Blogging India

Sequal to : http://www.bloggingindia.net/2007/10/23/domain-realtors-the-doom-of-the-internet/

From WashingtonPost :

Insider Domain Name Snatching Probed

By ANICK JESDANUN
The Associated Press
Wednesday, October 24, 2007; 11:51 AM

NEW YORK — The Internet’s key oversight agency is investigating suspicions that insider information is being used to snatch desired domain names before an individual or business can register them.

The Security and Stability Advisory Committee of the Internet Corporation for Assigned Names and Numbers termed the practice “domain name front running” and likened it to a stock broker buying or selling shares ahead of a client’s trade, in anticipation of a movement in price.

In the case of Internet addresses, many people who see a domain name available the first time they check find it already taken by the time they return to buy it.

That has led to suspicions that someone with access to search requests has been using the information to gauge interest in a domain name.

By buying the domain first, that person can then try to sell it to the interested party for a profit. This is different from traditional domain name speculation because the buyer knows for sure that the address is of interest.

Although the practice has never been proven, the ICANN committee said the perception that it is happening “portrays an unfavorable image of the parties associated with the domain name registration process in specific, and of the domain name community in general.”

The committee said it wants to prevent “perception from evolving to accepted wisdom.”

The committee cited several ways front running may be happening, including the installation of viruses and other software programmed to collect such information and the use of unscrupulous third-party sites to check domain name availability. Coincidence also was cited as a possibility.

ICANN is trying to gather evidence on whether it is occurring and, if so, whether policies or other measures are required to restrict the practice.

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Just a couple of days after I posted about domain name realting, here we have ICANN digging into yet another highly unethical form of domain name realting. Did you understand what ICANN means by domain name front running? Lets compare a domain to land.

You dreadfully want a particular piece of land. You go and ask an agent if its for sale. He says yes, and asks you to quote your price. You decide on a price, and decide to sign the agreement the next day. The agent goes to another guy, who buys it from the agent immediately at a slightly higher rate. The next day, when you approach the agent, he says its already sold to so-and-so. You track down so-and-so and ask him if he’ll sell it to you. Remember, you desperately need the land. He says he will, and states an exorbitant amount. You get so angry, and you end up paying it, or closing down the whole business. Either way, you lose cash.

Now convert the land to a domain name. Get the picture?

Hopefully, this will be stopped soon. And hopefully, this incident will open ICANN eyes to other forms of domain realting. And hopefully, new rules will be introduced on registering domain names! Lets keep our fingers crossed.

[tags]domain, domains, domain name, domain name realting, realtors, domain name front running, front running, ICANN[/tags]