Norid: Strategic plan 2005-2010 - From registry to critical infrastructure

In just a few years, the Internet and domain names have gained an ever-growing presence and importance for all parts of our society. As a result, the volume of registered domain names is increasing as well. During the past five years, the number that we have registered has increased nearly fivefold, from fewer than 50,000 domain names early in 2000 to more than 230,000 in 2005 (updated figures).

For Norid as the .no registry, this involves challenges in a many areas. This strategic plan responds to these challenges by providing direction and priorities for the development of Norid during the next few years. At the outset, the time frame of the plan is five years; the development of the domain area will show whether the plan provides an adequate control tool for the whole of this period or whether we need to adjust our course on the way.

The plan is the result of a process driven by the company's Board of Directors in cooperation with Managing Director and the staff. All Norid's employees have been actively involved, and as a result, we hope that each individual will be able to see their day-to-day work and their contributions in context with the enterprise's foundation of values and the strategic goals that have been set.

We hope the plan provides insight and understanding for our owners and other decision-makers, and that it motivates involvement in domain issues from other interested parties as well.

1. About Norid

Norid is the .no registry, which means that all domains directly within .no must be registered with Norid. In addition to processing applications and developing the domain name policy, Norid is responsible for the technical operation of the domain name service and keeping the Norwegian Internet globally accessible at all times. According to its role as a neutral actor, Norid also handles other national tasks which have a natural relation to the core activities.

The registry follows a principle of only handling essential core tasks inhouse, while other tasks are set out to companies who offer registrar services in agreement with Norid. The activites are strongly internationally orientated with a wide range of contacts in technical as well as domain administrative environments in other countries.

The service is regulated by the Domain Regulation and is supervised by the Norwegian Post and Telecommunications Authority. The organization is run according to the non-profit principle. Norid is part of UNINETT and is located in Trondheim with the rest of the Group.

Vision

Foundation values

Norid's vision and organization are anchored in a strong social responsibility, and reflect the fact that we manage a resource which is important for all parts of society. Both technology and regulations are developed with a view towards the future and with a long-term perspective.

Neutrality in the sense of equal treatment and impartiality is a key value. Norid must act responsibly in relation to its role as the manager of a limited resource. This imposes requirements for professionalism in communication and actions.

As in the rest of UNINETT, the professional operations are grounded in solid technological competence and stringent requirements for quality.

2. Trend analysis

For a registry, the trends associated with new registrations and the total number of registrations are the most important indicators of which challenges we must anticipate. In addition to analysing our own figures, we have carried out a comparison with other top-level domains to look at their experiences with the portion of domain names that are renewed from year to year. In addition, we have analysed Norid's competitive situation.

New registrations

The number of new domain names registered within .no has grown right from the start (figure 1). The increase was exponential during the first few years. At the beginning of 1997, the growth entered a new phase. The exponential increase continued, but at a lower rise. This increase has been steady after 1997, except for two specific periods: 2000-2001 (liberalization of the regulations) and the beginning of 2004 (introduction of domain names with national characters). During these periods there was a short-term surge in growth before it returned to the expected level.

In future, the number of new registrations will depend on the framework set in the regulations. If the potential volume of applicants increases – for example, through the opening of .no to subscribers outside of Norway, or if each applicant gets access to more domain names than at present – this will have an impact on growth.

Provided that no major changes are made in the regulations, we expect that growth will continue to increase exponentially at the same rate as in recent years, with a doubling in the number of new registrations about every three years. As long as all new registrations require processing by Norid, the total volume of new registrations will be directly proportional to the load on the registry.

Total number of registrations

The number of registrations within .no totals more than 230,000 domains, and is expected to continue growing.

With an increasing number of domain names in the database, the number of update, delete and transfer notifications which must be processed increases accordingly. The total of such notifications has overtaken the number of new registrations, and it is thus increasingly important to find ways to also streamline these processes.

The number of such notifications varies considerably from month to month, causing some uncertainty in an analysis of the underlying data. However, the clear tendency in the data is that the volume varies in proportion to the number of domain names registered in the database at any time. The number of update, delete and transfer notifications each month is roughly about 4-5 % of the total number of domain names registered in the database.

Comparisons with other top-level domains

Although it is not a goal for Norid to promote .no as the only domain for Norwegian users, the market share of .no compared to other top-level domains in Norway is an indication of how suitable the Norwegian community finds the .no domain.

A number of organizations have domain names both within .no and within the generic top-level domains. The figure does not show which of these domains they actually use, and which are registered only to prevent others from misusing their name. The analysis does however provide a clear indication of the extent of the .no domain in relation to the other top-level domains in Norway. Of the domain names associated with Norwegian users, 64.2 % comprises .no domains. The .no domain is thus relatively widespread in Norway, which is also supported by comparison with corresponding figures for other top-level domains. The proportion for Denmark is higher (72 %), while Finland has a lower share (48 %) for its top-level domain.

