[pdp-pcceg-feb06] Re: Feb PDP06 and renewal expectancy

["Milton Mueller" <Mueller@xxxxxxx>]

>>> Avri Doria <avri@xxxxxxx> 12/6/2006 8:32 AM >>>
>since the term was originally proposed by you all, i hope you can  
>contribute to clearing up this issue:
>
>- did your definition of RE ever contain the notion of an optional
rebid
>- do you accept the addition of an optional rebid to your definition 

>(assuming it did not already include it)

The concept of a "renewal expectancy" as we conceived it contemplates a
rebid _if and only if_ the incumbent registry has performed so poorly,
based on the explicit criteria in its contract, that ICANN basically
wants to take the TLD away from it.

The concept of a "rebid at ICANN's discretion" is completely
contradictory to the notion of a renewal expectancy. These are two
completely different policies. 

Either the licensee goes up to its deadline with the presumption that
it will be renewed if it has performed well and met the terms of its
contract, or it goes to the deadline facing a rebid that it does not
know the outcome of. There is no such thing as a "renewal expectancy
with a rebid at ICANN's discretion." 

NCUC has favored renewal expectancy because it promotes a long term
perspective and investment and encourages registries to build VALUE in
their domains by giving them the possibility of capturing the rewards of
that value later on. 

NCUC opposes policies based on ICANN's discretion in as a matter of
principle. Tens of millions of dollars of value, in both user equity and
registry revenue, should not be disposed of by throwing them up to the
vagaries of insider lobbying and politics, which is what "ICANN
discretion" inevitably means.

NCUC believes that there is a reasonable case for rebids only in those
legacy TLDs, such as .com and .net, where a one-time extraction from a
dominant operator (VRSN) might be effected for competition policy
reasons. Since the .com issue is now settled, it is out of the picture.
That leaves .net. NCUC would be amenable to a one-time rebid of .net. 
.Org was already removed from the dominant operator and therefore
should be part of the renewal expectancy regime. 

I hope that clarifies our position.