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<DIV>Hi Brian,</DIV>
<DIV> </DIV>
<DIV>Thanks for your thoughts. </DIV>
<DIV>No doubt a more vigorous transfer market will lead to more router
misconfigurations.</DIV>
<DIV>I think a knowledgeable middle-man could help mitigate that, and would take
business from the guy getting into the game without networking knowledge you
mention below.</DIV>
<DIV> </DIV>
<DIV>There is real uncertainty when dealing with the registries. A recent
transaction took nearly a month to complete, most of which was spent in the back
and forth of a justification. It’s always a fingers-crossed situation for buyer
and seller. One broker told me she does the “happy dance” every time a deal
makes it through justification.</DIV>
<DIV> </DIV>
<DIV>Your point about moving to IPv6 is important, because that move is the
800lb gorilla in the room.</DIV>
<DIV>Nobody knows when the move will happen or how long it will take, but
when it happens it is bound to affect IPv4 prices negatively.</DIV>
<DIV>Who would speculate under these conditions? </DIV>
<DIV>What if we limited his total purchases to a /12, or his aggregate holdings
to a /12, otherwise he would be needs-tested?</DIV>
<DIV> </DIV>
<DIV>Regards,</DIV>
<DIV>Mike</DIV>
<DIV> </DIV>
<DIV> </DIV>
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<DIV style="font-color: black"><B>From:</B> <A title=bjones@vt.edu
href="mailto:bjones@vt.edu">Brian Jones</A> </DIV>
<DIV><B>Sent:</B> Thursday, June 13, 2013 9:30 AM</DIV>
<DIV><B>To:</B> <A title=mike@nationwideinc.com
href="mailto:mike@nationwideinc.com">Mike Burns</A> </DIV>
<DIV><B>Cc:</B> <A title=mike@iptrading.com
href="mailto:mike@iptrading.com">Mike Burns</A> ; <A title=arin-ppml@arin.net
href="mailto:arin-ppml@arin.net">arin-ppml@arin.net</A> </DIV>
<DIV><B>Subject:</B> Re: [arin-ppml] A Redefinition of IPv4 Need post
ARINrun-out(was:Re:Against2013-4)</DIV></DIV></DIV>
<DIV> </DIV></DIV>
<DIV
style="FONT-STYLE: normal; DISPLAY: inline; FONT-FAMILY: 'Calibri'; COLOR: #000000; FONT-SIZE: small; FONT-WEIGHT: normal; TEXT-DECORATION: none">Mike,<BR
clear=all>See inline comments.<BR><BR>
<DIV class=gmail_quote>On Wed, Jun 12, 2013 at 10:05 PM, Mike Burns <SPAN
dir=ltr><<A href="mailto:mike@nationwideinc.com"
target=_blank>mike@nationwideinc.com</A>></SPAN> wrote:<BR>
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<DIV><FONT face=Arial>Hi Brian,</FONT></DIV>
<DIV><FONT face=Arial></FONT> </DIV>
<DIV><FONT face=Arial>I understand that there is a danger of overpurchasing
(by whomever's definition) that comes from the removal of a needs test for
transfers.</FONT></DIV>
<DIV><FONT face=Arial>In most cases we rely on the price of the addresses to
provide some check on this practice, as it would for the overpurchasing of any
other asset a corporation may choose to invest in. </FONT><FONT face=Arial>I
think we should leave those definition of what an overpurchase is to the
buyers, who will have a range of intended purposes, projected growth rates,
planning horizons and other considerations. At least with a cap of some sort
we limit the overpurchase risk to overall address usage
efficiency.</FONT></DIV>
<DIV><FONT face=Arial></FONT> </DIV>
<DIV><FONT face=Arial>A vibrant market is one of the best mechanisms to
prevent what you mention-the problem of addresses sitting idle while real need
exists.</FONT></DIV></DIV></BLOCKQUOTE>
<DIV><BR><BR>At the risk of contradicting myself, I'm not sure a vibrant market
is the <I>best </I>answer for the networking community, but I don't disagree
that what you propose would invigorate the market. See my comments below about
network stability.<BR><BR> </DIV>
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<DIV><FONT face=Arial>As the price of addresses rise and transactional
roadblocks diminish, idle addresses will come into the market. As the need
rises, the price will rise, driving efficiencies in the utilization of
addresses and wringing the most efficiency through the highest and best use of
the addresses.</FONT></DIV></DIV></BLOCKQUOTE>
<DIV><BR>I would agree that as demand rises the prices will increase, but maybe,
just maybe most folks will be considering the move to IPv6 where these
