debate The fight for .ORG: is it about MONEY or is it about CONTROL?

[Rob Monster]

As some here are aware, I previously presented the bullish case for .ORG:

https://www.namepros.com/threads/why-i-am-bullish-on-org-plutocratic-guilt.1161692/

Although I remain bullish on the .ORG TLD as a domain asset class, there is now a footnote on .ORG because of the change of control event and the precedent that it represents for a major registry.

In the wake of organized backlash against the Ethos/PIR.org deal from capable organizations such as EFF, it appears that propagandists are makeing a case for "nothing to see here". For example note this article:

https://www.nytimes.com/2019/12/05/opinion/dot-org-domain.html

This article was written by a Stanford undergrad with a Stanford prof as the byline. Fade Chehade is a Stanford alum. This looks like a propaganda instrument. In fact, I put the odds at 90:10 on that.

Ultimately, I am not convinced that this is not about money. After all, Donuts is not exactly killing it since Abry took over. However, they now control a whopping 242 TLDs. These people are not stupid nor are they lazy.

Fadi is a globalist and an elite technocrat. He has a keen understanding of power, governance and realpolitik. I believe he is entirely sincere about what he thinks it is at stake. Check out his short TED interview:

https://www.ted.com/talks/fadi_cheh...itizens_can_do_to_claim_power_on_the_internet

The timing of this talk was curious. September 2018 is when the digital censorship programs went into overdrive. As some folks know, I was on the front line of that when Godaddy booted Gab.

Fadi wants "Geneva conventions", "technocratic oaths" and "stewards" for acceptable use.

Fadi also comments on Artificial Intelligence. He is absolutely right. Most folks have no idea how much impact AI combined with structured data, wireless broadband, and open standards is going to change the word.

People with access to domains, hosting and vast libraries of open source code, are capable of wielding remarkable things. The tools are already amazing. I believe AI is also in the process of being democratized.

As power of internet publishing gravitates to individuals, the framework for governance on the Internet comes down to the gatekeepers, of which domain registries play a critical role for at least the next 10 years.

Blockchain is plodding along to create a decentralized alternative. It is not ready for prime time yet. However, domains can become more resilient. That is where Epik is focused.

Now that the main industry pundits have had their commentary on .ORG, I am curious to hear what the open source community has to say about the .ORG transaction and its implications. Let's hear it.

 

[tonyk2000]

ICANN's public comment on Proposed Amendment 3 to the .COM Registry Agreement open tl February 14.

... "the parties agreed to cooperate and negotiate in good faith to amend the .COM Registry Agreement (RA)". (quote end).
Good faith, really? How ironic...

 

[Lox]

... "the parties agreed to cooperate and negotiate in good faith to amend the .COM Registry Agreement (RA)". (quote end).
Good faith, really? How ironic...

During the Q1 2019 VS conference call, it was mentioned: the price increase is not our priority.

But the ICANN bank account is on a mission to shot the moon ... they did count on the next gen registries to bring more $ and something went wrong (anti-namesquating / tm ip, marketing premiums to end-users vs dn investors, etc) ... next gen registries failed to pump up cos slowing down will actually make registries more successful in getting acquired by x. Build a business you can sell even if you don't sell too many domains!
Regards

 

[Lox]

The bigger question is what does ICANN do with that $20 million. Where' the Public Benefit?

ICANN Draft budget FY21-FY25
Download PDF

Draft FY21-25 Operating & Financial Plan and Draft FY21 Operating Plan & Budget
Public comment

.... less modernization and more rehabilitation program to fill the gap by using ... Verisign $onation

 

[Cal2]

Internet nonprofit leaders fight deal to sell control of .org domain

https://www.reuters.com/article/us-...l-to-sell-control-of-org-domain-idUSKBN1Z62MW

 

[Lox]

The Internet Society, PIR and Ethos Respond to Congressional Letter

read more (key points about org)

 

[Rob Monster]

The Internet Society, PIR and Ethos Respond to Congressional Letter

read more (key points about org)

Good find -- and indeed very predictable. It is the expected "We really promise to be good stewards -- so please trust us" narrative. Here's what's missing:

- Clarity on governance -- how many non-cutout Directors from the Public Sector in the interest of maintaining a semblance of continuing public benefit as the cow gets milked.

