------------------------------------------------------------------------------ DRAFT DRAFT DRAFT DRAFT DRAFT DRAFT DRAFT DRAFT DRAFT DRAFT DRAFT APNIC Annual General Meeting January 31, 1997 Hong Kong DRAFT DRAFT DRAFT DRAFT DRAFT DRAFT DRAFT DRAFT DRAFT DRAFT DRAFT ------------------------------------------------------------------------------ 9:00 - 9:30 Meeting called to order 69 individuals from 31 member organizations (and non-member organizations) representing 84 votes present. Quorum established. No additional agenda items requested. 9:30 - 10:30 Executive Council Elections Due to lack of biography and position statement, Indra K. Hartono was asked to give a bit of information about himself. Voting for the executive council seats was then initiated. Two Executive Council seats were open. Nominees were: Daniel Ng Dr. Kwan Ho Song Dr. Xing Li He Wengao Hock-Koon Lim Indra K. Hartono Prof. Dr. Srisakdi Charmonman Yongping Dou Results of first vote: Dr. Xing Li 20 * Prof. Dr. Srisakdi Charmonman 18 Hock-Koon Lim 17 Dr. Kwan Ho Song 14 Inrda K. Hartono 3 Mr. He Wengao - Mr. Yongping Dou - Daniel Ng - Results of second vote: Dr. Kwan Ho Song 28 + Prof. Dr. Srisakdi Charmonman 28 + Hock-Koon Lim 19 Mr. He Wengao 2 Inrda K. Hartono - Mr. Yongping Dou - Daniel Ng - Results of runoff vote: Prof. Dr. Srisakdi Charmonman 41 * Dr. Kwan Ho Song 36 (note: balance of votes were abstentions). APNIC membership welcomed the new Executive Council members, Dr. Xing Li and Prof Dr. Srisakdi Charmonman and thanked outgoing Interim Executive Council members Sanjaya and B. A. C. Abeywardana 10:30 - 10:40 APNIC Allocation Activities In 1996, growth in address allocations was rather cyclic with spikes consistently occuring every other month. The APNIC hostmaster received approximately 100 requests, 50 non-request related questions, and over 250 pieces of other email per month. By the end of 1996, APNIC's membership consisted of 108 organizations. The following statistics were presented: IP allocation (/24 blocks) Apr-94 1280 May-94 564240 Jun-94 17408 Jul-94 17920 Aug-94 51200 Sep-94 54784 Oct-94 813312 Nov-94 72448 Dec-94 313600 Jan-95 27392 Feb-95 372224 Mar-95 337152 Apr-95 60672 May-95 455168 Jun-95 300032 Jul-95 49920 Aug-95 530688 Sep-95 291072 Oct-95 642560 Nov-95 108800 Dec-95 816640 Jan-96 92160 Feb-96 910080 Mar-96 149248 Apr-96 992000 May-96 947968 Jun-96 376160 Jul-96 870656 Aug-96 35584 Sep-96 585744 Oct-96 1018368 Nov-96 628096 Dec-96 1205504 APNIC Members Up to May 96 32 Jun. 96 2 Jul. 96 13 Aug. 96 12 Sept. 96 14 Oct. 96 13 Nov. 96 10 Dec. 96 9 APNIC Member (country distributions) AP 4 AU 12 BD 2 CN 13 FJ 1 GU 1 HK 26 ID 17 IN 1 JP 3 KR 5 LK 2 MM 1 MN 1 MO 1 MV 1 MY 4 NP 1 NZ 3 PG 1 PH 10 SG 4 TH 12 TW 3 APNIC Members (size distribution) Small 73 Medium 29 Large 19 (Enterprise 8) (Confederation 5) AS number Allocation by date 9412 1 9503 1 9504 1 9505 2 9506 4 9507 4 9508 70 9509 10 9510 13 9511 4 9512 14 9601 11 9602 15 9603 9 9604 4 9605 4 9606 3 9607 9 9608 8 9609 5 9610 12 9611 5 9612 11 AS number allocation by countries AP 9 AU 27 BN 1 CN 10(36)* FJ 1 HK 49 ID 6 IN 2 JP 64 KR 21 MO 1 MY 1 NP 1 NZ 6 PH 4 PK 1 SG 7 TH 13 TW 15 (*) Number in parenthesis is reserved AS numbers for particular members [note some numbers may not total due to the inclusion of later (FY'97) data] 10:40 - 10:50 APNIC Budget Status The current profit and loss statement of APNIC was presented [NOTE: the following is updated from the version presented at the APNIC meeting to reflect the closing of APNIC's books] Asia Pacific Network Information Center Profit and Loss April 30 through December 31, 1996 Ordinary Income/Expense Income Membership Services 308,000.00 Start-up Fees 