If you have been following the new gTLD process then you know that ICANN has been trying to figure out a “fair” way to determine which new gTLD applications would be processed and how new gTLD’s would be delegated.

We noted back in August that ICANN which couldn’t define a method for the order in which it would process the applications, they would have the same problem when figuring out how to roll the new gTLD’s.

ICANN rejected the idea of a random draw, then went the idea of a batching, then Digital Archery.

After saying that a “draw” or random determination for giving priority one new gTLD applicant over another could be seen as an illegal lottery, ICANN has done a 360 and is now going back to the idea of a random draw.

The draw will be held December4th-15th 2012.

ICANN also extended the objection period until March 13th 2013 from its current deadline of January 15th.

ICANN will start releasing evaluation results starting in “late March 2013 and are scheduled to finish at the end of June of that year. ”

“Those with the lowest Draw Numbers will be released first (after IDNs). ”

“Dividing the number of applications by the number of weeks available indicates that approximately 150 evaluation results should be released per week.”

“In the first weeks, the number of releases might be fewer than that because, when the Draw occurs in December, it will cause a re-ordering of evaluations by the panels. We expect that the number released weekly will ramp up quickly.”

“Applications that pass initial evaluation and are free of objections, and contention will progress immediately onto the next step.

“Applications that fail initial evaluation, or are not free of objections and contention, will not proceed to the next step until evaluations are passed and/or objections and contention cleared.

“Application that later pass extended evaluation, or clear objection or contention will proceed on to the next step along with the applications that pass initial evaluation in the same week that are free from objection and contention.”

Here is what ICANN said in an announcement last night:

“An equitable and reliable method is required for prioritizing new gTLD applications to meet root zone scaling requirements and enable timely processing of applications through contract execution and pre-delegation testing.”

“ICANN will use a Prioritization Draw method to assign a priority number to each application – dubbed the “Draw Number.”

“The Draw is scheduled to occur on a day during the period December 4- 15. ”

“A Draw will be done through the sale of numbered paper tickets.”

“The tickets will be drawn and Draw Numbers will be assigned. ”

“This Prioritization Draw method provides each application with the same chance to move ahead in priority. ”

“Participants must purchase the drawing ticket – either in person or through a in-person representative. ”

The cost of the ticket you might ask

$100.

After paying $185,000 to apply each applicant is going to have to buy a draw ticket for $100 and the  “Draw Numbers will be used to schedule initial evaluations and release evaluation results, the first evaluation results will be published starting in late March and finishing in late June. ”

“The Draw Numbers will also be used later in the process to schedule appointments for pre-delegation testing, and executing agreements. “”There will be approximately 20 pre-delegation testing appointments per week and 20 contracts executed per week.”

“The procedure will include an incentive for applicants to accept the published standard form registry agreement rather than negotiate alternative terms.”

“IDNs will be given a priority. Advance release of IDNs promotes DNS diversity, makes the Internet more accessible, increases avenues of participation and serves the public interest.”

“Providing ~20 appointments weekly for pre-delegation testing will meter applications toward IANA at a smooth rate that meets root zone scaling requirements of 1000 delegations per year.”

“Applications will be released into the contracting and pre-delegation testing processes at a rate that can be anticipated and managed. No contracts will be fully executed or delegations made prior to the ICANN meeting in Beijing (April 7-11, 2013).”

“Given recent discussion regarding the length of the objection period and how it applies to the time necessary to process 1923 applications, it has been determined to terminate the objection period on March 13.”

ICANN has now opened the public comment period on the new plan.

What happened?

Well for one ICANN says they got permission from the state of California to hold a lottery:

“The Draw is an exemption to lottery laws in California and other relevant jurisdictions that permit certain non-profit groups (including ICANN) to hold fundraising drawings. ”

“ICANN has registered for the license for conducting the Draw and expect to receive a license no later than the end of November”.”

However if ICANN can’t get the proper license then they will hold it as a contest:

In our opinion its all the talk about applicants holding private auctions amongst themselves that is now pushing ICANN to move the process along and get a some answers to applicants before applicants simply do it.

In case you’re thinking that applicant can buy another applicant’s ticket, the announcement say your can’t:

“Draw Numbers cannot be exchanged between applications or applicants.”

Also ICANN says they