Policy Post 12.13: Internet Governance Debate Poses Unique Global Challenges



A Briefing On Public Policy Issues Affecting Civil Liberties Online from
The Center For Democracy and Technology

(1) Internet Governance Debate Poses Unique Global Challenges
(2) ICANN Has Made Progress, but Falls Short of Goals
(3) New Milestones for ICANN Autonomy May be Needed

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(1) Internet Governance Debate Poses Unique Global Challenges

As the Internet becomes increasingly essential to politics, commerce and
daily life, the debate over Internet governance has evolved from a niche
discussion among technologists into a global controversy over who should
set the rules for one of the world's most vital resources. As the US
Government plots its path forward and reconsiders its special role in
overseeing the Internet's addressing system, it is important to determine
how the shifting global environment is likely to affect the outcome of any
US decision about the future of Internet governance.

More than nine years ago, the US Government began the process of
transitioning the Internet's core functions to private sector oversight.
The nongovernmental body that emerged from that process -- the Internet
Corporation for Assigned Names and Numbers (ICANN) -- has been an
effective, if flawed, steward of the Domain Name System (DNS) that lies at
the heart of all Internet communication.

Initially, the US Government intended to maintain its special oversight
role over ICANN for the first two years of the organization's existence --
in theory, long enough for the fledgling nonprofit company to establish
stable control over the DNS and to develop a robust, bottom-up and
transparent decision-making process that represented the needs of all
Internet users. It is clear now that the original timetable established
for ICANN was overly ambitious. Nine years later, questions remain about
how well ICANN has met those initial goals, and the US Government retains
an increasingly controversial oversight role in the ICANN process.

The latest MOU with ICANN expires in September, and as part of the process
of renewing that agreement, the National Telecommunications and
Information Administration (NTIA), which oversees ICANN directly, has
solicited public comments on how well ICANN has met the goals laid out for
it in the MOU and the 1998 DNS White Paper. Specifically, NTIA asks
whether ICANN has made enough progress to assume full, unsupervised
control over the DNS. As NTIA notes in its notice of inquiry, the MOU
identifies a series of milestones that ICANN was required to meet before
severing its ties to the US Government.

CDT was among several hundred organizations and individuals that filed
comments with NTIA.

These are important questions. As recent experiences in the two-year World
Summit on the Information Society (WSIS) demonstrate, issues of Internet
Governance have grown increasingly contentious, and could eventually
become destabilizing, as nations that oppose US Government involvement
consider the use of alternative addressing systems that could undercut the
Internet's value as a global, interconnected medium. A detente of sorts
was reached in November 2005 when world leaders agreed to leave the
current governance structure untouched and to convene an Internet
Governance Forum (IGF) to discuss lingering issues. Still, many nations
remain dissatisfied with the status quo, and are likely to remain so as
long as the US Government retains a special role in Internet oversight.

Although the Internet community is justified in being concerned by
continued US involvement in ICANN, it is difficult to imagine how
replacing the US government with an even more complex, slower moving,
international bureaucracy would be an improvement. With a few important
exceptions, NTIA has been a responsible steward for ICANN, taking a
largely hands-off approach that has benefited the global Internet
community. Clearly, an ICANN process free of direct government control is
preferable to the current structure, but if the only viable options for
the ICANN are continued US Government oversight or international control,
many of in the Internet community will find themselves in the unfortunate
position of supporting the status quo.

To that end, it may be useful to discuss whether the goals and milestones
established nearly a decade ago for ICANN on its path to full autonomy
remain adequate in the face of a drastically different global environment.
Certainly the goals of fostering stability, competition, representation
and private, bottom-up coordination remain as relevant today as they were
eight years ago, but in light of recent developments it is important for
the Internet community to at least ask whether reaching all of those
milestones (something ICANN has yet to accomplish) would be sufficient
cause to cut the tether between ICANN and the US Government.

CDT Comments to NTIA: 
http://www.ntia.doc.gov/ntiahome/domainname/dnstransition/comments/dnstrans_comment0603.htm

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(2) ICANN Has Made Progress, but Falls Short of Goals 

Since its inception, ICANN has been a lightning rod of legitimate
criticism, as well as a convenient scapegoat for people dissatisfied with
aspects of the Internet beyond the control of any single management body.
Many of those criticisms have been well earned. ICANN has yet to achieve
the procedural transparency, and more importantly the broad involvement of
Internet users essential to its bid for global legitimacy. On the issue of
representation specifically, ICANN has taken notable steps backward,
hastily abandoning direct public representation after an abortive
experiment with global elections.

But for all of its flaws, it is equally important to note the things ICANN
has done well. ICANN's first mission was to introduce competition to a
domain name market that was under the control of a government-sanctioned
monopoly at the time of its creation. ICANN has made remarkable strides in
introducing competition to the wholesale and retail domain name markets.
Buyers of Internet addresses can choose from among hundreds of retail
registrars selling addresses in dozens of top-level Internet domains like
.com, .info and .biz -- all operated by different wholesale registries.

As options for consumers have increased, prices have plummeted, and
address sellers have broadened their service offerings in order to woo
consumers in the competitive market.

Preserving the stability of the DNS is another of ICANN's charter
responsibilities, and here too, the organization has an impressive track
record. The DNS under ICANN oversight has resisted both internal failures
and external attacks. Much of that stability can be attributed to the
ingenious design of the Internet's addressing system and to the extensive
investments in security and redundancy made by the companies and
organizations that operate the Internet's infrastructure, but credit too
is owed to ICANN, which has made stability its top priority in recent
years. It is ICANN's track record in preserving DNS stability that makes
so many in the Internet community reticent to consider major changes to
global Internet management. Any future changes to Internet management must
be made in a way that preserves the strong framework for global DNS
stability established by ICANN.