69,000.00 Total Income 377,000.00 Expense APRICOT Underwrite 16,408.03 Bank Service Charges 2,145.53 Books/Periodicals 67.49 Communication Hardware 4,713.02 Computer Expenses Hardware 3,005.70 Software 1,926.38 Total Computer Expense 4,932.08 Depreciation Expense 1,817.83 Domain Name Registration 2,803.23 Entertainment 252.70 Licenses and Permits 159.14 Meeting Expense 2,010.22 Moving Expense 2,642.38 Office Furniture 2,148.25 Office Supplies 1,726.47 Payroll Expenses 1,090.62 Phone/Fax 4,004.92 Postage and Delivery 1,475.37 Printing and Reproduction 974.93 Professional Development 2,080.83 Professional Fees Accounting/Management 3,072.57 Contracting 6,000.00 Legal Fees 16,055.49 Total Professional Fees 25,128.06 Rent Furniture Rent 589.13 Total Rent 589.13 Repairs/Warranties Computer Repairs 104.37 Total Repairs 104.37 Salaries 46,399.82 Transportation 1,674.63 Travel 44,163.50 Wages 23,060.39 Total Expense 192,572.94 Net Ordinary Income 184,427.06 Other Income/Expense Other Income Donations 97,255.15 Interest Income 2,403.82 Total Other Income 99,658.97 Net Other Income 99,658.97 Total Other Income/Expense 99,658.97 Net Income 284,086.03 All the the specific categories of the APNIC P&L were described: * Bank Service Charges -- fees APNIC are assessed by our bank for currency exchanges, etc. * Books/Periodicals -- costs of books and periodicals used by APNIC * Commuication Hardware -- network cabling, phone equipment, modems, etc. * Computer Expenses (Hardware) -- computer systems, hard disks, monitors, etc. * Computer Expenses (Software) -- Operating system licenses, utility software * Depreciation Expenses -- asset depreciation (any capital equipment over JPY 200,000) * Entertainment -- primarily thank you gifts to donors, etc. * Licenses and Permits -- primarily work visas * APRICOT Underwrite -- payments underwriting APRICOT including Hotel block reservation prepayment, expo management fees, etc. * Meeting expenses -- refreshments, meeting materials, etc. * Office Furniture -- desks, chairs, cabinets, etc. * Office Supplies -- paper, pens, pencils, etc. * Payroll Expenses -- APNIC payroll obligations * Phone/Fax -- telephone and fax expenses * Postage and Delivery -- APNIC mailings * Printing and Reproduction -- letterhead, business cards, copy services, etc. * Professional Development -- staff training, tutorials, etc. * Professional Fees (Accounting/Management) -- account auditing and consulting * Professional Fees (Contracting) -- outsourced system administration and security support * Professional Fees (Legal) -- APNIC incorporation, tax issues, contracts and agreements drafting, etc. * Rent (Furniture rent) -- rental fees for temporary furniture * Repairs/Warranties (Computer Repairs) -- repairs for a broken computer system * Salaries -- total salary paid to APNIC full-time employees * Transportation -- business related commuting costs * Travel -- business related travel * Wages -- total wages paid to APNIC part-time employees * Donations -- donations provide to APNIC * Interest Income -- income derived from bank interest Thus, at the end of FY '96 APNIC had a surplus of US $284,086.03, however it was noted that this number is not representative of APNIC's true budget situation as - it reflects only the period from incorporation to the end of the fiscal year - it does not include all salaries and wages since some wages were being provided as a donation to APNIC due to the current lack of official standing of APNIC within Japan (related to work visa issues) - potential tax liabilities were not listed Preliminary projections for the FY '97 budget were also presented: Revenue US$ New Membership 187,000 Renewal membership 347,500 Interest Income 