- Clarity on seller's use of proceeds: If the IS brought a really credible plan for Digital Empowerment using their windfall, I bet the roads would become a lot clearer.

As I see it, the folks at Internet Society are in a unique position to sell off a mature product and apply proceeds towards something even more impactful.

 

[oldtimer]

As I see it, the folks at Internet Society are in a unique position to sell off a mature product and apply proceeds towards something even more impactful.

You might be right, but I think that people are expecting for .org to be treated more as a public resource than a product. And the .org registrants are the ones that eventually are going to have to pay for the over one billion dollar price tag.

IMO

 

[Lox]

The Internet Society Chapters rebellion grows against ... there seems to be more questions arising related to $ source / financial backing.

 

[cdboard]

why would they let .ORG go unlimited when .COM is limited?


maybe I should renew my best .ORG for ten years. ?

 

[tonyk2000]

why would they let .ORG go unlimited when .COM is limited?


maybe I should renew my best .ORG for ten years.

You might want to renew both .orgs and .coms. ORG is just the beginning. They are "testing waters"

 

[Lox]

.org is losing the ground. Q1-19 +/- 10.6m reg. > Q1-20 +/- 10.2m reg. (in one year +/- 300k loss)

 

[Rob Monster]

ICYM, nice work from Kevin Murphy:

http://domainincite.com/25176-25176

The leverage part is not a shock.

The clock and dagger non-disclosure around governance is not a shock either.

 

[Keith]

To the title of this thread:

Control is money. Those who control things in the domain industry make money. So, the control of .org is about money.

 

[Lox]

 

[Lox]

A Stronger PIR and .ORG: Standing Behind Our Commitments
by Nora Abusitta-Ouri, Chief Purpose Officer at Ethos Capital

As the Chief Purpose Officer of Ethos, I am dedicated to ensuring that we do right by all stakeholders, and so I am especially grateful that we have already had many opportunities to engage with .ORG users. Our openness and willingness to communicate as much as we have is an unprecedented step that has never been taken in other filings regarding a change in indirect control of a registry, as is the case here. These discussions have generated great ideas for how we can work together to best support the .ORG domain going forward. That said, given the ongoing discussions taking place, I want to set the record straight about false information and unfounded speculation that is still being circulated.

Free Speech

Concerns have been raised that, as a private company, PIR would "take down content it doesn't like." This notion is baseless and, frankly, a demonstration of the type of speculation that has taken the discussion surrounding the future of .ORG irresponsibly out of context. I want to make it clear that Ethos and PIR take freedom of expression very seriously, and the registry's commitment to free speech will continue unabated. The new PIR Stewardship Council under formation will ratify strong rules protecting freedom of expression and safeguarding against censorship.

Pricing

Shortly after announcement of the sale, speculators that warehouse .ORG and other domain names, with the aim of selling them later for huge profits, fueled rumors of potentially extreme price increases...


read more (circleid)

 

[Lox]

Vinton Cerf & .ORG Acquisition

read more (medium)

Over the past several weeks, I have watched with disappointment the controversy surrounding Ethos Capital’s proposed acquisition of the Public Interest Registry — which runs the .org domain — from the Internet Society. I am in favor of this acquisition and would like to explain why.

First, it is worth remembering that .org was managed by several for-profit companies in the past: Network Solutions, SAIC and VeriSign. As nearly as I can tell, these operations were beneficial and, at least, not harmful, to the .org brand.

Second, when the operation of .org was transferred to the Internet Society, it created the non-profit called Public Interest Registry, or PIR. PIR’s primary objectives were, first, to operate .org and, second, to provide significant support for the Internet Society by essentially allocating any surplus from the operation of PIR to fund the Internet Society’s work in promoting a more accessible and secure Internet. This amounted to about $50 million a year, which was hugely helpful to the Internet Society but limited PIR’s ability to invest in improvements to the operation of .org or even the creation of new products and services for the non-profit community.

The consequence of PIR’s non-profit operation and its obligations to the Internet Society was that it limited PIR’s ability to invest in its own operation. Now, let’s consider the situation after the proposed transaction...

read more (medium)

 

[Rob Monster]

Vinton Cerf & .ORG Acquisition

read more (medium)

Over the past several weeks, I have watched with disappointment the controversy surrounding Ethos Capital’s proposed acquisition of the Public Interest Registry — which runs the .org domain — from the Internet Society. I am in favor of this acquisition and would like to explain why.

