InternetNZ is a non-profit organisation. Profits are used amongst other things for:
.nzdomain name registration
Organisations are already tempted to register and use
.com names instead of
.nz names. New gTLDs such as
.tourism will be even more popular. Direct registration under
.nz would provide a popular alternative thus helping to "keep it kiwi".
.nz offers protections and rights that other TLDs do not. It is also the easiest TLD to transfer, ensuring healthy competition in the registrar space.
.kindergarten.nz could be registered and sub-domains sold. The general public would not recognise
.school.nz as any more authentic than
.kindergarten.nz yet "owners" of
example.kindergarten.nz would have none of the rights nor protection afforded to real registrants.
Sub-domains additionally have problems with sibling domains cookies isolation that real domain names do not. Most organisations ( including Red Hat for example) are unaware of this problem.
.co.nz actually conveys information that the registrant is a commercial organisation†. This information would be lost.
† except in the case of individuals who register names such as
johnsmith.co.nzwho really should consider
The argument goes that
my-company.nz is cooler than
my-company.co.nz because it's shorter. Three characters shorter. The average length of a name in our database is 17 characters including the 2LD. This would be reduced to 14 characters, so any argument involving typos or having less to type is poorly grounded.
Organisations wishing to protect their reputation will feel forced to register a new name, sometimes resulting in ill feeling towards InternetNZ.
Since there may be competition for a
.nz, such as when
a-charity.co.nz are owned by different organisations, both of whom would like the
.nz name, InternetNZ must arbitrate. This is mitigated by the fact that 86% of names are
.co.nz meaning that InternetNZ will have to arbitrate at most 73,430 cases ( December 2012 figures).
Most organisations within New Zealand are busy conducting their core activities and would be unaware that registrations directly under
.nz were possible. Enterprising individuals would pre-emptively register names and sell them to the organisations. The markup for such names is sometimes high. While the
.nz space is operated on a "first come, first served" basis and rightly so, it is clearly not in the interests of New Zealand Internet users to have their brand name held to ransom.
a-bankco.nz, which looks very similar to
a-bank.co.nz would facilitate crime. Many thanks to NZRS who recently changed their systems so that it is no longer possible to register names such as
acompany.nz to replace
acompany.co.nz with the view that
acompany.co.nz were eventually dissolved then all URIs incorporating
acompany.co.nz would be rendered inoperable. Many of these URIs will either be in hard copy or in places that people will not remember to update. Any argument that 2LDs should eventually be retired in favour of direct registration is therefore flawed.