3,000 Total Income 537,500 Disbursement Bank Service Charges 3,200 0.6% Books 1,000 0.2% Communication Expense 7,000 1.4% Hardware 30,000 6.1% Software 5,000 1.0% Domain Name Registration 2,803 0.6% Entertainment 50 0.0% Licenses and Permits 240 0.0% Meeting Expense 3,000 0.6% Office Furniture 3,000 0.6% Office Supplies 3,000 0.6% Payroll Expense 3,500 0.7% Phone/Fax 5,600 1.1% Postage and Delivery 1,800 0.4% Printing and Reproductions 1,500 0.3% Professional Development 3,100 0.6% Accounting/Management 15,000 3.0% Legal Fees 7,500 1.5% Repairs 1,000 0.2% Salaries 260,000 52.5% Transportation 9,800 2.0% Travel 42,890 8.7% Wages 35,455 7.2% Miscellaneous/Reserve 50,000 10.1% Total Expense 495,438 100.0% Net Surplus 42,062 10:50 - 11:00 "State of APNIC" APNIC now has 3 full time staff and 2 part time, up from the FY '96 P&L reflected 1 full time and 3 part time staff. During 1996, the APNIC Secretariat headquarters moved from the United Nations University to the Tokyo Telecom Center (office space provided by the WIDE project at no charge). APNIC currently maintains its server facilities off-site at the KDD Otemachi Building, the location of the Network Service Provider Internet Exchange Point #2 -- the primary Internet exchange for ISP in Japan. At the NSPIXP-2, APNIC maintains two service machines and a router with connectivity to the APNIC Secretariat provided by a 128 Kbps link offered at no cost by the WIDE Project. Primary services offered by the APNIC Secretariat continue to be Internet address allocation, autonomous number assignment, and in-addr.arpa delegation. In addition, APNIC underwrote the APRICOT '97 conference held immediately prior to the APNIC meeting in Hong Kong. Challenges facing APNIC in 1997 include - critical staffing limitations: APNIC is currently understaffed with all staff members working significantly more that 40 hours per week. Difficulties in hiring additional staff due to APNIC's requirements (networking knowledge and English fluency) and the traditional Japanese employment system. - tax liabilities with the possibility that APNIC will be subject to 51.7% tax on net income in Japan. The Secretariat is now expending significant resources to investigate this situation. - migration of all services to the APNIC Secretariat as was approved at the APNIC meeting in Montreal. Staffing limitations have delayed this migration. - further stabilization and simplification of APNIC's operational environment, in particular resolving the current lack of official standing in Japan - work towards obtaining a Executive Council mandated six month operational reserve in funds to cushion APNIC from the variations in income and expenses Discussion ensued about the APNIC tax situation. It was pointed out that JPNIC was pursuing tax exempt status within the Japanese government and that the function of address allocation would be judged as tax exempt for organizations which had obtained tax exempt status. However, a lack of information regarding the ability of APNIC to make use of such situation as well as whether other cost of doing business considerations resulted in an action being placed upon the APNIC Secretariat to prepare a report on the cost of doing business in various locations. It was agreed that this report should be submitted to the APNIC Executive Council by March 31 for a final decision on the location of the APNIC Secretariat. 