Manwin & Digital Playground Sue ICANN Over .XXX Domain

Major adult entertainment companies Manwin and Digital Playground have filed an anti-monopoly lawsuit against ICANN and ICM Registry over the .XXX top-level domain (TLD). The lawsuit, filed on November 16, 2011, in the U.S. District Court of California, alleges monopolistic conduct, price gouging, and anti-competitive practices.

Lawsuit Details and Allegations

Luxembourg-based Manwin, which operates sites including YouPorn, PornHub, Brazzers, Xtube, and Playboy.com, along with Digital Playground, are seeking an injunction to halt the .XXX TLD. They also demand its re-opening with competition and "reasonable price constraints." The 44-page federal lawsuit specifically targets ICANN, the non-profit organization overseeing domain name space management, and ICM Registry, the company responsible for creating and managing the .XXX TLD.

The lawsuit claims that both ICANN and ICM Registry have engaged in "monopolistic conduct, price gouging, and anti-competitive and unfair practices, broadly harming competition, businesses, and consumers, arising out of the establishment of .XXX, a new Top-Level Domain Name (“TLD”) intended for adult-oriented content." Furthermore, Manwin and Digital Playground allege that ICM initially "attempted to coerce ICANN to approve the .XXX TLD and to approve ICM's anti-competitive .XXX registry servi."

Stuart Lawley and the .XXX TLD Controversy

Stuart Lawley, born in the U.K. in 1963, was a central figure in the development and adoption of the .XXX sponsored top-level domain (sTLD) while heading ICM Registry in the 2000s and 2010s. Lawley, who studied mechanical engineering at London University’s Imperial College, founded Eurofax Ltd. in the 1980s and 1990s and later started Oneview. He passed away on November 26 from a heart attack in Jupiter, Florida, according to Greg Dumas, who worked with Lawley at ICM Registry.

Lawley advocated for the .XXX domain, arguing it would help protect children from adult content and enable "responsible adult-entertainment website operators to self-organize and self-regulate on a voluntary basis." He contended that .XXX would serve as a voluntary warning label that could be easily recognized and filtered. This position sparked a significant debate within the adult industry regarding whether the adult-oriented suffix would be beneficial or detrimental.

Some in the adult community viewed .XXX as a necessary political compromise. However, others expressed concerns that it could lead to a mandatory TLD for adult content, potentially setting a precedent for further censorship and discrimination against adult companies. The Free Speech Coalition, for instance, opposed .XXX, arguing it could pave the way for such outcomes. Lawley himself noted his interest in the online adult industry, stating in 2003, "When I got into the research in 2003, I was stunned by the money to be made in the adult space. Billions were being."

Industry Reactions and Broader Implications

The lawsuit by Manwin and Digital Playground highlights ongoing tensions within the adult industry regarding the implementation and management of the .XXX TLD. The allegations of monopolistic conduct and unfair practices against ICANN and ICM Registry suggest a significant challenge to the current structure of domain name management for adult content.

The outcome of this case could have broader implications for the entire domain name system and its operational framework, particularly concerning how new TLDs are approved and managed, and the level of competition and pricing within these specialized domains. The legal action underscores the industry's concerns about potential "leeching money grab and unscrupulous shake down" associated with the .XXX domains.

Key Facts

• Manwin and Digital Playground filed an anti-monopoly lawsuit against ICANN and ICM Registry on November 16, 2011.
• The lawsuit, filed in the U.S. District Court of California, is 44 pages long.
• Allegations include monopolistic conduct, price gouging, and anti-competitive practices related to the .XXX TLD.
• Manwin operates major porn sites including YouPorn, PornHub, Brazzers, Xtube, and Playboy.com.
• Stuart Lawley, who headed ICM Registry, passed away on November 26 from a heart attack in Jupiter, Florida.
• The Free Speech Coalition opposed .XXX, citing concerns about censorship and discrimination.