18(c) What operating rules will you adopt to eliminate or minimize social costs?

Prototypical answer:

gTLDFull Legal NameDetail
.AIGAmerican International Group, Inc.View

18.3.1 What operating rules will you adopt to eliminate or minimize social costs (e.g., time or financial resource costs, as well as various types of consumer vulnerabilities)?

AIG’s proposed operating rules to limit registration to AIG and its qualified subsidiaries and affiliates will provide a trusted online environment for consumers to access AIG’s online content, and by default will minimize social costs. This verified ecosystem provides consumers with a single trusted source for AIG-branded products and information with a substantially lower risk of fraud and⁄or scams. AIG does not anticipate consumer vulnerabilities. In addition, there is no need for other trademark and brand owners to defensively register second-level domains in the gTLD. In fact, AIG’s expectation is that the usage of the .AIG gTLD will eliminate some of the vulnerabilities that AIG customers face in the wider Internet today.

18.3.2 What other steps will you take to minimize negative consequences⁄costs imposed upon consumers?

AIG believes that the proposed operation of the .AIG gTLD as set forth in this application has no known negative consequences or cost implications to consumers. On the contrary, the proposed operation of this registry will likely lead to direct benefits to consumers.

18.3.3 How will multiple applications for a particular domain name be resolved, for example, by auction or on a first-come⁄first-serve basis?

AIG does not envision multiple applicants for the same domain name, as domain names will be initially allocated only to AIG and its qualified subsidiaries and affiliates in accordance with AIG’s business strategy.

18.3.4 Explain any cost benefits for registrants you intend to implement (e.g., advantageous pricing, introductory discounts, bulk registration discounts).

AIG does not envision any advantageous pricing, introductory discounts, or bulk registration discounts because these marketing⁄commercial initiatives are inconsistent with the mission and purpose of the .AIG gTLD as a trusted online source identifier. Moreover, it is the current intention of AIG to provide domain name registrations to itself and its qualified subsidiaries and affiliates at no cost, though the company reserves the right to reevaluate this decision and may choose to impose a nominal fee in the future. Any potential registrant fees imposed upon licensees and⁄or strategic partners will be made in the future if this class of registrants is permitted to register domain names in the .AIG gTLD.

18.3.5 Note that the Registry Agreement requires that registrars be offered the option to obtain initial domain name registrations for periods of one to ten years at the discretion of the registrar, but no greater than ten years. Additionally, the Registry Agreement requires advance written notice of price increases. Do you intend to make contractual commitments to registrants regarding the magnitude of price escalation? If so, please describe your plans.

AIG is committed to providing the domain name registration periods set forth in the Registry Agreement. However, as noted above, as a branded gTLD, the registration and use of a domain name by a third party is conditioned upon a separate qualified subsidiary or affiliate relationship with AIG. Therefore, providing contractual commitments in a domain name registrant agreement regarding the magnitude of price escalations does not seem relevant or appropriate. Additionally, as noted above, the current business model envisions AIG providing domain name registrations to itself and its qualified subsidiaries and affiliates at no cost.

AIG acknowledges that the current template Registry Agreement requires that the Registry Operator “shall offer registrars the option to obtain registration periods for one to ten years at the discretion of the registrar.” However, AIG and its qualified subsidiaries and affiliates, as the sole registrants within the .AIG gTLD, will only be registering domain names on an annual basis. This is done to better account for costs on an annual basis as well as to provide for more concise financial statements as provided in the answer to Question 46 of this application, i.e., no multi-year registration or deferred revenue.

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