Cloud industry uproar over domain trademark plan

Plans to create and sell a ".cloud" domain could be anti-competitive and leave the channel out of pocket, according to cloud bodies

The channel could be left out of pocket if a controversial move to sell a new set of online domains is passed, according to an opposition group led by the Cloud Industry Forum (CIF).

The Internet Corporation for Assigned Names Numbers (ICANN), which creates top-level domains (TLDs) such as ".com" and ".co.uk", is planning on opening up the domains to be industry or brand-specific, for example .book, .Ford or .search.

The move is being opposed by a wave of cloud industry bodies and suppliers because they claim the move to create a ".cloud" domain will lead to a single cloud provider, which can afford to buy the closed domain registry, to gain a monopoly over the industry.

The UK IT Association (UKITA), Open Forum Europe, Intellect and the Cloud Industry Forum (CIF) have all spoken out against the proposals, and urged those affected to object to the plans before tomorrow's deadline.

CIF's chairman Andy Burton said that while he was not opposed in principal to the ".cloud" domain, he was against it becoming a closed registry, meaning that one firm would effectively have a trademark on the domain.

He added that this would result in other companies wishing to use the domain having to ask for permission from a rival, which he doubts would happen, creating a monopoly on the term.

CIF board member and chair of the Intellect SaaS Group David Terrar said that if the plans go ahead, the channel could suffer.

He said: "The move would be bad for business and competition, particularly for the small guy.

"It would be detrimental to the channel, especially for anyone who isn't a partner of whoever buys the domain. The chances are that customers will gravitate towards the .cloud firm [due to search engine optimisation] meaning that it will be harder to find more choice."

Ian Moyse, sales director at cloud CRM vendor Workbooks branded the proposals as ridiculous and said: "This is like a firm trying to trademark the word ‘bananas' - it is too generic a term. The ‘.cloud' extension should be open to all. This will end up with the largest big-pocket vendor being perceived as controlling the cloud."

Frank Jennings, a cloud lawyer at DMH Stallard LLP called for a change of policy.

He said: "Allowing one commercial organisation to turn a generic term, cloud, into a closed domain registration scheme is likely to be anti-competitive. A new ‘.cloud' domain should be managed by a not-for-profit registrar, allowing all those who operate in the cloud sector to apply to register."