View source for 20140402 - Testimony of Lawrence Strickling

             <center> 
;The Honorable Lawrence E. Strickling <br/>	
;Assistant Secretary for Communications and Information 	
;National Telecommunications and Information Administration 	
;United States Department of Commerce 	
;
;Before the 	
;Subcommittee on Communications and Technology 	
;Committee on Energy and Commerce 	
;United States House of Representatives 	
;
;Hearing entitled 	
;Ensuring the Security, Stability, Resilience, and Freedom of the Global Internet 	
;April 2, 2014 	
	
</center>	

Chairman Walden, Ranking Member Eshoo, and members of the Subcommittee, thank you for this opportunity to testify on behalf of the National Telecommunications and Information Administration (NTIA) regarding NTIAs role and relationship with the Internet Corporation for Assigned Names and Numbers (ICANN), in particular NTIAs recent announcement of our 	intent to transition key Internet domain name functions to the global multistakeholder 	community. 	

<br/>	
=== <br/>NTIAs Relationship with ICANN and the DNS ===
	
The Domain Name System (DNS) is a critical component of the Internet infrastructure. 	
It allows users to identify websites, mail servers and other Internet destinations using easy-to-	
understand names (e.g.,www.ntia.doc.gov) rather than the numeric network addresses (e.g., 	
170.110.225.163) necessary to retrieve information on the Internet. A July 1, 1997, Executive 	
Memorandum directed the Secretary of Commerce to privatize the Internet DNS in a manner that 	
increases competition and facilitates international participation in its management. In June 1998, 	
NTIA issued a statement of policy on the privatization of the Internet DNS, known as the DNS 	
White Paper.1 The White Paper concluded that the core functions relevant to the DNS should be 	
primarily performed through private sector management. To this end, NTIA stated that it was 	
prepared to enter into an agreement with a new not-for-profit corporation formed by private 	
sector Internet stakeholders to coordinate and manage policy for the Internet DNS. Private 	
sector interests formed ICANN for this purpose, and, in the fall of 1998, NTIA entered into a 	
Memorandum of Understanding (MOU) with ICANN to transition technical DNS coordination 	
and management functions to the private sector. 	
	
The MOU did not simply turn over management of the DNS to ICANN. Rather, the 	
purpose of this agreement was to design, develop, and test mechanisms, methods, and procedures 	
to ensure that the private sector had the capability and resources to assume important 	
responsibilities related to the technical coordination and management of the DNS. The MOU 	
evolved through several iterations and revisions as ICANN tested these principles, learned 	
valuable lessons, and matured as an organization. 	
	
The MOU culminated in 2009 with the Affirmation of Commitments (Affirmation). The 	
Affirmation signified a critical step in the successful transition to a multistakeholder, private-	
sector led model for DNS technical coordination, while also establishing an accountability 	
framework of ongoing multistakeholder reviews of ICANNs performance. To date, two 	
iterations of the Accountability and Transparency Review Team (ATRT) have occurred. These 	
teams, on which NTIA has participated actively with a broad array of international stakeholders 	
from industry, civil society, the Internet technical community and other governments, have 	
served as a key accountability tool for ICANN evaluating progress and recommending 	
"Statement of Policy, Management of Internet Names and Addresses," 63 Fed. Reg. 31741(1998). 	
improvements. We have seen marked improvements in ICANNs performance with the 	
implementation of the 27 recommendations made by ATRT1 and have full confidence this 	
maturation will continue with the ongoing implementation of the 12 recommendations of 	
ATRT2. 	
	
Throughout the various iterations of NTIAs relationship with ICANN, NTIA has played 	
no role in the internal governance or day-to-day operations of ICANN. NTIA has never had the 	
contractual authority to exercise traditional regulatory oversight over ICANN. 	
	
=== The Internet Assigned Numbers Authority (IANA) Functions === 	
	
In the DNS White Paper, NTIA announced its intent to assure the continued secure and 	
stable performance of certain DNS functions, initially through contracts, until the transition was 	
complete. Specifically, this included the performance of the Internet Assigned Numbers 	
Authority (IANA) functions. The IANA functions are a set of interdependent technical functions 	
that enable the continued efficient operation of the Internet. The IANA functions include: (1) the 	
coordination of the assignment of technical Internet protocol parameters; (2) the processing of 	
change requests to the authoritative root zone file of the DNS and root key signing key (KSK) 	
management; (3) the allocation of Internet numbering resources; and (4) other services related to 	
the management of the .ARPA and .INT top-level domains (TLDs). 	
	
