Changes

==Background==

==Background==

===History of Vertical Separation===

===History of Vertical Separation===

The [[NSF|National Science Foundation]] signed a Cooperative Agreement with [[Network Solutions]] (NSI) to be Registry Operator and Registrar for the .com, .net and .org TLDs from 1993 to 1999. The registry agreement was renewed by ICANN in November 1999. Under the new agreement, NSI agreed to create a multiple registrar system, also known as the [[SRS|SRS]]Shared Registration System]] (SRS), which allows independent registrars to access the system. Independent registrars were to pay NSI $6.00 for every registered or renewed domain name.<ref>[http://archive.icann.org/en/topics/new-gtlds/crai-report-24oct08-en.pdf Revisiting Vertical Separation of Registries and Registrars], ICANN.org. Published 24 October 2008.</ref>

The [[NSF|National Science Foundation]] signed a Cooperative Agreement with [[Network Solutions]] (NSI) to be Registry Operator and Registrar for the .com, .net and .org TLDs from 1993 to 1999. The registry agreement was renewed by ICANN in November 1999. Under the new agreement, NSI agreed to create a multiple registrar system, also known as the [[SRS|Shared Registration System]] (SRS), which allows independent registrars to access the system. Independent registrars were to pay NSI $6.00 for every registered or renewed domain name.<ref>[http://archive.icann.org/en/topics/new-gtlds/crai-report-24oct08-en.pdf Revisiting Vertical Separation of Registries and Registrars], ICANN.org. Published 24 October 2008.</ref>

In addition, ICANN encouraged competition through registry and registrar business separation, by stipulating in the agreement that NSI will only be allowed to renew its registry agreement with ICANN for four years if it sells its registrar business.<ref>[http://archive.icann.org/en/nsi/nsi-registry-agreement-04nov99.htm ICANN-NSI Registry Agreement], ICANN.org. Published 4 November 1999.</ref> In 2000, [[Verisign]] purchased NSI and re-negotiated its registry agreement for the .com, .net and .org TLDs with ICANN. ICANN did not require ownership separation but implemented structural separation. ICANN explained, ''"there is little if any additional competitive value under today's market circumstances in forbidding the registry operator from also being a registrar, so long as it is done is such a way so as not to discriminate against other competitive registrars."''<ref>[http://www.icann.org/en/news/announcements/icann-pr-01mar01-en.htm Proposed Revision to ICANN-VeriSign Agreements], ICANN.org. Published 1 March 2001.</ref><ref>[http://www.icann.org/en/about/agreements/registries/verisign Revised VeriSign Registry Agreements], ICANN.org. Published 16 April 2011.</ref>

In addition, ICANN encouraged competition through registry and registrar business separation, by stipulating in the agreement that NSI will only be allowed to renew its registry agreement with ICANN for four years if it sells its registrar business.<ref>[http://archive.icann.org/en/nsi/nsi-registry-agreement-04nov99.htm ICANN-NSI Registry Agreement], ICANN.org. Published 4 November 1999.</ref> In 2000, [[Verisign]] purchased NSI and re-negotiated its registry agreement for the .com, .net and .org TLDs with ICANN. ICANN did not require ownership separation but implemented structural separation. ICANN explained, ''"there is little if any additional competitive value under today's market circumstances in forbidding the registry operator from also being a registrar, so long as it is done in such a way so as not to discriminate against other competitive registrars."''<ref>[http://www.icann.org/en/news/announcements/icann-pr-01mar01-en.htm Proposed Revision to ICANN-VeriSign Agreements], ICANN.org. Published 1 March 2001.</ref><ref>[http://www.icann.org/en/about/agreements/registries/verisign Revised VeriSign Registry Agreements], ICANN.org. Published 16 April 2011.</ref>

In 2000, ICANN introduced [[new gTLD|new generic top level domain names]], which included [[.biz]], [[.info]], [[.name]] and [[.pro]]. On February 26, 2001, ICANN proposed a new registry agreement stipulating the legal separation between registry and registrar under section 3.5 Fair Treatment of ICANN-Accredited Registrars, wherein Registry Operators are not allowed to act as registrars with respect to the Registry TLD.<ref>[http://www.icann.org/en/about/agreements/registries/unsponsored/registry-agmt-26feb01-en.htm Proposed Unsponsored TLD Agreement], ICANN.org. Published 26 February 2001.</ref>

In 2000, ICANN introduced [[new gTLD|new generic top level domain names]], which included [[.biz]], [[.info]], [[.name]] and [[.pro]]. On February 26, 2001, ICANN proposed a new registry agreement stipulating the legal separation between registry and registrar under section 3.5 Fair Treatment of ICANN-Accredited Registrars, wherein Registry Operators are not allowed to act as registrars with respect to the Registry TLD.<ref>[http://www.icann.org/en/about/agreements/registries/unsponsored/registry-agmt-26feb01-en.htm Proposed Unsponsored TLD Agreement], ICANN.org. Published 26 February 2001.</ref>