Icann signs off controversial budget

Icann, the non-profit agency in charge of the internet's address system has gained approval for its controversial 2004 to 2005 budget, following months of acrimony between large registrars and their smaller competitors.

The Internet Corporation for Assigned Names and Numbers hammered out the agreement late last week after resolving a key disagreement that had delayed the measure. The sticking point was a tripartite fee structure that smaller registrars organised to fight, claiming it unfairly disadvantaged them.

Kurt Pritz, Icann's vice president for business operations, said: "We're declaring that the budget is adopted and the fee structure has been approved. This is not a victory over the registrars. It's a victory with the registrars."

Icann's budget woes come as the group fends off numerous costly lawsuits. The highest profile of these, by Verisign, was thrown out of federal court in August and immediately revived in California state court.

Pritz said Icann was defending itself in more than a half dozen other suits, and that from last fiscal year to this one its legal expenses had risen by $1.4m, more than doubling.

Icann's budget this year leapt to $15.8m, up from $8.3m last year.

Icann then had to gain approval for increased fees by two-thirds of the very domain name registrars paying the fees. Icann has more than 300 registrars.

Paul Festa writes for News.com