Domain names can be registered with almost any suffix from next year, ICANN says

Directors at ICANN, which oversees the identification of websites, voted to increase the number of generic 'top-level' domain name endings from the current 22. Top-level domains refer to how the suffixes of addresses are rooted and include familiar address endings such as .com, .org and .net. They do not include country-level domain suffixes such as .uk.

"ICANN has opened the Internet's naming system to unleash the global human imagination," Rod Beckstrom, President and Chief Executive Officer of ICANN said in a statement (2-page / 341 KB PDF).

"[The] decision respects the rights of groups to create new top-level domains in any language or script. We hope this allows the domain name system to better serve all of mankind," Beckstrom said.

Applications for new domain name endings will be accepted from 12 January to 12 April 2012, ICANN said. It will cost $185,000 (£114,000) to apply for new web address endings and companies must demonstrate that they have a legitimate claim to the name they are applying for, a spokesman for ICANN told OUT-LAW.

The new web address endings will change the way users find information online and how businesses manage their online presence, ICANN said.

"Internet address names will be able to end with almost any word in any language, offering organisations around the world the opportunity to market their brand, products, community or cause in new and innovative ways," the ICANN statement said.

ICANN announced it was going to allow the expansion of top-level domain names in 2008 and said it has revised guidance on how prospective website owners can apply for new domain endings seven times to take account of more than 1,000 public comments on the subject.

"Strong efforts were made to address the concerns of all interested parties, and to ensure that the security, stability and resiliency of the Internet are not compromised," ICANN said in its statement.

The latest version of ICANN's Applicant Guidebook, which could be approved today, says Governments and businesses will be able to flag up concerns about prospective new domains.

ICANN itself will check whether applicants have a history of 'cybersquatting' before approving the new web address, the proposed Guidebook said. Cybersquatting occurs when businesses buy domain names with the purpose of selling them on to trade mark owners for a profit.

"Background screening is in place to protect the public interest in the allocation of critical Internet resources, and ICANN reserves the right to deny an otherwise qualified application based on any information identified during the background screening process," ICANN's proposed Applicant Guidebook (352-page / 5.04MB PDF) provides.

Bruce Tonkin, chief strategy officer at domain name registry service Melbourne IT said that companies will have to meet ICANN's high standard criteria in order to register new top-level domains, according to the BBC.

"There is roughly 50 questions, roughly 2-3 pages per question. ICANN will then use experts in each field to evaluate them," Tonkin said, according to a BBC report.

"The concern that some people have is that the standards of these buildings will be so high, that they will never get built. It will be too expensive," Tonkin said, according to the BBC.

Creating new domain suffixes will have limited benefits to established trade mark owners, according to one intellectual property (IP) law expert.

"Existing top-level domains like ‘.com’ remain the most recognisable domains for established brands and businesses," James Sweeting, IP law expert with Pinsent Masons, the law firm behind OUT-LAW, said

"I therefore question the benefits of new top-level domains for businesses with a protected trade mark and established online presence.  Given the rigorous procedures for registering a new top-level domain, businesses may decide it’s just not worth it," Sweeting said.

"If new businesses are creative enough then they will come up with a new and unique name and register a .com or similar domain to reflect that – not ride on the coattails of established brands and trade mark owners," Sweeting said.

It is unclear if the procedures will be strong enough to prevent businesses registering websites closely associated to existing trade marks, Sweeting said.

"It will be very expensive to register a new top-level domain and businesses will need to show that they have a legitimate claim to the name they are buying," Sweeting said.

"In theory, this should protect trade mark owners from cybersquatting and typosquatting, which occurs when businesses register websites with addresses that use slightly different characters to genuine trade-marked sites.  However, this practice is already very widespread in existing top-level domains," Sweeting said.

"Trade mark owners should keep a close eye on developments and take steps to prevent their registered marks being abused through new registrations. They should work with ICANN to achieve this," Sweeting said.

Technology law news is also available from Bootlaw, a free resource for technology start-ups, with regular events hosted by Pinsent Masons.