The Internet is changing in ways that companies need to closely monitor. As of the end of last September, there were more than 160 million domain names in existence. Beginning at the end of 2009, however, the Internet’s domain name system, overseen by the Internet Corporation for Assigned Names and Numbers, will begin expanding dramatically, creating both opportunities and additional costs for brand owners.
Domain names that incorporate brand names or other trademarks may be valuable to businesses by allowing existing customers to easily locate them online. Conversely, generic domain names that identify a category or type of good or service may be valuable for launching a new business. In all cases, domain names may be used to attract new customers — and may be used by competitors and cybersquatters to divert traffic to other locations.
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