Ethos Capital

Last updated

Ethos Capital
Type Private
Industry Private equity
Founded2019;4 years ago (2019)
FounderErik Brooks
Headquarters
Boston, Massachusetts, U.S.
Key people
Website ethoscapital.com

Ethos Capital is an American private equity investment firm founded in 2019 in Boston, Massachusetts, in order to make majority and control minority investments in middle-market companies, primarily across North America and Europe. It is best known for attempting and failing to gain control of the .org internet domain.

Contents

History

In 2020, Ethos made news for trying to register the .org domain and capitalize upon it using a portfolio of data-monetization startups. [1] [2] Although that effort failed, [3] company founders Erik Brooks and Fadi Chehadé [4] went on to use the vehicle to buy domain name registrar Donuts and registry services provider Afilias from Abry Partners, where Brooks had been managing partner. [5] [6] [7] In 2022, Afilias and Donuts were merged into a single company, Identity Digital. [8]

Controversy

Most of the press coverage of Ethos has focused on allegations of insider dealing between former ICANN CEO Chehadé, who registered the domain name ethoscapital.org in May 2019, one day after price caps were lifted from the .org domain. [9] [10] and current employer Ethos Capital, and the unraveling of a complex web of interlocking control and ownership between domain name registries, registrars, and ICANN, which nominally regulates the domain name industry. [4] [5] [7] [9]

Related Research Articles

<span class="mw-page-title-main">ICANN</span> American nonprofit organization that coordinates several Internet address databases

The Internet Corporation for Assigned Names and Numbers is an American multistakeholder group and nonprofit organization responsible for coordinating the maintenance and procedures of several databases related to the namespaces and numerical spaces of the Internet, ensuring the network's stable and secure operation. ICANN performs the actual technical maintenance work of the Central Internet Address pools and DNS root zone registries pursuant to the Internet Assigned Numbers Authority (IANA) function contract. The contract regarding the IANA stewardship functions between ICANN and the National Telecommunications and Information Administration (NTIA) of the United States Department of Commerce ended on October 1, 2016, formally transitioning the functions to the global multistakeholder community.

<span class="mw-page-title-main">Internet Assigned Numbers Authority</span> Standards organization overseeing IP addresses

The Internet Assigned Numbers Authority (IANA) is a standards organization that oversees global IP address allocation, autonomous system number allocation, root zone management in the Domain Name System (DNS), media types, and other Internet Protocol–related symbols and Internet numbers.

<span class="mw-page-title-main">Internet Society</span> Internet development organization

The Internet Society (ISOC) is an American nonprofit advocacy organization founded in 1992 with local chapters around the world. Its mission is "to promote the open development, evolution, and use of the Internet for the benefit of all people throughout the world." It has offices in Reston, Virginia, U.S., and Geneva, Switzerland.

<span class="mw-page-title-main">.org</span> Generic top-level domain

The domain name .org is a generic top-level domain (gTLD) of the Domain Name System (DNS) used on the Internet. The name is truncated from 'organization'. It was one of the original domains established in 1985, and has been operated by the Public Interest Registry since 2003. The domain was originally "intended as the miscellaneous TLD for organizations that didn't fit anywhere else." It is commonly used by non-profit organizations, open-source projects, and communities, but is an open domain that can be used by anyone. The number of registered domains in .org has increased from fewer than one million in the 1990s, to ten million in 2012, and held steady between ten and eleven million since then.

<span class="mw-page-title-main">.info</span> Generic top-level domain

.info is a generic top-level domain (gTLD) in the Domain Name System (DNS) of the Internet. The name is derived from information, although registration requirements do not prescribe any particular purpose.

Tucows Inc. is an American-Canadian publicly traded Internet services and telecommunications company headquartered in Toronto, Ontario, Canada, and incorporated in Pennsylvania, United States. The company is composed of three independent businesses: Tucows Domains, Ting Internet, and Wavelo.

<span class="mw-page-title-main">Network Solutions</span>

Network Solutions, LLC is an American-based technology company and a subsidiary of Web.com, the 4th largest .com domain name registrar with over 6.7 million registrations as of August 2018. In addition to being a domain name registrar, Network Solutions provides web services such as web hosting, website design and online marketing, including search engine optimization and pay per click management.

<span class="mw-page-title-main">.pro</span>

The domain name pro is a generic top-level domain in the Domain Name System of the Internet. Its name is derived from professional, indicating its intended use by certified professionals.

<span class="mw-page-title-main">.io</span> Internet country-code top level domain for the British Indian Ocean Territory

The Internet country code top-level domain (ccTLD) .io is nominally assigned to the British Indian Ocean Territory. The domain is operated commercially by Afilias, a domain name registry subsidiary of Ethos Capital.