11:30 - 12:00 Confederation Category Discussions The proposal to modify the fees associated with confederations was presented (see APNIC-051). To date, confederations are treated identically to other members, however it was noted that this treatment could result in severe difficulties for APNIC's funding situation. Specifically, in a worst case scenario, if a confederation was formed, claiming to be a small member, then all APNIC members could then join that confederation resulting in APNIC's income being reduced to US $2,500 per year. More importantly, since a confederation does result in a varying amount of work for the Secretariat, the flat fee for confederations does not scale with the amount of work imposed. The proposal documented in APNIC-051 would add a US $500 per confederation member fee to insure the cost of supporting a confederation would scale with the number of confederation members. After significant discussion, it was resolved that the per member fee of US $500 would be insufficient to support confederation members. A counter proposal was put forward of US $2000 per member, with a grandfathering clause to allow existing confederations to pay US $500 per member. After additional discussion, it was decided to defer a decision on this subject and to request additional proposals via the funding-wg mailing list. The final decision would be made via electronic voting prior to the next APNIC meeting. 1:30 - 2:00 Non-member Fee Schedule Discussions and Voting At the Montreal APNIC meeting, the membership voted to create a non-member fee schedule which would enable non-members to obtain APNIC allocation and registration services. In addition, the Secretariat was directed to prepare a fee schedule for the next APNIC meeting. The following fee schedule was proposed: Internet Address Allocation One Time Fee: US $1.00/address+ Internet Address Regisration Yearly Fee: US $0.10/address AS Number Assignment One Time Fee: US $500.00/ASN AS Number Regisration Yearly Fee: US $50.00/ASN in-addr.arpa Delegation One Time Fee: US $50.00/delegation in-addr.arpa Maintainence Yearly Fee: US $0.00/delegation* (+) minimum fee: US $8192.00 however request must still be justified (*) un-maintained delegations would be removed The vote was taken with the following results: Implement the proposed non-member fee schedule: Yes 43 No 8 Thus, the proposal was accepted. Implementation of the non-member fee schedule would take place prior to the next APNIC meeting. 2:00 - 2:20 Modifications to Allocation Procedures APNIC Internet address allocation procedure is to allocate an initial /22 to service providers unless they can provide sufficient justification for the need of additional space. It was noted that this policy has resulted in significant (arguably unnecessary) discussion between the requestor and APNIC. It was proposed that APNIC modify its allocation policy to more closely match the RIPE-NCC allocation policy. More explicitly, when an organization requests an initial block of address space, APNIC will allocate an initial /19 however assignments within that /19 to the requestor's customers will be constrained by an "assignment window". The assignment window is an indication of the amount of address space the member can assign to customers without obtaining a second opinion from APNIC. Initially, allocations to members without existing address space will have an assignment window of zero, that is, all assignments to customers must be made with the approval of APNIC. As the requestor gains more experience with assignment policies and requirements, the assignment window will be opened so the requestor can assign more and more space to its customers autonomously. Organizations with an existing history of assignments with APNIC will be given an assignment window corresponding with their last allocation. It was pointed out that this scheme can result in additional load on APNIC hostmaster staff as new members will require significantly more supervision. However, it was also noted that such supervision can result in less questions and mistakes with later requests. A vote was taken with the following results: Yes 65 * No 2 As a result, the APNIC Secretariat was directed to modify allocation procedures to the assignment window approach as soon as feasible. 