[NA-Discuss] "Chicken and Egg" Problem

[Volker Greimann]

With the amount of cash flowing into ICANN this month due to the 
applications for new TLDs, a substantial part of which is earmarked for 
potential legal issues, and another large batch will not be used for a 
long time due to the way the batching process is set up, I honestly 
would not worry too much about the reserves. Also bear in mind that each 
new registry will contribute another USD 25k to ICANN annually (at a 
minimum).

For those registrars holding multiple accredited registrars, their 
business models usually depend on these accreditations, at least 
partially, so there would be little to no incentive for those registrars 
to torpedo their own business models just to punish ICANN a little...

Finally, if these registrars decided to cancel their multiple 
accreditations, ICANN would probably able to adapt to the decrease in 
funding in time before the reserves run out.

Volker

> Ok, that's a fair amount.
>
> However, in this hypothetical the reserve would be chipped away at year
> after year. How long would that be appropriate?
>
> I'm not debating, I'm really just trying to play it all out.
>
> --------------------------------------------------
> From: "John R. Levine"<johnl at iecc.com>
> Sent: Tuesday, April 03, 2012 11:29 PM
> To: "Garth Bruen at Knujon.com"<gbruen at knujon.com>
> Cc: "LACRALO discussion list"<lac-discuss-en at atlarge-lists.icann.org>; "NA
> Discuss"<na-discuss at atlarge-lists.icann.org>
> Subject: Re: [NA-Discuss] "Chicken and Egg" Problem
>
>>> John, do you know offhand how much is in the reserve?
>> They publish the numbers:
>>
>> https://charts.icann.org/public/index-finance-reserveB.html
>>
>> Looks to me like it currently contains about $50 million.  In answer to
>> another comment, it really is a reserve, not a dedicated fund or anything
>> else.
>>
>> R's,
>> John
>>
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