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Auction process optimized for contention-resolution, not revenue-maximization

  • To: 3gtld-guide@xxxxxxxxx
  • Subject: Auction process optimized for contention-resolution, not revenue-maximization
  • From: Werner Staub <werner@xxxxxxxx>
  • Date: Sun, 22 Nov 2009 22:47:55 +0100

The currently proposed design of the TLD auction process can be
described as (brutally) revenue-maximizing:

The auction takes place in a matter of hours. This looks particularly
cynical compared to the number of years it will have taken for the
process to start.

The auction participants are given no time to negotiate between each
other, consult their oversight bodies or update financing arrangements.

The sole purpose of a TLD auction should be tie-breaking.

I submit that the auction process should be redesigned to give
opportunities for negotiation during the auction. There should be
weeks, not hours, between auction rounds. The objective must not be to
force applicants to pay as much money as possible, but to resolve the
contention as amicably as possible.


Werner Staub


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