2:20 - 2:40 APNIC Activities Plan Discussions It was proposed that the APNIC Secretariat take up the following additional functions and services in addition to its primary functions in FY '97: - web access to APNIC mailing lists and mailing list archives - transitioning the APNIC web page from the current pages maintained by KRNIC to pages hosted at the Secretariat - transitioning the in-addr.arpa delegation service currently operated by AUNIC to the Secretariat - notify APNIC members of more specific announcements by monitoring the global routing tables - prepare APNIC to accept and use public key signatures for all official communication with APNIC A vote was taken on the Activies plan with the following results: Yes 49 * No 4 As a result, APNIC will implement the described activities plan during fiscal year 1997. 2:40 - 2:45 Request From Modification Discussions It was noted that APNIC forms will be expiring prior to the next APNIC meeting and the APNIC application forms will be modified. The membership was encourage to provide suggestions and comments by subscribing and partipating in a new mailing list forms-wg@apnic.net (subscribe by sending a message body of "subscribe" to forms-wg-request@apnic.net). 3:00 - 3:30 Asia Internet Plaza A request for support was proposed for the "Asia Internet Plaza", an information clearinghouse regarding Internet and cultural activities in the Asia and Pacific Rim regions. After some discussion, the general consensus was that while the Asia Internet Plaza is indeed a worthwhile project, there would be a risk that similar functionality and services could be provided as a commercial venture by APNIC members, thus APNIC support could result in APNIC competing with its membership. As such, the consensus of the APNIC membership was to encourage members to participate in the Asia Internet Plaza but to decline direct support. 3:30 - 3:45 Member update: Thailand The Internet situation in Thailand was described and it was noted that in 1996, there were 2 Internet service providers, in 1997 there were 17 and it is expected there will be 40 ISPs in Thailand by the beginning of 1998. In terms of users, it is projected that the user base will increase from 150,000 to 1,000,000 by the end of 1997. In addition, it is possible that a national NIC for Thailand will be established within the year. 3:45 - 4:00 Member update: JPNIC by Dr. Naomasa Maruyama JPNIC's status was discussed, describing its estaablishment in April 1993 to provide .JP domain name delegations and Internet address assignments. Initially, there were 20 members, but this number grew rapidly. Organizationally, JPNIC consists of a general assembly overseen by a board which is administered by a steering committee. The Secretariat currently employs 9 individuals and had a budget of US $4.7 million for fiscal year 1996. Of that income, 58% came from membership fees and the other 42% came from assignment charges. There was a presentation of the .JP domain structure which has a functional component (.co, .ad., .ac, etc) and a geographic component (.tokyo, .hiroshima, etc.) Some of the current assignment policies were described, including the use of first-come, first-served and the requirements of one domain name per organization with uniqueness required up to the third level and the non-transferability of domain names. Recent changes to JPNIC policies reflected the creation of