In January 2005, Norid introduced a model in which domain subscribers must actively renew their domain every year to keep it. If they do not, the domain is deleted. It is too early to say what the renewal percentage for .no domains will be, since we currently have only a few points of measurement (complete report for 2005). The proportion for January and February 2005 was however 93.5 % and 92.7 % respectively, which indicates that .no domains have an extremely high renewal rate compared with, for example, co.uk (62 %), .com (70 %) or .dk (83 %). Comparison with the .com domain also shows that starting the year after the model is introduced, the renewal percentage in such a model rises (.com had a renewal rate of 55 % the first year, 65 % the next year and then 70 %).

The high renewal rate for .no domains indicate that few domain registrations are regarded as "disposable". The tendency seems to be that the domains are in use and that the subscribers thus wish to keep them. This is probably an effect of the regulations that have been chosen. Although the limit of 20 domains per applicant appears to satisfy most of the applicants, since more than 98 % of the subscribers have 10 or fewer domain names, this limit no doubt has the effect that applicants usually register domain names with the aim of long-term use. This in turn means that we can expect the total number of domain names to continue to grow.

3. A new phase towards 2010

The role of a registry is demanding on several levels. Norid must serve the whole of Norwegian society and manage a key resource in society's best interest. In addition, we are responsible for drawing up the regulations that govern the use of this resource. Norid is required to operate in understanding with the authorities, to be attentive to society's needs, and to ensure that our organization is capable of responding effectively to changes, especially with regard to technological development in the domain area.

The registry also faces a number of challenges specific to the phase that currently applies to the top-level domain and the unit.

In phase 1 the challenges are primarily associated with gaining experience in the domain technology and getting people interested in using the domain. In phase 2, the number of domain applicants increases steadily and the registry must handle a growing number of applications, as well as open a more formal dialogue with the Local Internet Community.

Norid and the .no domain have gone through the first two phases and are now moving on to phase 3. This phase is characterized by the growing importance of the Internet in everyday life, resulting in an increasingly larger and more varied group using Norid's services. We must assume that new user groups have completely different requirements for user-friendliness and predictability than the expert users from the start-up phases. At the same time, stricter requirements are set for robustness and formalization of what constitutes the core of an important infrastructure in Norway.

Introduction of the registrar model and of automated tools have been important instruments for dealing with the exponential growth in phase 2, but new challenges emerge in connection with maintenance of the top-level domain when the total number of registered domains exceeds a certain level. Added to the fact that growth is still increasing exponentially, this means that the registry must be prepared to make a substantial commitment to the development of systems and models to keep up to date. It is also probable that staffing will need to continue to increase in order to cope with this growth.

In the really large top-level domains (.com, .de, .uk), growth in domain names seems to be flattening out somewhat. Here, the volumes of data are so large that we can talk about a phase 4 where the challenges reflect the fact that the basic software, such as database programs and DNS, is being pushed to the limits of its performance capacity. It is uncertain whether the .no domain will ever reach this phase, as the potential volume of users is smaller than for the largest top-level domains.

The challenges that Norid must tackle during the next five years are thus partly related to the basic requirements for our role as a registry, but are also to a great extent associated with our entry into a new phase.

Strategic objectives for the period 2005-2010

The .no domain must be a practical and appropriate domain for Norwegian society
Norid shall focus on the core areas and operate efficiently
Norid shall retain a good and stable relationship with Norwegian authorities
Norid must keep up to date on the technical development in the domain area, and the .no domain shall be among the foremost with regard to robustness and operational quality
Norid shall keep up with, and influence important areas of international policy development regarding domain names

4. Strategic plan 2005-2010

The strategic goals adjoin and influence each other. The most common connections follow the boundaries shown in the figure below.

The boundaries between the various goal areas may change over time. During the time frame of this plan, this will primarily apply to the boundary between goals associated with the relationship to the authorities and goals related to international policy development. This distinction is in development through the UN-controlled World Summit on the Information Society (WSIS) process, among others.

It will be necessary to prioritize and balance the various strategic goals. One relevant issue will be the balance between the objectives of a suitable domain for the users and a good relationship with Norwegian authorities. The authorities may have requirements and wishes that conflict with the users' wishes, and any priorities between the two must be clearly justified to both parties.

It is also necessary to balance the strategic objective of effective operations with the desire to carry out extensive activities associated with the other areas. The more of the other strategic goals one achieves, the more difficult it becomes to keep the organization focused and efficient.

Norid's highest priority is that the .no domain is a suitable and attractive domain for its users. In addition to this, Norid will initially give priority to the strategic goals of effective operations and a good relationship with the authorities, as these areas represent the core of what we need to accomplish to fulfil our duty as a registry.

