The root nameservers will be replaced August 1st

If the information in the following message means what I think it means in
then somebody is colocating an entire new set of root nameservers at
exchange points within the USA if not internationally.

Can they do this? Or are they bluffing?

  They can buy connections from ISPs and connections at some exchanges.
  With these connections they may choose to deploy machines that
  run their version of nameservice. It still does not affect those
  people who use authorized root servers and the bind code as distributed.

  Note that some exchanges prohibit this type of service from being
  offered and there is the other, minor problem of annoucing the exchange
  prefix. These issues were discussed in the IEPG meeting that was
  held just prior to IETF.

  There is a plan to do a couple of interesting things with the authorized
  root servers which includes relocating them for better coverage.

  I will also note, yet again, that there are real, technological constraints
  on the number of root servers. If you buy into the utility of the DNS,
  then you must abide by these constraints. If you choose to build an
  alternative universe and you have the cash, you are certainly able, the
  tools are there. If you simply have a gripe with the IANA and wish to
  usurp the root by the use of an alternative cache file, you split the
  Internet into fragments... so much for the fiction of a globally useful
  activity. Or there is the intent to "chop off" the root and simply
  coordinate a TLD file distribution, which leads to the HOSTS.TXT madness.

  Of course this presumes content and clients for the parallel universe.