http://www.news.com/News/Item/0,4,18788,00.html
New domain bypasses red tape
By Janet Kornblum
February 3, 1998, 5:50 p.m. PT
Tonga's done it. Niue's done it. And now, Turkmenistan is getting into
the act.
They're all tiny countries willing to hawk their valuable top-level
domains (TLDs) to customers on the Web.
Today, NetNames, a London-based company that is also involved in the
international domain name battle, announced that it is launching
".tm," a new TLD.
Companies that would otherwise have to compete in the highly
politicized arena of domain names to run a new generic top-level
domain are teaming up with obscure countries that are automatically
allotted top-level domain names for their countries but don't have
much use for them.
Now they are selling them to capitalize on the overcrowded TLD system:
".com," the most crowded TLD, is so overcrowded that businesses and
individuals are seeking new domains where they won't have to fight for
their desired name.
"TM" actually stands for Turkmenistan, but like ".to" and ".nu," it
also is attractive to those seeking a new name for their Web sites.
The Commerce Department is receiving comments on a draft report it
released proposing a shift in the way the domain name system (DNS) is
run.
The government is proposing to add five generic TLDs to the ones
already in existence, such as ".com," ".net," and ".org." NetNames is
involved in that fight because is a member of a group that is engaged
in the battle over the generic TLDs.
But meanwhile, it can launch ".tm" without having to step through any
bureaucratic hoops: While the generic TLD system is mired in politics,
countries have always been allowed to run their own country codes. The
idea was that countries needed sovereignty over their own domains.
While many countries have certain requirements of those who want to
use their TLDs, others have allowed widespread commercial use of their
domains.
Antony Van Couvering, president of NetNames USA, said his company
reached an agreement with the government of Turkmenistan in Central
Asia to run its TLD, which has been operational for years but had
never been sold commercially. NetNames will operate it and take a cut
of the profits. Van Couvering declined to disclose financial terms.
Those who go directly to NetNames to register the page pay $249 to do
so. But users also can go directly to the ".tm" registration page and
pay $50 per year for two years, Van Couvering said.
"We approached the government and said, 'We can run this for you,'"
Van Couvering said. "A lot of [country TLDs] have been privately run
for a very long time. What is new is marketing them in the United
States."
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