[arin-ppml] Policy Proposal 105: Simplified M&A transfer policy

Joe Maimon jmaimon at chl.com
Tue Dec 22 20:11:09 EST 2009

Owen DeLong wrote:
> On Dec 22, 2009, at 3:00 PM, Joe Maimon wrote:
>> I think that bringing the possibility of renumbering and reclamation 
>> is somewhat of a disincentive to getting people into the door in the 
>> first place. If you are buying a network that you may have to 
>> renumber, you might want to think twice about it - or wait until you 
>> finish renumbering it before going to 8.3.
> I don't see the connection, necessarily.
>> What is the priority for the goals of 8.2 and how much efficiency 
>> should we let slide to achieve them?
> Primarily to make it clear that number resources are not transferable 
> away from their original intended
> purpose without justified need under ARIN policy.  8.3 is not 
> particularly useful for the merger/acquisition
> of company scenario.
> Both policies preserve the same requirement that you adhere to ARIN 
> needs-based policy
> to effectuate a legitimate transfer.
> Owen

Lets take this illustration. Suppose I acquire an ISP whose bread and 
butter is dialup and some colo servers. They justified a /20 when they 
started out, but their dial up population has been decreasing steadily. 
They would only qualify now for a /22. Thats not an issue for them since 
they are not trying to obtain any more space.

Does this policy change increase or decrease the odds that I would 
choose to initiate 8.2 rather than simply continue to treat these 
resources and organizations as separate ARIN entities? And if acquiring 
this company initates a review of my companies utilization, does the 
acquisition now have higher risk because of these policy changes?

Do we want organizations to voluntary initiate 8.2? Renumbering a legacy 
network where everything works just fine as it is adds to acquisition costs.

And if the likely result of any of this policy change means that you are 
going to have to renumber, it is probably better to just go ahead and do 
so. Hold off on 8.2 and wait for depletion so that you can either 8.3 
between organizations or just to get some dollars.


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