Intel Corporation (“Intel”) is the world’s largest semiconductor chip maker, based on revenue. Intel develops advanced integrated digital technology, primarily integrated circuits (semiconductor chips etched with interconnected electronic switches), for industries such as computing and communications. In addition, Intel also develops computing platforms designed to provide optimized solutions. Intelʹs goal is to be the preeminent computing solutions company powering the worldwide digital economy. Intel is seeking to transform from a company with a primary focus on the design and manufacture of semiconductor chips for PCs and servers, to a computing company that delivers complete solutions in the form of hardware and software platforms and supporting services.
Intel’s products are sold and purchased by customers worldwide, and Intel content is accessible in multiple TLDs, including the .COM gTLD and .CN, .RU, NL, IT, and .JP ccTLDs.
Through a unified corporate approach, Intel intends to submit two gTLD applications for the strings .INTEL and .ULTRABOOK.
The Ultrabook™ brand has been a significant part of the initiative to achieve the goal stated above. These new devices are powered by second-generation Intel® Core™ processors, and deliver a highly responsive and secure mobile computing experience in a thin, light, and elegant design at mainstream prices. Intel’s vision is to enable a new user experience by accelerating a new class of mobile computers. Intel Capital, the company’s global investment organization, has already created a “$300 Million Ultrabook Fund” to help drive innovation in this category of devices. Intel expects Ultrabook systems to make up 40% of the consumer laptop market segment by the end of 2012.
The intended future mission and purpose of the .ULTRABOOK gTLD is to serve as a trusted, hierarchical, and intuitive namespace provided by Intel and possibly its subsidiaries and affiliates for Intel brand customers and other consumers to aid in achieving the goal stated above by helping drive the Ultrabook initiative. However, Intel is primarily filing this application in ICANN’s first gTLD application round for precautionary reasons given the uncertainty regarding when ICANN will be opening a second round. Therefore, although Intel is committed to moving forward with the .ULTRABOOK gTLD application, at the time of filing this application, there has not been enough time, and currently there is not enough market information available, to fully analyze and evaluate all potential use case options.
Although ICANN has not specifically recognized a .BRAND gTLD specification in the current version of the Applicant Guidebook, it is widely anticipated within the brand-owner community that this will become a specialty subset of the new gTLDs. The .ULTRABOOK gTLD is planned as a .BRAND gTLD, with the goal of protecting Intel’s online presence and identity, expanding its marketing and promotion efforts, providing a secure channel for online products and services, and offering a platform through which to consolidate many of the intellectual property activities of Intel.
Intel intends to initially limit registration and use of domain names within the .ULTRABOOK gTLD to Intel and possibly its qualified subsidiaries and affiliates. This initial limited use will allow Intel to establish its operations and achieve full sustainability. This limited distribution coupled with the other requirements set forth in Specification 9 of the template Registry Agreement is intended to exempt Intel from its annual Code of Conduct Compliance requirements.
After establishing operations and achieving full sustainability, Intel will evaluate whether opportunities exist to carry out the business strategy for the .ULTRABOOK gTLD through expansion that continues the sustainable operations of the registry through fee-based registrations to parties other than Intel and its qualified subsidiaries and affiliates.
Intel currently plans a four-stage rollout for the .ULTRABOOK gTLD. The dates of the following stages are subject to change depending upon business, strategic, and industry factors at the time.
1. Stage One
The initial stage of implementation of the gTLD will involve Intel registering a limited number of .ULTRABOOK second-level domain names.
This initial use will provide Intel’s IT and security personnel the time to run a number of tests to ensure seamless and secure access using the .ULTRABOOK gTLD domain names, interoperability with various software and Web-based applications, and unbroken and secure use of all names. This initial allocation will also allow the appropriate Intel staff to coordinate with the internal and external staff responsible for the application, delegation, and setup phases of the .ULTRABOOK gTLD to ensure a proper transition from delegation to full operation.
2. Stage Two
Once all testing has been successfully completed, Intel will begin allocating domain names in .ULTRABOOK for more widespread internal corporate use. During this same period of time, Intel will begin evaluating strategies to potentially migrate traffic away from its current patchwork network of second-level domain names, which are registered in a variety of TLDs, to Intel’s new gTLD.
It is in Stage Two that Intel will evaluate expanding the operations of the gTLD to permit registration by other registrants, such as licensees and⁄or strategic partners. Should an assessment of its expansion strategy lead to a decision to extend registration rights to other parties, this expansion is currently planned to take place during Stage Three. However, any expansion would be conditioned upon a review of the Specification 9 (Registry Code of Conduct) set forth in the template Registry Agreement to ensure compliance with Intel’s business model.
3. Stage Three
Depending upon the analysis of the evaluations undertaken in Stage 2, Intel may begin to implement the permanent migration of Internet traffic away from the TLDs in which Intel’s domain names are currently registered, and toward the .ULTRABOOK gTLD. It is in this stage that Intel also may implement its decision to extend registration rights to licensees or strategic partners, depending upon compliance with Specification 9 as noted above.
After consideration of the following factors: analysis of Intel’s existing domain name portfolio; internal analysis of marketing initiatives; and Intel’s full control over the number of registrations in the .ULTRABOOK gTLD namespace, Intel is confident that the number of domain name registrations will be less than 10,000 in the first five years of operation.
4. Stage Four
Based on its experience to the end of Year 5, and based on its experience with any expansion implemented in Stage Three, Intel will assess whether its business plan and expansion strategy should be augmented by extending registration rights to a broader class of registrants, including potential customers of Intel. It is anticipated by Intel that changes to the domain name industry, and particularly the impact of .BRAND gTLDs, will take at least five years to be realized and assessed. Any decision to expand the gTLDs beyond corporate, qualified subsidiary and affiliate, and licensee use will take into account this experience as well as the technical analysis of potential expansion.
Potential use of the .ULTRABOOK gTLD will also be driven by Intel’s future business strategies as identified in its annual report and investor filings, see http:⁄⁄www.intc.com⁄annuals.cfm.
Utilizing current projections based upon Intel’s existing businesses, future business plans, current domain name portfolio, and other strategic factors, Intel estimates second-level domain name registrations to be in line with the projections set forth in the financial template provided in the answer to Question 46 of this application.
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