Michelin comments on GAC Safeguard Advice
The following comments are submitted on behalf of Michelin. Since 1889, Michelin has constantly innovated to facilitate the mobility of people and goods. Today, it is setting the benchmark across every tire and travel-related services market, while leading a global strategy to drive sustainable, profitable growth. With more than 115,000 employees, Michelin has produced 184 million tires and sold close to 10 million maps and guides in 2011. Michelin is #1 in the passenger car light truck and truck tires market. The Governmental Advisory Committee issued on 11 April 2013 its first GAC Advice - the GAC Beijing Communiqué - in which it lists safeguards applicable to broad categories of new gTLD strings. Among these categories, the GAC targets specifically a category known as "Closed Generic gTLD Applications" under the term Exclusive Access. The GAC makes clear that "for strings representing generic terms, exclusive registry access should serve a public interest goal." The GAC has identified a non-exhaustive list of 60 strings that it considers to be generic terms, where the applicant is currently proposing to provide exclusive registry access. This list includes the applications for .tires (application # 1-2123-56973 by Bridgestone Americas Tire Operations, LLC and application # 1-1884-1217 by The Goodyear Tire & Rubber Company). Michelin publicly expressed its opposition to these applications which are based on a "Closed Registry" model, first by publishing Public Comments on applied-for strings in September 2012, and second in participating to the public comment period on the "Closed Generic" gTLD Applications in February 2013. Michelin can only but support the GAC in this approach, insofar as it aims to avoid the establishing of monopolies and ultimately protect consumer interests. These safeguards are all the more important that certain applicants have chosen to apply for closed control of a generic term designating a particular industry while they are in fact already a major stakeholder in that particular industry. The main risk is that the delegation of a generic term matching an economic sector to one single player will lead to a monopoly by excluding direct and indirect competitors. Some of these generic terms are critical for the conduct of an activity and should not be reserved for, or monopolized by, a single stakeholder in a business category. The tire industry is largely dependent of the DNS (Domain Name System). The Internet is with no doubt one the major channel of sales, from information to the selection of a tire dealer, and this although the sale of tires requires mounting in a garage. In an increasingly digital world, it is now second nature for most consumers to start their search for tires from their computer or mobile device. Running attractive and efficient websites built on easy to remember domain names are a key to access a good SEO ranking on search engines. The generic term "tires" in English cannot benefit and be operated by one single stakeholder, which moreover is a major tire manufacturing company in the market. Indeed, such monopolies will necessarily end up harming the other actors of the market, including tire reseller, tire manufacturer or other stakeholder of the tire industry since the Applicants will be in a position to discretionarily impose their conditions for the registration of domain names and referencing and sale of tires, excluding de facto any other tire manufacturing company of their choice, from the tires TLD. "Closed Generic" gTLD Applications have been identified as a major issue for the new gTLD program back in June 2012, when Applications were made public. Further to several communities' expressed concerns, the New gTLD Program Committee of the ICANN at its 2 February 2013 meeting directed the President and CEO to (i) open a 30-day public comment forum on this topic and (ii) request the GNSO to provide guidance on this issue. The Public Comment forum was held from 5 February 2013 to 7 March 2013 and generated over 260 comments. Neither the Report of Public Comments nor the GNSO studies have yet been published. Major stakeholders from all economic sectors have expressed concerns and published comments opposing to these "Closed Generic gTLD Applications". Like Governments and the long list of opponents, Michelin is convinced that allowing "Closed Generic" gTLD Applications will be a source of distortion of competition and consumer misleading. The Affirmation of Commitments defines the ICANN objectives which include promoting competition, consumer trust and consumer choice. Allowing "Closed Generic" gTLD Applications will produce the exact opposite effect. Michelin urges the ICANN to implement the GAC Advice safeguards and to forbid any "Closed Generic" gTLD Application for a generic term. Nathalie Dreyfus Dreyfus & associés - Paris | Lyon | Strasbourg Conseils en Propriété Industrielle - Intellectual Property Attorneys 78 avenue Raymond Poincaré - 75116 Paris - France <<attachment: winmail.dat>> |