Verisign responds to complaints about its deal for .web.
Paul Livesay, VP and Counsel at Verisign, has published a detailed response to Donuts’ and Afilias’ challenges over the .web auction result.
If you’re unfamiliar with the backstory: Nu DotCo was one of seven applicants for the .web top level domain name. It struck a deal with Verisign in which Verisign would fund Nu DotCo’s bid for .web, and Nu DotCo would then assign the registry agreement to Verisign after the agreement was executed. Nu DotCo won the auction for $135 million.
Other applicants for .web were upset for two reasons. In the case of applicants that wanted to win the extension, they now faced a formidable foe. In the case of applicants that just wanted to split the proceeds from losing, Nu DotCo was now insisting on a public ICANN auction in which the proceeds would not be distributed to losers.