First, it is worth remembering that .org was managed by several for-profit companies in the past: Network Solutions, SAIC and VeriSign. As nearly as I can tell, these operations were beneficial and, at least, not harmful, to the .org brand.

Second, when the operation of .org was transferred to the Internet Society, it created the non-profit called Public Interest Registry, or PIR. PIR’s primary objectives were, first, to operate .org and, second, to provide significant support for the Internet Society by essentially allocating any surplus from the operation of PIR to fund the Internet Society’s work in promoting a more accessible and secure Internet. This amounted to about $50 million a year, which was hugely helpful to the Internet Society but limited PIR’s ability to invest in improvements to the operation of .org or even the creation of new products and services for the non-profit community.

The consequence of PIR’s non-profit operation and its obligations to the Internet Society was that it limited PIR’s ability to invest in its own operation. Now, let’s consider the situation after the proposed transaction...

read more (medium)

I am not sure he believes that narrative, but at least he is more credible than a Standard grad school student ghostwriter.

Either the PR budget is apparently getting bigger, or (more likely) Vint gets a pay-day from this deal getting done.

Either way, looking forward to hanging with the PIR folks in Austin. They had a great party in Vegas last year, and probably have some budget for their Austin dinner this year.

 

[bmugford]

Vint Cerf has been highly respected as one of the fathers of the internet. I hope the payoff is worth the loss of reputation when it comes to defending this deal.

Such an important internet figure essentially selling out and defending a private equity takeover of such an important public resource as a good thing. $$$… Pathetic.

Brad

 

[.X.]

why would they let .ORG go unlimited when .COM is limited?


maybe I should renew my best .ORG for ten years. ?

My thoughts exactly, I may do a 5 year renewal on all the .org i plan to keep for long term

 

[Lox]

Either way, looking forward to hanging with the PIR folks in Austin. They had a great party in Vegas last year, and probably have some budget for their Austin dinner this year.

Sure

 

[tonyk2000]

I am in favor of this acquisition and would like to explain why.

With all due respect, I'm sorry to hear this from the one who is called Co-Father of the Internet. However, not all do agree with him:

Tim Berners-Lee via twitter ‏-

https://twitter.com/timberners_lee/status/1199752059534413824

I'm very concerned about the sale of .org to a private company. If the Public Interest Registry ends up not being required to act in the public interest, it would be a travesty. We need an urgent explanation. #SaveDotOrg

( Inventor of the web, Director of W3C (http://w3.org ), the Web standards place. Founded http://webfoundation.org )

 

[.X.]

The question is, can we trust them not to be greedy fuckups? I can't until they show me different.

 

[Lox]

My thoughts exactly, I may do a 5 year renewal on all the .org i plan to keep for long term

If everything goes according to Ethos plan, I think we'll have the first biggest migration from .org to .com/.net and/or alt extensions s.a dot charity. it's already happening ...

Regards

 

[bmugford]

The question is, can we trust them not to be greedy f*ckups? I can't until they show me different.

Yes, you can 100% trust what a private equity company has to say.
This deal is not about the money... LOL

Brad

 

[Lox]

Part I: Who Pays When .Org Prices Rise? By Nat Cohen

... A review of a random extract of the .org zone shows that 8% of registrations are held by domainers. 27% are clearly identifiable as noncommercial, and 20% are clearly commercial. The remaining 45% are inactive and can't be readily identified as either commercial or noncommercial and will be a mix of both. Inactive domain names are unlikely to be owned by domainers for domainers ensure that their domain names are active in order to generate ad revenue and sales leads. When .org prices increase, therefore, the burden falls primarily on the nonprofits who heavily rely on .org domain names, on businesses using a .org to generate leads or as a defensive registration, and on individuals, families, bloggers and other noncommercial users.

Domainers on the whole have little interest in .org domain names because of the much lower demand for .org domain names and the much lower prices realized on average on resale than for .com domain names. The .org aftermarket is only 3% of the size of the .com aftermarket. Domainers hold 33 times as many .com domain names as .org domain names. In other words, out of every 100 .com and .org domain names held by a domainer, 97 will be .com and only 3 will be .org. .Org is a rounding error in most domainers' portfolios. The small share of .org domain names registered to domainers reflects this ...

read more (circleid)