The Internet Domain Name System (DNS) is designed as a hierarchy. Domains are divided into top-level domains (TLDs) and each TLD is divided into second-level domains, and second-level domains into third-level domains, etc. The most familiar TLD, “.com,” is referred to as a generic top-level domain or a gTLD, as are “.net,” “.org,” “.edu,” and “.gov.” Second-level domains are quite often famous trademarks, e.g. “coke” in coke.com. There are currently 21 gTLDs in the system overseen by ICANN (Internet Corporation for Assigned Names and Numbers). There is also a system of country code TLDs (ccTLDs) which are the two-letter suffixes designating the various countries in which the domains operate, e.g., .us, .uk, .fr.
In 2008, ICANN announced that it was expanding the number of gTLDs and that companies would be able to register a gTLD, in effect becoming the exclusive registrar for that domain. For example, in addition to owning metlife.com, MetLife can own “.metlife” and allow third parties, such as MetLife agencies, to register within the .metlife domain. Other businesses can choose to operate as the registry for common generic terms such as .toys, .bank, etc., and charge to register their second-level domains.
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