Cyber-squatting complaints soar in 2007

The World Intellectual Property Organisation received 2,156 cyber-squatting complaints last year

Cyber-squatting is on the increase, according to figures from the World Intellectual Property Organisation (Wipo), which points the finger of blame at new generic top-level domain (TLD) names.

The UN-backed Wipo received 2,156 complaints alleging abusive registration of trademarks on the internet last year, an increase of 18 per cent over 2006 and 48 per cent over 2005.

Pharmaceutical companies are the most frequent target, followed by banking and finance.

Blaming new generic TLDs, such as .biz and .mobi, is an implicit dig at Icann, the not-for-profit California-based organisation which oversees many internet administration tasks, such as name registration.

"The potentially useful purposes of any new domains would be frustrated if these get filled predominantly with automated pay-per-click content," said Francis Gurry, deputy director general of Wipo, who oversees the organisation's dispute resolution work.

"It comes down to a question of quantity versus quality. If the stated purpose of new generic TLDs is to increase choice and competition in domain registration services, due consideration must be given to Icann's core principles during the policy development work and implementation plans.

"This is not just an issue of protecting the rights of trademark holders, but an issue of the reliability of the addressing system of the internet in matching interested parties with authentic subjects."

The ongoing trademark abuse, reflected in Wipo's rising caseload, raises concerns about the introduction of a number of new generic TLDs announced for late 2008, according to Wipo.

The UN has long maintained that it should be responsible for overseeing the administration of the internet, not Icann which is perceived to be biased towards the US.

Gurry stated that Wipo is "ready to assist Icann in its policy work".

No one from Icann was available for comment on this issue at the time of posting.