While ICANN has made commendable progress in fostering competition and
preserving DNS stability, the same cannot be said for the important goals
of facilitating broad user representation and developing a system of
private, bottom-up coordination.

ICANN's failings are most apparent in the areas of representation and
transparency. Under its original charter ICANN was intended to have a
board divided equally between Internet "stakeholders"  (Internet
companies, standards-setting bodies, etc) and "at-large" members elected
to represent the broad Internet community.

Although those Internet stakeholders have always had a place at the ICANN
table, the at-large representation has never materialized in a meaningful
way. ICANN experimented with global at large elections in 2000, allowing
Internet users from five regions of the world to elect one representative
each to the 19-member board of directors. While still far short of the
50-50 mix envisioned in ICANN's founding documents, it was a strong step
toward representation. But in 2002, ICANN inexplicably voted to end public
elections altogether and restructure its board makeup permanently. Now,
the ICANN board includes no elected representatives, and ICANN's poorly
coordinated efforts to develop an "at-large constituency" to represent
Internet users have yielded little success.

Achieving representation would address many of the underlying concerns
about ICANN. At a core level, a representative ICANN would be more
responsive and accessible to ordinary Internet users. Also, regular
elections would give Internet stakeholders around the world an outlet to
redress their grievances with ICANN and play an active, definable role in
the process. The current international tension over ICANN may never have
reached its current level, had ICANN early on committed to establishing a
meaningful system of global representation.

Equally troubling is that ICANN has made little effort and even less
progress toward improving the transparency of its decision-making
processes. Too much deliberation on important issues still takes behind
closed doors and on private phone calls. ICANN's non- appointed, full-time
staff is still perceived as wielding too much influence in setting ICANN
policy. Absent real representation, this lack of transparency has dealt a
serious blow to ICANN's efforts to establish a truly bottom-up
coordination structure. Most people outside the ICANN structure and even
some that are ostensibly participating in the "bottom-up coordination"
remain perplexed as to how ICANN reaches its decisions and which
stakeholder groups maintain the real influence with decision makers.

Regardless of any other issues, no serious consideration of cutting the
ties between ICANN and NTIA should begin until 1) the organization has
demonstrated that it can operate in an open and transparent manner and 2)
meaningful structures have been put in place to ensure that ordinary
Internet users assume and retain an appropriate role in the ICANN
decision-making process.

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(3) New Milestones for ICANN Autonomy May be Needed

It has become commonplace in the ICANN debate for defenders of the status
quo to simply point out the ways in which ICANN has failed to meet its
obligations under the MOU as a tactic to head off any debate about
altering the organization's oversight. But while members of the US
Internet community may have determined that maintaining the status quo is
the best of all the flawed alternatives currently available, it is still
important -- for the sake of having a meaningful debate -- to ask whether
those tasks should remain the only prerequisites for creating an
autonomous ICANN.

To be clear, all of the existing milestones remain relevant. An autonomous
ICANN would need minimally to preserve DNS stability, encourage
competition, provide appropriate representation for all stakeholders and
operate in a transparent, bottom-up manner. Future agreements with ICANN
should be written with the aim of urging ICANN to continue striving to
meet those fundamental requirements.  But none of those accomplishments
will be of any value if ICANN is cut free from its existing US government
tethers only to be recaptured by other governments.

If the ultimate goal for ICANN remains that it evolve into an autonomous,
nongovernmental body with a representative, bottom-up management
structure, it is important to examine the potential threats such an
organization could face in the current geopolitical environment. The
recently concluded World Summit on the Information Society (WSIS)
demonstrated that there is considerable interest among governments in
playing a more active role in Internet governance. For supporters of a
nongovernmental management structure, replacing US Government oversight
with that of a intergovernmental bureaucracy would solve nothing. Under
the current, imperfect structure, ICANN is protected from external capture
by its contractual bonds with the US Government, but it remains unclear
how an autonomous ICANN would fare upon dissolution of those agreements.

It may be worthwhile for NTIA to commission an expert panel to study the
issues associated with freeing ICANN from US oversight and to propose
mechanisms to ensure that a potentially autonomous ICANN would be able
remain autonomous upon release from its contractual obligations. And while
capture is the most serious issue not addressed by the existing set of
tasks and milestones, it may also be worthwhile for such a panel to engage
in a broader examination of what new considerations should be taken into
account as NTIA and ICANN prepare for the future. Such a study may suggest
important new milestones for ICANN and one that helps preserve the
continued stability of DNS management.

Meanwhile, even as NTIA gauges the progress ICANN has made toward the
milestones established in the MOU, and examines what other issues it may
need to consider as it explores the possibility of relinquishing its
contractual ties, the agency should also consider what steps it can take
to lessen its own impact on the ICANN process. As noted above, NTIA has
done a mostly laudable job of not interfering with ICANN's decision-making
process, but its record is not unblemished. Members of the world Internet
community were rightly outraged when the NTIA sent a letter pressuring
ICANN to delay the creation of a new ".xxx" Internet domain intended for
use by adult content providers. To those critical of the current
structure, that episode provided the clearest illustration yet of the
inherent inequity of US Government oversight.

ICANN may not be ready to stand on its own, but that should not prevent
the NTIA from looking into ways in which it may be able to contractually
lessen its involvement in the ICANN process, without severing its ties
completely. A good-faith plan to reduce the already limited amount of NTIA
involvement in ICANN's activities would demonstrate to the world that the
United States is serious about promoting non-governmental, bottom-up
control of the DNS.

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Detailed information about online civil liberties issues may be found
at http://www.cdt.org/

This document may be redistributed freely in full or linked to
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Excerpts may be re-posted with prior permission of dmcguire@cdt.org

Policy Post 12.13 Copyright 2006 Center for Democracy and Technology
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