ICANN and VeriSign Inc. (“VeriSign”) recently reached a tentative settlement on a two year old dispute regarding VeriSign’s ability to offer revenue generating services based on its operation and maintenance of the .com and .net domain name registries on behalf of ICANN.
The dispute between ICANN and VeriSign originated in 2003 when VeriSign launched a service called SiteFinder that provided suggested website URLs where web surfers entered addresses that did not exist. The suggested websites were based on what SiteFinder thought the user was looking for, and in some cases, VeriSign received revenue for directing traffic to specific websites. However, as the operator of the .com and .net registries, VeriSign was accused by critics of having an unfair competitive advantage over other search engine providers, and under pressure from ICANN, suspended SiteFinder shortly after it was introduced. VeriSign then sued ICANN, who countersued VeriSign.
Under the terms of the proposed settlement, services such as SiteFinder will be subject to a formal review and approval process by ICANN. The settlement requires final approval from the board of ICANN and VeriSign along with the U.S. Commerce Department.
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