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OPPOSES proposed .ORG agreement changes
- To: org-tld-agreement@xxxxxxxxx
- Subject: OPPOSES proposed .ORG agreement changes
- From: Adam Strong <strongvisuals@xxxxxxxxx>
- Date: Sun, 27 Aug 2006 17:11:59 -0700 (PDT)
To the ICANN Board,
The proposed TLD Registry Renewal Contracts for .info,
.biz, and .org domains have a
seriously flawed component whereby the registries will
be able to operate without price
controls. It is my belief that this proposed lifting
of price caps will create a potential
scenario that would be financially devasting to my
business and to the business models
of millions of business owners that own domains, not
to mention the millions of non-
profits and individual domain name owners who don't
use the internet for a business
profits.
The impact will be especially damaging to .org and
.info domain owners and site
operators who for the most part use .org and .info
domains for non-profit, charitable
organizations, and educational purposes.
Hundreds of billions of dollars have been invested
into the core domain name
infrasctructure of the Internet with the secured
expectation that acquiring, owning and
maintaining domains would always be affordable and
make economic sense for a long
term investment. Under the proposal, a domain owner
is left with no sense of security
in the stability of the DNS system. The contract
proposal allows one company, the
registry, at their whim, the ultimate control of what
price each individual domain is
charged. So suddenly every user of domains is faced
with the inevitable consequences
that this proposed contract will create, the domain
name they own might suddenly
become unaffordable.
For ICANN to enable, facilitate and create such an
obvious way for registries to
financially exploit and gouge the marketplace would
not only be a business tragedy, but
it goes against the grain of all the base principles
upon which the Internet, and to my
knowledge, ICANN was conceived. The lack of certainty
on pricing will surely deter
entrepreneurs and small businesses from investing and
innovating their businesses
online. No company or individual would build their
business on this "shaky foundation" .
Additionally, the vast multitude of current domain
owners and web site operators could
inevitably be run out of business if the expected
costs of doing business skyrocketed
on every domain they own.
Removing price caps not only creates an unstable
market, it also creates a
marketplace where extortion and bribery would be left
to occur without recourse. It is
clear that the registries have become educated about
the value of that which they
control, domains. Left with no pricing control they
will inevitably seek to maximize the
revenue of the domain space they are controlling. What
benefit does this provide to the
internet users ?
Obviously, the flaw in allowing the registry to set
prices would give an unfair economic
advantage to individuals and corporations who have
substantial capital resources who
could outbid less fortunate and startup entrepreneurs
with limited capital.
Hypothetically under this proposal, my competition
could approach the registry and
propose that they are willing to pay an exorbitant
amount of money to take over
ownership of the domain name I currently own upon the
renewal date. What is to stop
the registry from deciding that my domain name is now
going to cost this amount ?
What choice do I have but to pay ? The lack of price
controls creates a monopolistic
empire where small businesses and individuals are left
to "do or die" .
Inevitably the progress and innovation that we've seen
accomplished since the creation
of the internet by many of these same small
businesses, entrepreneurs and individuals
will be quickly halted under this proposal. The growth
and success of the internet as we
continue in to the future should be based on "stable
ground" and security of price
controls. The functions of maintaining the dns and
registry are utiltarian functions and
should be controlled in the same way, with price caps
that are regulated and approved
by ICANN or another oversight group.
Without a wholesale price, the registry will be free
to "innovate". The innovation they will
come up with first will be determining what specific
domains are worth and basing their
fees accordingly on a domain by domain basis. This is
the first innovation that will come
out of this contract and it in no way will be
"practicable and beneficial in the public
interest."
Therefore, I respectfully request that you reconsider
and reconstruct the contracts to
completely remove the clause pertaining to no price
caps .
Adam Strong
President, Strong Inc
www.strong.net
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