My company has started last month purchasing IDNs (International Domain Names) they are domain names in native Japanese, Chinese, Korean, Russian etc.

We decided to start a forum to test out factors relating to IDNs. We are all bilingual American & Japanese & thought we can give insights that domain sellers & SEO experts don't have any experience with.

Usually to register an IDN it has to have what's called a punycode attached to it. So you could go from the native Japanese like widgets.com or something beginning with xn--gh7ffm.com

The great thing we just discovered that we believe isn't documented is.

Google searches already converts Punycode
We are getting native Japanese URLs in results.

http://www.idnforums.com/index.php/topic,42.0.html

This is a great breakthrough because those who doubted the use of IDNs can now see that Google is displaying IDN Domain Names in search results as their Native Unicode URL.

We are not sure as of yet how strong of a factor that keywords in the domain will have but we are still testing to give feedback to the community.

We have a few domains with extremely high OVT searches a month so we will be testing them soon by making a few sites to examine how high of a ranking can we get & how much of a factor will the exact keyword in the URL be.

For the displayed result it wasn't based on the keyword in the domain at all.

So consultants get ready to start telling your global clients to get their IDN Domains... They matter to Google.