For the aims regarding technical development and international policy development, we can choose the degree of involvement to a greater extent. Both areas are wide-ranging, and Norid will therefore emphasize the selection of individual fields of activity and focuse resources on these select areas. Of these, technical development will be given priority, especially in areas of activity associated with the quality of operations for the .no domain. Activities in international policy development will be limited to a minimum, focusing on the activities which are critical in relation to central international players or necessary as part of the relationship to Norwegian authorities.

Activities

The figure shows the various areas of activity within each of the strategic goals and clarifies which activities lie in the borderland between two different goals.

Suitable for the users

The .no domain must be a suitable and appropriate domain for Norwegian society

It should be easy and quick to register a .no domain. Applicants and domain name holders should experience predictability and correct administrative procedures. Norid must maintain a good, professional relationship with the registrars to ensure that they handle the contact with Norid's customers in a satisfactory manner.

For the .no domain to be attractive to domain applicants and serve the needs of the whole society, it is critical that Norid is in dialogue with the various stakeholders. The regulations for .no must be updated so that they remain adapted to society's needs at all times.

Relationship with the authorities

Norid has a responsibility to design the registration system so that registration of domain names takes place in an appropriate way, in accordance with the regulations and within the framework set by the regulatory authority. This includes defining the boundary between the tasks that will stay centralized with Norid and the tasks that are to be left to the registrars, as well as securing competition by offering equal terms to all registrars.

In drawing up the regulations, Norid must balance the interests of various groups so that the regulations take all parties into account to the greatest extent possible, while at the same time fulfilling the requirements in the Domain Regulation.

Norid must show responsibility in relation to Norwegian legislation and regulations, and in relation to the special position we have as the registry. We will continue the close cooperation we have with the supervising authority.

Efficient management

Norid must offer an efficient and robust high-quality service. Automation is an important instrument for increasing the efficiency of the administrative procedures. As a non-commercial enterprise, Norid must continue to operate cost-effectively, while we ensure that we have the necessary financial reserves to ensure robust service.

The framework for Norid's tasks changes in line with the needs of the society we serve, which requires that Norid as an organization must be able to adapt quickly. To achieve this, Norid focuses on the core business, while other tasks, such as the call center and accounting services, are delegated to subcontractors. In addition, it is important to recruit and keep employees with competence in the core areas.

Norid must ensure its visibility as a registry. It is critical that the allocation of responsibility between Norid and the applicant/holder as well as between Norid and the registrars is clear and unambiguous. It is also important that this is accepted by society.

Technical development

Norid must keep up to date on the technical development in the domain area, and the .no domain shall be among the foremost with regard to robustness and operational quality

The top-level domain is a central part of the Internet infrastructure in Norway, which sets stringent requirements for robustness and stability in Norid's systems. Norid must be among the foremost registries in this area.

The development of new technology in the domain name area happens fast, and Norid will participate in the international forums necessary, to keep up to date. Although we are a small registry on the global scale, we wish to be a driving force within some areas, partly through our own development projects and partly by participating in external projects.

International policy development

Norid shall keep up with and influence important areas of international policy development regarding domain names

Norid wants a well-defined and good relationship with ICANN (Internet Corporation for Assigned Names and Numbers). Through processes within ICANN, Norid wishes to be involved in influencing international development aimed at winning acceptance for the principle that the framework for a national top-level domain should primarily be determined in the individual country.

However, for us as a small country, CENTR (Council of European National Top-Level Domain Registries) is the most important international forum. Norid will work together with other European registries through active work in CENTR.

The international arena is in strong development. Authorities in various countries have started to demand a more active role, and the situation in this area may change considerably during the time frame of this plan. Through working together with CENTR and Norwegian authorities, Norid strives to keep up to date on this process.

5. About the UNINETT Group

The UNINETT Group supplies network and network services for universities, university colleges and research institutions and handles other national ICT tasks.

The Group is owned by the Norwegian Ministry of Education and Research and consists of a parent company and four subsidiaries: UNINETT ABC, which supports the Norwegian educational sector with advice and recommendations on ICT solutions; UNINETT FAS which provides technical operation of administrative systems for universities and university colleges; UNINETT Norid, which operates the registration service for domain names under the .no domain; and UNINETT Sigma, which is metacentre for high performance computing (HPC) in Norway. The parent company UNINETT develops and operates the Norwegian research network, which links together Norwegian educational and research institutions and connects them into an international network.

The UNINETT Group offers one of the most advanced network environments in Norway and has international activity via research projects as well as in standardization work within the Internet field. In addition to 56 permanent employees, a considerable number of students and professionals from the entire university and college sector are attached to the enterprise on a project basis.

The activity is run non-profit. All the UNINETT companies are located in Teknobyen in Trondheim. Turnover in 2004 totalled NOK 148 million.

Strategic plan 2005-2010

From registry to critical infrastructure

Contents

Foreword