contentions and price increases will not exist.<BR> </DIV>
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<DIV><FONT face=Arial></FONT> </DIV>
<DIV><FONT face=Arial></FONT><FONT face=Arial></FONT><FONT face=Arial>And as I
mentioned, due to the needs test requirement, these early IPv4 address
transactions almost always involve neophyte parties on either side of the
transaction, separated by language, culture, and an ocean. Often these parties
are not familiar with their own RIR policy, much less the policy of another
region. Most of the time the decision to sell or buy addresses has to overcome
corporate inertia and antipathy to new, unusual, and unlikely-to-be-repeated
transactions. This means education about the RIRs and their position squarely
in the middle of the buyer and the seller.</FONT></DIV>
<DIV><FONT face=Arial></FONT> </DIV>
<DIV><FONT face=Arial>How likely is this transaction to occur for small
allocations like the /24 needed by Mr. Ryerse of this thread?</FONT></DIV>
<DIV><FONT face=Arial></FONT> </DIV>
<DIV><FONT face=Arial>I contend that removing the needs requirement will allow
for less uncertainty in what is currently a fraught process for both buyers
and sellers, leading to more transactions, more price stability, and simpler
transactions for all parties, including ARIN, who will avoid the time and
effort of needs testing transfers.</FONT></DIV>
<DIV><FONT face=Arial></FONT> </DIV></DIV></BLOCKQUOTE>
<DIV><BR>I appreciate your contention, and it is possible that some of the
things you mention may actually pan out, but I do not agree with the "less
uncertainty" part of your statement. I would contend removing all needs
assessment would create more uncertainty by promoting that anyone can get in the
game of brokering IP addresses regardless of their knowledge about networking.
Also by increasing the amount of times IP addresses get swapped around the
Internet could increase the possibility for networking instability and router
misconfiguration issues. <BR><BR>--<BR>Brian<BR><BR> </DIV>
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<DIV><FONT face=Arial>Regards,</FONT></DIV>
<DIV><FONT face=Arial>Mike</FONT></DIV>
<DIV><FONT face=Arial></FONT> </DIV>
<DIV><FONT face=Arial></FONT> </DIV>
<DIV><FONT face=Arial></FONT> </DIV>
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<DIV class=im>
<DIV style="FONT: 10pt arial">----- Original Message ----- </DIV>
<DIV style="FONT: 10pt arial; BACKGROUND: #e4e4e4"><B>From:</B> <A
title=bjones@vt.edu href="mailto:bjones@vt.edu" target=_blank>Brian
Jones</A> </DIV>
<DIV style="FONT: 10pt arial"><B>To:</B> <A title=mike@iptrading.com
href="mailto:mike@iptrading.com" target=_blank>Mike Burns</A> </DIV></DIV>
<DIV>
<DIV class=h5>
<DIV style="FONT: 10pt arial"><B>Cc:</B> <A title=arin-ppml@arin.net
href="mailto:arin-ppml@arin.net" target=_blank>arin-ppml@arin.net</A> ; <A
title=mike@nationwideinc.com href="mailto:mike@nationwideinc.com"
target=_blank>Mike Burns</A> </DIV>
<DIV style="FONT: 10pt arial"><B>Sent:</B> Wednesday, June 12, 2013 9:28
PM</DIV>
<DIV style="FONT: 10pt arial"><B>Subject:</B> Re: [arin-ppml] A Redefinition
of IPv4 Need post ARINrun-out(was:Re:Against 2013-4)</DIV>
<DIV> </DIV>
<P>Hi Mike, </P>
<P>I suppose it is just my old school thinking that you should be at least
"this tall" to ride the ride. Given your explanations below I could relax my
requirements for demonstrating technical support need for transfers. I
actually didn't realize we were only considering transfers and not the
remaining free blocks, so thank you for clarifying that. </P>
<P>It still seems that inefficient use of address space could occur when a
bidder buys much larger blocks than needed due to the lack of any structured
needs requirements. At a minimum a block of addresses could sit idle and
unused while needs exists elsewhere. But really IPv6 should be the best
solution for those needing addresses moving forward any way... :) </P>
<P>Brian <BR></P>
<P>On Jun 12, 2013 3:15 PM, "Mike Burns" <<A
href="mailto:mike@iptrading.com" target=_blank>mike@iptrading.com</A>>
wrote:<BR>><BR>> Hi Brian,<BR>> <BR>> Thanks for your
input.<BR>> <BR>> May I ask why you think there should be a
requirement for demonstration of minimal technical need for transfers, if