The IANA functions were initially performed under a series of contracts between the 	
Department of Defenses Advanced Research Projects Agency (DARPA) and the University of 	
Southern California (USC), as part of a research project known as the Terranode Network 	
Technology (TNT). As the TNT project neared completion and the DARPA/USC contract 	
neared expiration, USC entered into a transition agreement with ICANN under which ICANN 	
secured directly from USC all necessary resources, including key personnel, intellectual 	
property, and computer facility access critical to the continued performance of the IANA 	
functions. In 2000, NTIA then entered into a sole-source, no-cost-to-the-government contract 	
with ICANN for the performance of these functions. 	
	
NTIA and ICANN have subsequently entered into contracts for the performance of the 	
IANA functions in 2001, 2003, and 2006. On July 2, 2012, NTIA awarded ICANN, via a full 	
and open competitive procurement process, the current IANA functions contract. The base 	
period of performance for this contract is October 1, 2012 to September 30, 2015, and includes 	
two separate, two-year option periods. If both option periods are exercised the contract would 	
expire on September 30, 2019. All five contracts have been at no cost to the U.S. Government. 	
	
As the IANA functions operator, ICANN maintains, updates and makes publicly 	
available registries related to the three IANA functions. First, ICANN is the central repository 	
for protocol name and number registries used in many Internet protocols. It reviews and assigns 	
unique values based on established policies and guidelines as developed by the Internet 	
Engineering Task Force (IETF). Second, it coordinates allocations of IP (Internet Protocol) and 	
AS (Autonomous System) numbers to the Regional Internet Registries (RIR) who then distribute 	
IP and AS numbers to Internet Service Providers and others within their geographic regions. 	
Third, ICANN processes root zone change requests for Top Level Domains (TLDs) and makes 	
publicly available a Root Zone WHOIS database with current and verified contact information 	
for all TLD registry operators. In all three cases ICANN as the IANA functions operator applies 	
the policies developed by the interested parties when completing requests related to the various 	
IANA functions customers. 	
	
NTIAs role in the IANA functions includes the clerical role of administering changes to 	
the authoritative root zone file and, more generally, serving as the historic steward of the DNS 	
via the administration of the IANA functions contract. The NTIA role does not involve the 	
exercise of discretion or judgment with respect to such change requests. From the inception of 	
ICANN, the U.S. Government and Internet stakeholders envisioned that the U. S. Governments 	
role in the IANA functions would be temporary. The DNS White Paper stated that agreement 	
must be reached between the U.S. Government and the new corporation (ICANN) relating to the 	
transfer of the functions currently performed by IANA.2 	
	
=== Next Steps in the Continued Transition of the NTIA Role ===	
	
On March 14, 2014, NTIA announced its intent to transition key Internet domain name 	
functions to the global multistakeholder community. This marks a milestone toward the final 	
phase of the privatization of the DNS first outlined by the U. S. Government in 1998. To 	
accomplish this, we have called upon ICANN to convene a multistakeholder process to develop 	
the transition plan. While looking to stakeholders and those most directly served by the IANA 	
functions to work through the technical details, NTIA deliberately established a clear framework 	
to guide the discussion. Specifically, we communicated to ICANN that the transition proposal 	
must have broad community support and address four principles. 	
	
First, the transition proposal must support and enhance the multistakeholder model. 	
Specifically, the process used to develop the proposal should be open, transparent, bottom-up, 	
and garner broad, international stakeholder consensus support. In addition, the proposal should 	
include measures to ensure that changes made to any of the three IANA administered databases
are consistent with the publicly documented IANA functions customer and partner accepted 	
procedures which are developed through the multistakeholder model. 	
	
Second, the transition proposal must maintain the security, stability, and resiliency of the 	
Internet DNS. For example, the decentralized distributed authority structure of the DNS needs to 	
be preserved so as to avoid single points of failure, manipulation or capture. In addition, the 	
integrity, transparency, and accountability of IP numbers, domain names, and Internet protocol 	
assignments must be preserved. The IANA services also need to be resistant to attacks and data 	
corruption, be able to fully recover from degradation, if it occurs, and be performed in a stable 	
legal environment. 	
	
Third, the transition proposal must meet the needs and expectations of the global 	
customers and partners of the IANA services. For example, mechanisms for the adherence to 	
and development of customer service levels, including timeliness and reliability, should be clear, 	
as should processes for transparency, accountability, and auditability. Consistent with the 	
current system, the separation of policy development and operational activities should continue. 	

