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Auerbach Weighs in for gTLD Lotteries
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ICANN has behaved as if it has the power to prevent TLDs from failing - hence the deeply intrusive inquiry into applicant business practices and the micro-management of TLD operator business practices. (Although that micro management appears to occur main when it benefits ICANN's image and rarely occurs when the party harmed is the public.)
However, ICANN has no ability to keep TLD operators afloat - ICANN's bloated budget isn't bloated enough to do a Chrysler/Lockheed style bailout of a failing TLD.
So, even if ICANN were to base policy on the notion of not-failing TLDs, the practical reality is that every now and then one of 'em will go belly up.
It seems to me better to recognize the reality of business failures and to not try to build an intrinsicly compromised system founded on the fantasyland that TLDs will not fail.
ICANN has never faced, much less answered, the question whether it is a consumer protection agency.
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