the reason is not to prevent hoarding and price manipulation?<BR>>
<BR>> Remember we are talking only about transfers, and not the
intelligent allocation of the remaining IPv4 free pool, and that money will
be the determining factor in who receives IPv4 addresses under the current
transfer policy, so long as the needs test is met. That is, we are already
at a point where the highest bidder will get the addresses, irrespective of
what his justified need for the addresses is, just that he has met the RIR
need test.<BR>> <BR>> I have been operating under the assumption
that the underlying reason for requiring the needs test for transfers which
are already priced is to prevent a buyer without needs from damaging the
market through hoarding or cornering. I understand that many people simply
do not like the idea that address blocks can be bought and sold, and that
money has any influence on who gets addresses, but we are beyond that
now.<BR>> <BR>> Regards,<BR>> Mike<BR>>
<BR>> <BR>> From: Brian Jones<BR>> Sent: Wednesday, June 12,
2013 2:54 PM<BR>> To: Mike Burns<BR>> Cc: <A
href="mailto:arin-ppml@arin.net"
target=_blank>arin-ppml@arin.net</A><BR>> Subject: Re: [arin-ppml] A
Redefinition of IPv4 Need post ARIN run-out(was:Re:Against
2013-4)<BR>> <BR>><BR>> Maybe that was utopian thinking on my
part. It would be nice to disregard what happens with IPv4 space but that
seems to invite some sort of chaos and the last thing needed is more
chaos...<BR>><BR>> Intelligent allocation of the remaining IPv4 space
is important in my opinion.<BR>><BR>> From Dave Farmer's email
earlier:<BR>> "I think the more important issue is an appropriate
criteria on the lower-end and for new enterants, the current slow-start for
IPv4 isn't going to work, post-ARIN free pool. Yes, I know eliminating
need alltogether eliminates that problem, but I'm not sure I can get myself
all the way there. I'd like to see some minimal technical criteria
that entitles someone to be able to buy up to between a /16 and a /12 and
more than just that they have the money to do so. Maybe its just as
simple as demonstrating efficient use of at least a /24. If you can't
do that then you can only buy a /24, then you utilize it and you qualify for
bigger blocks. "<BR>><BR>> Regardless of whether the size blocks
discussed is agreeable or not, I do agree wth the part about the need for
"...minimal technical criteria that entitles someone to be able to buy up to
between a /16 and a /12 and more than just that they have the money to do
so."<BR>><BR>> (Of course I support the idea that we all move to
IPv6!) :)<BR>><BR>> --<BR>> Brian<BR>><BR>><BR>> On Wed,
Jun 12, 2013 at 11:20 AM, Mike Burns <<A
href="mailto:mike@nationwideinc.com"
target=_blank>mike@nationwideinc.com</A>> wrote:<BR>>><BR>>>
Hi Brian, Matthew, and Martin,<BR>>> <BR>>> Can I take
your plus ones to indicate support of the cap even in the face of the shell
company issue?<BR>>> (As well as support of the idea that we should
all move to IPv6.)<BR>>> <BR>>> Regards,<BR>>>
Mike<BR>>> <BR>>> <BR>>> From: Brian
Jones<BR>>> Sent: Wednesday, June 12, 2013 11:03 AM<BR>>> To: <A
href="mailto:arin-ppml@arin.net"
target=_blank>arin-ppml@arin.net</A><BR>>> Subject: Re: [arin-ppml] A
Redefinition of IPv4 Need post ARIN run-out (was:Re:Against
2013-4)<BR>>> <BR>>> <BR>>>
<BR>>> <BR>>> <BR>>> On Tue, Jun 11, 2013 at
10:42 PM, Martin Hannigan <<A href="mailto:hannigan@gmail.com"
target=_blank>hannigan@gmail.com</A>>
wrote:<BR>>>><BR>>>> On Tue, Jun 11, 2013 at 10:24 PM,
cb.list6 <<A href="mailto:cb.list6@gmail.com"
target=_blank>cb.list6@gmail.com</A>>
wrote:<BR>>>>><BR>>>>><BR>>>>> On Jun
11, 2013 7:15 PM, "Matthew Kaufman" <<A href="mailto:matthew@matthew.at"
target=_blank>matthew@matthew.at</A>> wrote:<BR>>>>>
><BR>>>>> > When will we start caring about IPv6 and start
ignoring IPv4??? Who cares if people set up shells to acquire v4 space from
others? Let 'em, and get v6 deployed already.<BR>>>>>
><BR>>>>><BR>>>>>
+1<BR>>>>><BR>>>>>
CB<BR>>>><BR>>>><BR>>>>
+1<BR>>>><BR>>>> Best,<BR>>>><BR>>>>
-M<BR>>>><BR>>>><BR>>><BR>>><BR>>>
+1<BR>>><BR>>> --<BR>>>
Brian<BR>>><BR>>>
<BR>>>><BR>>>><BR>>>>
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