Fourth, the transition proposal must maintain the openness of the Internet. The neutral 	
and judgment free administration of the technical DNS and IANA functions has created an 	
environment in which the technical architecture has not been used to interfere with the exercise 	
of free expression or the free flow of information. Any transition of the NTIA role must 	
maintain this neutral and judgment free administration, thereby maintaining the global 	
interoperability of the Internet. 	
	
In addition, NTIA explicitly stated that we would not accept a proposal that replaces the 	
NTIA role with a government-led or an inter-governmental organization solution. This condition 	
is consistent with the clear policy expressed in bipartisan resolutions unanimously adopted of the 	
U.S. Senate and House of Representatives (S.Con.Res.50 and H.Con.Res.127) during the 112th 	
Congress, which affirmed the U. S. support for the multistakeholder model of Internet 	
governance. 	
	
While the current IANA functions contract expires September 30, 2015, there are two 	
separate two-year option periods that would extend the contract for up to four years. 	
Accordingly, NTIA believes there is sufficient time for stakeholders to work through the 	
ICANN-convened process to develop an acceptable transition proposal. NTIA has made clear 	
that the transition proposal must have broad multistakeholder support and reflect the four key 	
principles we outlined in our announcement. Before any transition takes place, the businesses, 	
civil society and technical experts of the Internet must present a plan that ensures the 	
uninterrupted, stable functioning of the Internet and its present openness. NTIA has repeatedly 	
said that we will not accept a proposal that replaces the NTIA role with a government-led or 	
inter-governmental organization solution. 	
	
=== Why Take this Step Now ===	
	
The Internet is vital to economic growth and innovation around the world. One key to 	
maximizing this growth and innovation is to ensure that the broad Internet community 	
companies, technical groups, civil society and governments continue to work together as equal 	
partners in crafting the rules of the road for the Internet through the multistakeholder model. 	
Some authoritarian regimes however do not accept this model and seek to move Internet 	
governance issues, including the DNS, into the United Nations system in order to exert influence 	
and control over the Internet. This played out during the 2012 World Conference on 	
International Telecommunications in Dubai where the world split on fundamental issues of 	
Internet governance. This issue will likely resurface at the October 2014 International 	
Telecommunication Union Plenipotentiary Conference, where we expect some countries to once 	
again attempt to insert themselves in the middle of decisions impacting the Internet. 	
	
Some have argued that what NTIA is doing is tantamount to giving away the Internet. 	
That could not be further from the truth. There is no one party government or industry, 	
including the U. S. Government that controls the Internet. The Internet is a decentralized 	
network of networks. What we have in fact done, is demonstrate leadership and strategic vision 	
by laying out a framework with clear conditions to finalize a process that has been ongoing for 	
16 years. The ICANN convened process that is currently underway will help prevent 	
authoritarian countries from exerting too much influence over the Internet by promoting the 	
multistakeholder model that has made the Internet the success it is today. This is why a broad 	
group of stakeholders have expressed their support for NTIAs announcement. These include 	
Internet technical community leaders, U.S. companies such as AT&T, Verizon, Microsoft, 	
Google, Cisco, and Comcast, and public interest groups like Public Knowledge and the Center 	
for Democracy and Technology, and associations like the Chamber of Commerce, the Computer 	
and Communications Industry Association, and the Software and Information Industry 	
Association. And bipartisan leaders in Congress have provided thoughtful comments that 	
demonstrate clear support for the multistakeholder model of Internet governance. 	
	
=== Conclusion ===	
	
With the March 14 announcement, NTIA has taken the next step in the 16 year process 	
to privatize the coordination and management of the DNS. We believe the timing is right for this 	
next step as the Internet technical organizations, including ICANN, have matured, with ICANN 	
having taken steps in recent years to improve its accountability, transparency, and technical	
competence. At the same time, international support continues to grow for the multistakeholder	
model of Internet governance, in some quarters, as evidenced by the continued success of the	
Internet Governance Forum and the resilient stewardship of the various Internet institutions.	
ICANN last week began the process of convening stakeholders for the first of many public	
discussions on this topic. During this period, NTIAs role will remain unchanged. We have said	
we will not accept a transition plan that would replace the NTIA role with one led by	
governments or an inter-governmental organization and we have established a framework of four	
principles that the process must address. This must be a careful and thoughtful process. If a plan	
that meets these criteria cannot be implemented by Sept. 30, 2015, we can extend the contract for	
up to four years.	
	
NTIA fully supports the need to ensure the continued growth, innovation and openness of	
the Internet to support economic development. This latest step, an important demonstration of	
the U.S. Governments commitment and confidence in the multistakeholder model, will help	
support these goals.