a new function 2nd level domain (.ne), removing the requirement for 3rd level uniqueness, revising address allocation procedures to reflect RFC 2050 requirements, discussions regarding how trademarks would be handled, and incorporation of JPNIC as a public welfare non-profit organization under four Japanese ministries. ------------ Appendix A - Attendees of the APNIC annual general meeting in Hong Kong Jan. 31 1997 (reflecting those who signed the signup sheet) Achmad Birowo birowo@pacific.net.sg Pacific Internet Akira Kato kato@nezu.wide.ad.jp WIDE Project Bundit Wongwatanasin bundit@ksc.net.th KSC Commercial Internet Chalee Srdtiprryo chalee@samart.co.th Samart Thailand Chanki Park ckp@nca.or.kr KRNIC Che Hoo Cheng chehoocheng@cuhk.hk The Chinese Univ of HK Chen Xing Xiang cxx@siit.infnet.co.cn SIIT Co.Inc. Daniel Karrenberg dfk@ripe.net RIPE NCC David Leong bdl@umac.mo Univ. of Macau Derek Tay dt@cyberway.com.sg Cyberway Pte Ltd. Du Cai Kang ducaikan@uninet.co.cn Uninet Ellis Cheng ellis@hk.linkage.net Linkage Online Ltd. Garin Ganis gganis@pacific.net.id PI Geoff Huston gih@telstra.net Telstra Glenn Sipin gls@dost.gov.ph DOST Gopi Garge gopi@ece.iisc.ernet.in ERNET/INNIC Grace Ng grace@ns.mimos.my MIMOS Heangsin Jang shj@garam.kreonet.re.kr SERI Ho Hee Juan heejuan@cyberway.com.sg Cyberway Pte Ltd. Hock-Koon Lim lim@pacific.net.sg Pacific Internet Horacio T Cadiz hcadiz@ph.net Philippine Network Foundation Hyoungwoo Park hwpark@garam.kreonet.re.kr SERI Ichiro Mizukoshi ichiro@tokyonet.ad.jp JPNIC/Tokyo Internet Indra K Hartono indra.kh@ub.net.id PT Uninet Bhaktinusa Izumi Aizu izumi@glocom.ac.jp AIRI/GLOCOM Jang Sang Gyu sgjang@bora.dacom.co.kr DACOM Jin Ho Hur jhhur@nuri.net Inet, Inc. John Halker j.houlker@waikato.ac.nz NZNIC John S. Quarterman jsq@mlds.org MIDS Jun Suzuki j-suzuki@tokyonet.ad.jp Tokyo Internet Kanchana Kanchanasut kk@cs.ait.ac.th THNIC Kanokwan Wongwatanasin kanokwan@ksc.net.th KSC Thailand Kuo Wu c00pawu00@nchc.gov.tw TWNIC Kwan-Ho Song khsong@nca.or.kr Natl Computerization Agency Lee Hee Pok wind@bora.dacom.co.kr DACOM M K Fung mkfung@artogram.com EastWorld Networks Ma Yan mayan@bupt.edu.cn CERNET Mark Summer mark@samart.co.th Samart Thailand Mark Treacy mark@aone.net.au Access One Miguel A.L. Paraz map@ipil.net IPhil Communications Ming Chung cm@msi.hinet.net CHT-D Chunghwa Telecom Minoru Takada apopen@ibm.net IBM Asia Pacific Mirjam Kuehne mir@ripe.net RIPE NCC Morragot Kvlatumyotin morragot@inet.co.th Internet Thailand Naomasa Maruyama maruyama@nic.ad.jp JPNIC Neil van Wouw neil@gol.com Global OnLine Japan P.D. Waghey waghe@casanov.attmail.com Computerland P.M. Winarno winarno@ue.net.id Uni Internet Pang Wai Cheung wai@huge.net.hk Huge Net Paul S Carlson pcarlson@kuentos.guam.net Kuentos Commucnications Perg Kwon Tan pk@cyberway.com.sg Cyberway Pte Ltd. Shigeki Goto goto@goto.info.waseda.ac.jp JPNIC/Waseda U Siripong Treetasanatavorn phong@mozart.inet.co.th Internet Thailand Srisakdi Charmonman charm@ksc.net.th KSC Thailand Stacy Chua stacyc@pacific.net.sg Pacific Internet Sugiharto Darmakusuma sugi@cbn.net.id Cyberindo Aditama Sun Young Han syhan@cosmos.kaist.ac.kr Kon-Kuk Univ. Takashi Togawa togawa@iad.hqs.ntt.jp NTT Tan Tin Wee tinwee@irdu.nus.sg National Univ. of Singapore Toru Takahashi toru@tokyonet.ad.jp IAJ Toru Toyama kinsan@abone.net AIH Toshio Higashikata t.higashikata@idc.co.jp IDC Wallace H.A. Koh wallace@brunet.bn Jabatan Telecom Wally Lee wally@irdu.nus.sg National Univ. of Singapore Will Foster wfoster@cix.org CIX William Wong wwong@hkt.net Hong Kong Telecom Y.L. Shrestha yogesh@casanov.attmail.com ComputerLand Yoshihiro Obata yo-obata@kdd.co.jp KDD Hong Kong Yoshihisa Kawamura kawamura@jrd.dec.com DEC