Sedo creating network to provide more exposure to domain name listings.

[UPDATE: Sedo actually introduced its MLS platform earlier this year and I wrote about it here. Sedo's recent marketing email about SedoMLS is that all Sedo customers will get access to sell domains on it sometime in 2010. Currently, only certain partners and large portfolio holders are able to use SedoMLS. I have updated the story accordingly.]

Domain broker Sedo will introduce expand its own version of a “domain name multiple listing service” in 2010. The system is currently only available to certain partners, but will be open to all Sedo sellers next year.

There are two technical keys to domain MLS systems working. First, domains must be instantly transferred to buyers in a process known as “instant fulfillment”. Second, domain names need to be priced. Buyers who discover a name when searching for names at a registrar — typically end users — don’t want to haggle and are willing to pay more to close a deal now. But most of the domains listed at Sedo aren’t priced, so Sedo must address this problem first.

To encourage fixed price listings, Sedo is changing it “no minimum commission” offer on October 21. The current promotion charges no minimum commission if a domain is parked at Sedo when it sells. The new promotion will require the domain to be parked at Sedo and have a fixed price.

To help customers set a fixed price, Sedo has a newly released price suggestion tool.

Domain Name Wire interviews ICANN CEO Rod Beckstrom.

We have a new acronym to add to the domain name lexicon: AOC, for Affirmation of Commitments.

Earlier today the Internet Corporation for Assigned Names and Numbers (ICANN) formally announced its new agreement to replace the Joint Project Agreement (JPA) with the U.S. Government.

On the surface, the AOC (pdf) sounds like a wish list of everything a domain owner could want: explanations from ICANN about how it makes particular decisions, a requirement to address important issues before releasing new gTLDs, and more openness and reviews. The problem is that the agreement lacks teeth.

I talked with ICANN CEO Rod Beckstrom this afternoon to dig into some of the details of the agreement.

Beckstrom explained that the AOC replaces the JPA, allowing for more control by world governments; not just the United States. But the AOC is just one piece of the puzzle, and the U.S. government still has a hand by awarding ICANN the Internet Assigned Number Authority (IANA) contract.

“The IANA agreement gives us the authority to be the policy function globally for internet names and numbers, and that’s what holds the web together,” explained Beckstrom. “The JPA was the review process, a separate agreement that was trying to make sure that we grew up as an organization as a multi-stakeholder body.”

The AOC represents the handing off of the formal review process from the United States to the world.

But the AOC isn’t a binding contract and lacks teeth. If ICANN doesn’t fulfill its promises under the agreement, the U.S. government can’t do anything about it, other than make its voice heard on the review panels. In fact, the agreement has a clause that allows either the U.S. government or ICANN to cancel the agreement with 120 days’ notice.

“I don’t think anyone wants to see [the cancellation clause] invoked, but like any partnership agreement it’s prudent to have an out clause,” said Beckstrom.

Beckstrom explained that, as the priorities of ICANN change over the years, it may make sense for the agreement to be modified. For example, it might not make sense for frequent reviews of the effects of new TLDs ten years from now.

Section 9.3 of the AOC calls for ICANN to address many issues prior to releasing new top level domains. It’s unclear if this will slow down the introduction of new top level domains. However, “fast track” IDNs, which are essentially IDN ccTLDs, appear to be full steam ahead.

“It looks like the IDNs are tracking very much on time and feedback seems to be ubiquitously positive,” said Beckstrom.

Non ccTLD IDNs will be introduced as part of the new gTLD process.

The AOC, if followed, should be a positive thing for the domain name industry. And for those that thought the web would die when the JPA did, it appears to still be working.

e.Biz steals the show at successful one character .biz auction.

It’s no surprise that e.Biz was the top selling domain name in Sedo’s one character .biz domain name auction.

But $66,001?

That will certainly turn a lot of heads. Especially since the winner could have picked the domain up for a few hundred dollars and a commitment to develop/market it had it gone through .biz registry Neustar’s RFP process.

About 20 bidders participated, but just two bidders fought it out after the bidding hit $25,750.

The sale will attract a lot of attention to the .biz top level domain name, and perhaps stoke a bit of fire into .biz domain values.

Although e.biz was the show-stopper, many other domains sold for respectable prices, too. 1.biz sold for $32,003. It will be interesting to see how this domain is used, as I’d think you would also want to one one.biz.

Please note that these are unofficial results that I collected.

1.biz $32,003
2.biz $5,801
4.biz $7,601
5.biz $6,100
6.biz $8,100
7.biz $7,877
8.biz $8,200
9.biz $7,901
a.biz $10,099
b.biz $10,005
c.biz $8,988
d.biz $26,110
e.biz $63,001
f.biz $8,250
g.biz $9,400
h.biz $5,300
j.biz $8,250
k.biz $6,900
l.biz $5,000
m.biz $15,611
n.biz $8,001
p.biz $7,878
r.biz $8,855
s.biz $8,211
t.biz $7,602
u.biz $10,009
v.biz $6,100
w.biz $13,500
x.biz $10,099
y.biz $8,988
z.biz $8,988

AdLINK has purchased the remaining 24% of Sedo and promoted its managing director.

Sedo parent company AdLINK Group has purchased the outstanding 24.06% of Sedo shares owned by its founders. AdLINK will purchase the shares for 5.5M EUR in cash plus 4.25 million shares of AdLINK. At today’s exchange rates and stock price, and assuming no restrictions on the stock, that values Sedo at about $130 million.

Sedo Managing Director Tim Schumacher has also been named as the new CEO of AdLINK. AdLINK will also be changing its name, to be finalized in 2010.

AdLINK group had sales of 102.1M EUR in the first half of 2009, a 10.3% drop compared to the same period in 2008. Its earnings fell to 1.4M EUR, a 72% drop from 2008.

Sales in the Sedo division dropped 23.4% year-over-year to 22.6M EUR. Due to a “quality and efficiency” process, the number of domains available on Sedo also dropped in the first half of the year. However, the number of registered users jumped to 894,000.

Sales network picks up inventory and distribution.

Dark Blue Sea’s Domain Distribution Network (DDN) has partnered with Oversee.net and its Moniker and SnapNames divisions.

Customers that have their domain names at Moniker and list them for sale can have the domains syndicated through Domain Distribution Network’s partners. If a domain sells, fulfillment will be automatic and not require any action from the domain seller.

Other distribution partners currently listed in DDN’s web site include Network Solutions, Register.com, and Tucows/OpenSRS.

DDN’s inventory will also be listed for sale on SnapNames, which may have the effect of “crowding out” current seller listings on the service.

This is a nice win for DDN and Dark Blue Sea, although it is still reeling from the loss of a sales agreement with GoDaddy earlier this year.