The most significant development in the Internet space in recent years is the generic top-level domain (gTLD) expansion. Historically, the focal point of the domain name for brand owners has been the second level domain, the commonly customizable portion to the left of the "dot". A TLD is what appears to the right of the "dot" in a domain name (i.e., .COM, .ORG, .GOV), and to date, those seeking to register domain names have had to choose from a very limited selection. However, the Internet Corporation for Assigned Names and Numbers (ICANN) embarked on an aggressive plan to expand the Internet from just 23 gTLDs to more than 1,000 gTLDs, culminating in an application process in 2012 that allowed any organization with an interest in running a registry to apply for a new gTLD, provided it could meet the designated technical, operational and financial criteria. After this lengthy application and vetting process, ICANN has now delegated the first 80 or so gTLDs, with additional gTLDs launching every week. Over the next couple of years ICANN expects to delegate nearly 1,400 new gTLDs – including .CLOTHING, .SHOES, .FASHION, .LUXURY, and .STYLE.

With that backdrop in mind, outlined below are the new gTLD program basics that all brand owners should keep in mind:

  1. New gTLD applicants represent a broad global cross-section of industries, business interests, and geographical locations. ICANN accepted applications not only from entrepreneurs proposing gTLDs representing generic and geographic terms, including internationalized domain names (IDNs) in non-Latin characters, but also from brand owner applicants seeking gTLDs corresponding to their brand names. About one-third of new gTLD applicants proposed branded gTLDs.
  2. The expanding virtual real estate presents unique opportunities for brand owners to utilize the Internet in ways not previously possible. For the first time ever, brand owners can register desired domain names in registries tailored to their target industries, allowing brand owners to innovate and redefine their relationships with consumers and partners alike. Moreover, unrestricted new gTLDs will create the availability of short, easy-to-remember URLs. This landscape will reduce crowding and offer new first-rate domain names that are both more succinct and more targeted.
  3. A customized enforcement strategy will be a key tool to navigating the new gTLD expansion. Because brand owners may ultimately be required to monitor 1,000 or more additional registries to prevent misuse and abuse of their trademarks, theymust evolve their current approach to promoting and protecting their valuable intellectual property online. Brand owners should consult with expert ICANN counsel to develop a custom strategy to allocate resources and prioritize enforcement efforts in this continually expanding area.
  4. ICANN has devised enforcement tools specific to the new gTLDs. Among them are the Trademark Clearinghouse and the Uniform Rapid Suspension System. Becoming familiar with these mechanisms will help brand owners properly protect and enforce their brands in the rapidly expanding Internet space.
  5. Smart brand owners will start thinking ahead to Round 2. In early 2012, the ICANN Board reaffirmed the organization's commitment to opening a second round of applications "as expeditiously as possible". ICANN has not set a date, but it expects to move forward with a refined version of the program following the complete processing of first round applications. Thus, tracking the status of the second round, while assessing lessons learned from the first round, should be a priority for all organizations that conduct business on the Internet.

Originally published in Clothes Line.

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