MEMORANDUM OF UNDERSTANDING BETWEENTHE U.S. DEPARTMENT OF COMMERCEANDINTERNET CORPORATION FOR ASSIGNED NAMES AND NUMBERSI. PARTIESThis document constitutes an agreement between the U.S. Department of Commerce (DOC or USG) and theInternet Corporation for Assigned Names and Numbers (ICANN), a not-for-profit corporation.II. PURPOSEA. BackgroundOn July 1, 1997, as part of the Administration's Framework for Global Electronic Commerce, the Presidentdirected the Secretary of Commerce to privatize the management of the domain name system (DNS) in amanner that increases competition and facilitates international participation in its management.On June 5, 1998, the DOC published its Statement of Policy, Management of Internet Names andAddresses,63 Fed. Reg. 31741(1998) (Statement of Policy). The Statement of Policy addressed theprivatization of the technical management of the DNS in a manner that allows for the development of robustcompetition in the management of Internet names and addresses. In the Statement of Policy, the DOC statedits intent to enter an agreement with a not-for-profit entity to establish a process to transition current U.S.Government management of the DNS to such an entity based on the principles of stability, competition,bottom-up coordination, and representation.B. PurposeBefore making a transition to private sector DNS management, the DOC requires assurances that the privatesector has the capability and resources to assume the important responsibilities related to the technicalmanagement of the DNS. To secure these assurances, the Parties will collaborate on this DNS Project (DNSProject). In the DNS Project, the Parties will jointly design, develop, and test the mechanisms, methods, andprocedures that should be in place and the steps necessary to transition management responsibility for DNSfunctions now performed by, or on behalf of, the U.S. Government to a private-sector not-for-profit entity.Once testing is successfully completed, it is contemplated that management of the DNS will be transitionedto the mechanisms, methods, and procedures designed and developed in the DNS Project.In the DNS Project, the parties will jointly design, develop, and test the mechanisms, methods, andprocedures to carry out the following DNS management functions:a. Establishment of policy for and direction of the allocation of IP number blocks;b. Oversight of the operation of the authoritative root server system;c. Oversight of the policy for determining the circumstances under which new top level domainswould be added to the root system;d. Coordination of the assignment of other Internet technical parameters as needed to maintainuniversal connectivity on the Internet; ande. Other activities necessary to coordinate the specified DNS management functions, as agreed by theParties.Page1of7Memorandum of Understanding, Dept. of Commerce and ICANN9/17/2007mhtml:file://H:\New\Memorandum of Understanding, Dept_ of Commerce and ICANN.mhtThe Parties will jointly design, develop, and test the mechanisms, methods, and procedures that will achievethe transition without disrupting the functional operation of the Internet. The Parties will also prepare a jointDNS Project Report that documents the conclusions of the design, development, and testing.DOC has determined that this project can be done most effectively with the participation of ICANN.ICANN has a stated purpose to perform the described coordinating functions for Internet names andaddresses and is the organization that best demonstrated that it can accommodate the broad and diverseinterest groups that make up the Internet community.C. The PrinciplesThe Parties will abide by the following principles:1. StabilityThis Agreement promotes the stability of the Internet and allows the Parties to plan for a deliberate movefrom the existing structure to a private-sector structure without disruption to the functioning of the DNS.The Agreement calls for the design, development, and testing of a new management system that will notharm current functional operations.2. CompetitionThis Agreement promotes the management of the DNS in a manner that will permit market mechanisms tosupport competition and consumer choice in the technical management of the DNS. This competition willlower costs, promote innovation, and enhance user choice and satisfaction.3. Private, Bottom-Up CoordinationThis Agreement is intended to result in the design, development, and testing of a private coordinatingprocess that is flexible and able to move rapidly enough to meet the changing needs of the Internet and ofInternet users. This Agreement is intended to foster the development of a private sector management systemthat, as far as possible, reflects a system of bottom-up management.4. Representation.This Agreement promotes the technical management of the DNS in a manner that reflects the global andfunctional diversity of Internet users and their needs. This Agreement is intended to promote the design,development, and testing of mechanisms to solicit public input, both domestic and international, into aprivate-sector decision making process. These mechanisms will promote the flexibility needed to adapt tochanges in the composition of the Internet user community and their needs.III. AUTHORITIESA. DOC has authority to participate in the DNS Project with ICANN under the following authorities:(1) 15 U.S.C. § 1525, the DOC's Joint Project Authority, which provides that the DOC may enter into jointprojects with nonprofit, research, or public organizations on matters of mutual interest, the cost of which isequitably apportioned;(2) 15 U.S.C. § 1512, the DOC's authority to foster, promote, and develop foreign and domestic commerce;Page2of7Memorandum of Understanding, Dept. of Commerce and ICANN9/17/2007mhtml:file://H:\New\Memorandum of Understanding, Dept_ of Commerce and ICANN.mht(3) 47 U.S.C. § 902, which specifically authorizes the National Telecommunications and InformationAdministration (NTIA) to coordinate the telecommunications activities of the Executive Branch and assistin the formulation of policies and standards for those activities including, but not limited to, considerationsof interoperability, privacy, security, spectrum use, and emergency readiness;(4) Presidential Memorandum on Electronic Commerce, 33 Weekly Comp. Presidential Documents 1006(July 1, 1997), which directs the Secretary of Commerce to transition DNS management to the privatesector; and(5) Statement of
View Full Document
Unlocking...