start building major websites on these defective, untrustworthy new gTLDS (new generic top-level domains).

[ Note to ICANN: All the above is an example of what happens when you do not have a Registrant Stakeholder Group in ICANN. ]

Add all the above together and there is no doubt that the King was right--ICANN's new gTLD domain names, as a class, are a #FAIL. No wonder new gTLD Registry operators are getting increasingly desperate--giving domain names away for free or selling for only 49 cents each!--which only "trashes" the TLD further, attracting cybersquatters, cyber criminals, and other bad actors.

And to top it all off, Google just delivered the coup de grâce!

Caveat Emptor!


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ICANN CEO Fadi Chehadé panders to DNA at ICANN 52 (video)

DNA member breakfast with Fadi Chehadé (2015-02-10): 

The Domain Name Association (thedna.org), Kurt Pritz, and Adrian Kinderis, welcomed ICANN President and CEO Mr. Fadi Chehadé (starts @3:05) to give a talk and answer member questions during the ICANN 52 meeting in Singapore,  February 10, 2015 (video above).

Topics covered: Universal Acceptance; Promotion of New gTLD domain names and ICANN "partnering" with thedna.org; IANA transition; predictability.

This video [full transcript here] gives good insight of a slice of the domain name industry as well as viewpoints of some of the stakeholders present in Singapore at ICANN 52, and a pulse on current issues as noted above--for example: Fadi Chehade made a point of saying that the CWG-Stewardship (IANA transition) is "busy not doing its job" (19:10) and later in the video had an interesting dialogue with Jay Daley, Chief Executive at .nz Registry Services, on the same topic beginning @34:00.

In the video, the ICANN CEO readily admits his ignorance of the domain name industry--no offense to Fadi, but why would ICANN choose anyone as CEO who does not understand the domain name industry? Domain Mondo suggests that the next CEO of ICANN be selected from among the many, very talented people leading ccTLD registry operators throughout the world.

Fadi is also clearly confused about ICANN's role vis-à-vis new gTLD registry operators--regulator or partner? In addition, he starts pandering (@31:00) in suggesting to his audience that ICANN will fund in ICANN's 2016FY Budget (pdf), DNA members' efforts to market or promote their new gTLD domain names [which would be violative of ICANN's Articles/Bylaws as well as California and US federal laws regarding non-profit corporations].

Fadi Chehade's leadership skills have been questioned by many in the past year--for example, his so-called NETmundial Initiative, has been an embarrassment to many within ICANN, particularly after wasting countless hours of his own, and  ICANN staff time, as well as hundreds of thousands of dollars in ICANN's own funds, on the effort.

For further background:

• Blast from the Past: ICANN, New gTLD Domain Names, Conflicts of Interest (video)
• ICANN, Kurt Pritz, Conflict of Interest, new gTLD domain names program
• Is It ICANN's Job To Market New gTLD Domain Names?

and

• ICANN, ICAN'T, IWON'T: uWHAT? How the internet is actually run • The Register
• ICANN anoints new internet kingpin • The Register
• ICANN creates 'UN Security Council for the internet', installs itself as a permanent member • The Register

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