<span class="mw-page-title-main">Afilias</span> Web domain registration company

Afilias, Inc. was a US corporation that was the registry operator of the .info, .mobi and .pro top-level domain, service provider for registry operators of .org, .ngo, .lgbt, .asia, .aero, and a provider of domain name registry services for countries around the world, including .MN (Mongolia), .AG, .BM (Bermuda), .BZ (Belize), .AC, .GI (Gibraltar), .IO .ME (Montenegro), .PR, .SC, .SH, .VC, and .AU (Australia). Afilias also provided ancillary support to other domains, including .SG (Singapore), .LA (Laos), and .HN (Honduras). It was merged into Identity Digital in 2022.

<span class="mw-page-title-main">.web</span>

.web is a proposed top-level domain (TLD) that was created and assigned by an auction process to several bidding companies. It was awarded to Nu Dot Co LLC, which is primarily funded by Verisign.

RegisterFly was a New Jersey (U.S.) based internet hosting and domain name registrar that had their ICANN-accredited status terminated in March 2007.

Register.com is a domain name registrar.

.music is a community-based top-level domain name (TLD) operated for the benefit of the global music community. It was one of the most highly contested new gTLDs, with eight applicants in contention.

<span class="mw-page-title-main">Fadi Chehadé</span> American information technology executive

Fadi Chehadé is an information technology executive, founder of RosettaNet and former Chief Executive Officer (CEO) of ICANN. Through Ethos Capital, he unsuccessfully tried to gain control over the .org internet domain.

<span class="mw-page-title-main">Public Interest Registry</span>

Public Interest Registry is a not-for-profit based in Reston, Virginia, created by the Internet Society in 2002 to manage the .ORG top-level domain. It took over operation of .ORG in January 2003 and launched the .NGO and .ONG top-level domains in March 2015.

<span class="mw-page-title-main">Trademark Clearinghouse</span> Database of trademarks for gTLDs

The Trademark Clearinghouse is a database of validated and registered trademarks established by ICANN to assist trademark holders prevent infringing behavior in the Domain Name System. In combination with the Uniform Rapid Suspension System (URS), it is the second significant attempt by ICANN to handle the "Trademark Dilemma". The first attempt was the Uniform Domain-Name Dispute-Resolution Policy.

Donuts Inc. was a domain name registrar and registry providing paid domain names under 270 new generic top-level domains (gTLDs), as made possible by ICANN's gTLD expansion program, as well as 173 other TLDs including .au (ccTLD) and .org, through its own registry status and contracts between its subsidiaries and other registries.

<span class="mw-page-title-main">Uniregistry</span> Domain name registrar

Uniregistry is a large retail domain name registrar and web services provider; as well as a domain name registry that administers generic top-level domains. In February 2013, the related company Uniregistrar Corporation became an ICANN-accredited registrar and launched under the licensed Uniregistry brand name in 2014. Uniregistry's acquisition by GoDaddy was announced in February 2020.

Identity Digital Inc. is a company with affiliated entities that operate in the domain name industry, including a domain name registrar and registry services provider. The company acquired the registry operator and back-end registry services divisions of Afilias, Inc. in 2020. Both Donuts Inc. and Afilias Inc. were rebranded and brought under the single company brand name Identity Digital in 2022.

References

  1. Orenstein, Natalie (January 16, 2020). "A private equity firm wants to buy '.org' for $1 billion. A Berkeley-based cooperative says, 'not so fast'". Berkeleyside. Retrieved July 22, 2021.
  2. "Ethos Capital: Engineering Growth". January 2, 2020. Archived from the original on January 2, 2020. Investments: Whistle, Adhark, Liquidx, Vidmob
  3. Finley, Klint (May 1, 2020). "The Web's .Org Domain Is Still Run by a Nonprofit". WIRED.
  4. 1 2 Alleman, Andrew (July 17, 2020). "Fadi Chehadé is now co-CEO of Ethos Capital". Domain Name Wire. Retrieved September 1, 2020.
  5. 1 2 Murphy, Kevin (January 22, 2021). "Failed .org buyer Ethos Capital buys Donuts". Domain Incite.
  6. Hackney, Raymond (January 22, 2021). "Ethos Capital to Acquire Controlling Interest of Donuts". TheDomains. Worldwide Media. Retrieved January 22, 2021.
  7. 1 2 "Ethos Capital Acquires Majority Control of Donuts". FinSMEs. April 2021. Retrieved April 1, 2021.
  8. Allemann, Andrew (June 22, 2022). "Donuts rebrands to Identity Digital". Domain Name Wire | Domain Name News. Retrieved July 12, 2022.
  9. 1 2 McCarthy, Kieren. "Ex-boss of ICANN shifts from 'advisor' to co-CEO of private equity biz that tried to buy .org for $1bn+". The Register. Situation Publishing. Retrieved October 22, 2020.
  10. Goldstein, David (November 25, 2019). "PIR Addresses Concerns Over Conflicts and Registry Fee Rises Following Takeover". Goldstein Report. Retrieved October 22, 2020.