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<P><FONT SIZE=2 FACE="Arial">All,</FONT>
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<P><FONT SIZE=2 FACE="Arial">Set forth below is a proposed friendly amendment to the Vertical Integration Motion.</FONT>
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<P><FONT SIZE=2 FACE="Arial">-*-</FONT>
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<P><FONT SIZE=2 FACE="Arial">Whereas, Recommendation 19 of the GNSO policy authorizing the new gTLD process states: "Registries must use only ICANN accredited registrars in registering domain names and may not discriminate among such accredited registrars;"</FONT></P>
<P><FONT SIZE=2 FACE="Arial">Whereas, opening up the market to many new TLD operators may call into question some of the assumptions on which the separation of registry and registrar functions is based;</FONT></P>
<P><FONT SIZE=2 FACE="Arial">Whereas, economic research commissioned by ICANN staff also suggests that changes in these assumptions might be justified;</FONT></P>
<P><FONT SIZE=2 FACE="Arial">Whereas, the new gTLD policies passed by the Council do not provide any guidance regarding the proper approach to cross ownership and vertical integration, but instead implicitly suggest that the status quo be left in place;</FONT></P>
<P><FONT SIZE=2 FACE="Arial">Resolved: the GNSO Council hereby requests the preparation of an Issues Report on future changes in vertical integration and cross-ownership between gTLD registrars and registries, to assist in determining whether a PDP should be initiated regarding what policies would best serve to promote competition and to protect users and registrants.</FONT></P>
<P><FONT SIZE=2 FACE="Arial">-*-</FONT>
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<P><FONT SIZE=2 FACE="Arial">For convenience, I've copied below a redline of the proposed amendment against the motion as originally put forth.</FONT>
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<BR><FONT SIZE=2 FACE="Arial">K</FONT>
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