Copyright (c) 2003 Japan Network Information Center NIR Voting and Fee Structures Izumi Okutani IP Address Section Japan Network Information Center Open NIR Meeting Feb 2003

2 Copyright (c) 2003 Japan Network Information Center Contents Introduction The current NIR fee and Voting Structure The issues relating the current model Introduction of models Proposal Schedule

3 Copyright (c) 2003 Japan Network Information Center Introduction This presentation seeks to initiate discussions about the fee and voting structure for NIRs Not yet at the stage of proposing a specific model, so simply introducing the possible models we have come up so far

4 Copyright (c) 2003 Japan Network Information Center The Current Fee Structure for NIRs Annual Membership Fee + Per Address Fee

5 Copyright (c) 2003 Japan Network Information Center The Current Voting Structure for NIRs Apply the voting structure of LIRs based on the annual fee No independent voting structure for NIRs

6 Copyright (c) 2003 Japan Network Information Center The Case of JPNIC(Fee) Annual Membership Fee Per Address Fee

7 Copyright (c) 2003 Japan Network Information Center Annual Membership Fee : US$40,000 Per Address Fee :US$42,350 Total :US$82,350 Fee from Apr 2002 – Mar 2003

8 Copyright (c) 2003 Japan Network Information Center 64 voting rights as an Extra Large Member The Case of JPNIC(Voting)

9 Copyright (c) 2003 Japan Network Information Center Issues about the Current Model Per Address Fee takes a great proportion of the fee, but the justification is unclear A different fee structure applies to confederation members, but the voting model is the same as LIRs Is the current fee and voting structure really reflecting the role of NIRs?

10 Copyright (c) 2003 Japan Network Information Center Let’s Seek for an Appropriate Model The next few slides simply provide possible models to start the discussion Each model has its pros and cons, so no specific model to propose at the moment

11 Copyright (c) 2003 Japan Network Information Center The Current Model Logics Assumed – NIRs are considered to be APNIC members but putting additional expenses to APNIC compared to LIRs Fee –Annual Membership Fee + Per Address Fee Voting –Based on the Annual Membership Fee

12 Copyright (c) 2003 Japan Network Information Center Pros and Cons Pros –No major inconvenience to run the current NIR operation –Per Address Fee prevents address space bargaining Cons –Does not consider the fact that NIRs share some work with APNIC –Voting structure inconsistent with the fee –Address bargaining could be prevented by other models

13 Copyright (c) 2003 Japan Network Information Center Model A Logics –Considers NIRs to be an APNIC member/an agent of potential APNIC members Fee –Subtract NIR’s operational Cost from the total fee if NIR Members were APNIC members Voting –NIRs/NIR members will receive an equivalent number of votes for the address space allocated to NIR members, based on the existing category

14 Copyright (c) 2003 Japan Network Information Center Fee in Model A Actual Fee paid by NIRsOperational expense of NIRs The total fee if NIR members were APNIC members Fee paid by if NIR members were APNIC members

15 Copyright (c) 2003 Japan Network Information Center Voting in Model A APNIC NIR Member NIR Member NIR Member NIR Member NIR NIR members or NIRs will obtain the number of votes if NIR members were APNIC members, based on their allocation size

16 Copyright (c) 2003 Japan Network Information Center Pros and Cons of Model A Pros –Fee and Voting structure will be closely related with clear logics Cons –May not be a realistic figure after the cost & votes simulation

17 Copyright (c) 2003 Japan Network Information Center Model B Logics –Considers NIRs to be an organization assisting APNIC operations, independent from membership Fee –NIRs will pay the NIR related operational expenses for APNIC Voting –NIRs will not have any votes. NIRs will be represented by for example, an NIR Committee instead

18 Copyright (c) 2003 Japan Network Information Center Pros and Cons of Model B Pros –Reflects the current roles of NIRs, sharing work with APNIC Cons –Difficult to assess an appropriate amount of fee – Difficult to define the role and authority of an NIR Committee

19 Copyright (c) 2003 Japan Network Information Center Summary of Models

20 Copyright (c) 2003 Japan Network Information Center Proposal Start discussions on nir-discuss ML to seek for an appropriate model –There may be other models other than presented here –The current model could also be an option, but should not be implemented only for the historical reasons

21 Copyright (c) 2003 Japan Network Information Center Proposed Schedule April 2003 Brain Storm models on ML June 2003 Cost Simulation of Models Aug 2003 Select an Appropriate Model Summer2003 Propose at Open NIR Meeting (If changes are necessary) * If a consensus is reached, prepare documentation to propose at AMM in APRICOT2004

22 Copyright (c) 2003 Japan Network Information Center Q&A Let’s Start the discussion