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FTC Sings From Marketers And Advertisers Hymn Sheet At New gTLD Hearing

Whether or not the introduction of new gTLDs suffered a setback Wednesday is yet to be seen, but the Federal Trade Commission certainly did its best as it regurgitated material from the Coalition for Responsible Internet Domain Oversight (CRIDO) and its members.

The introduction of new gTLDs would be a "disaster," the US Federal Trade Commission Chairman Jon Leibowitz told a House Judiciary subcommittee. He further commented that the programme would be more costly than necessary for businesses and would let con artists set up fraudulent websites, reported Bloomberg on the hearing of the House Subcommittee on Intellectual Property, Competition and the Internet.

Leibowitz went on to say it "could be very harmful" and that the FTC sees "enormous cost to consumers and businesses and not a lot of benefit."

Leibowitz's comments must be music to CRIDO and their supporter's ears, with the comments almost a carbon copy of claims, usually without merit or showing a lack of knowledge of the proposal to introduce new gTLDs.

Responding to Leibowitz's comments, Bloomberg reports that ICANN's Brad White said in an email that ICANN appreciates the concerns raised by Chairman Leibowitz.

"Icann has already committed to vigilantly monitor for abuses" to the new domain program, White said. "If and when any program abuses arise, there are mechanisms in place to address them."

The Commerce Department also commented, and said they are "sensitive to the concerns being raised by some companies," Assistant Secretary of Commerce Lawrence Strickling said in an e-mail today.

"We will closely monitor the execution of the program and are committed to working with stakeholders, including U.S. industry, to mitigate any unintended consequences," Strickling said, without elaborating.

In separate comments, Leibowitz spoke to The Hill and said the new rules will be a headache for his agency and other law enforcement officials.

Leibowitz went on to tell The Hill that many scammers already use misleading and false web addresses to lure in unsuspecting consumers. ICANN's plan will create new possibilities for fake websites to take advantage of consumers.

Regarding ICANN's claims they have committed to monitor for abuses, Leibowitz said the FTC does not "believe the protections are adequate. We think there's too much uncertainty, but we will certainly be willing and expect sit down with ICANN and hear them out."

The committee hearing on Wednesday preceded the U.S. Senate Committee on Commerce, Science, and Transportation full committee hearing on Thursday that will also discuss the introduction of new gTLDs.

 
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