domaining

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domaining

Also called "domain name speculation," domaining refers to registering domain names and selling them for profit. One of the first notable transactions was the domain wallstreet.com, which was registered in 1994 for USD $70 and sold for $1 million in 1999. Subsequently, domains have sold for tens of millions because of their huge marketing value. In fact, Cars.com has valued its domain as an "intangible asset" worth $872 million.

People register every common name and name combination they can think of with the hopes of selling them later. While they wait to sell it, the domain can become an active website with ads. If the name is generic enough that people might land on it, the ads compensate for the annual registration fee. See domain parking.

Domaining was originally called "cybersquatting;" however, the latter term evolved into something else (see cybersquatting). See domain warehousing.
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References in periodicals archive ?
Sunderland, Note, Domain Name Speculation: Are We Playing Whac-A-Mole?, 25 BERKELEY TECH.
(151) For example, the open question of whether domain name speculation is distinguishable from cybersquatting (152) could be addressed by this means, through an amendment clarifying that speculation in domain names is not, in itself, evidence of bad faith unless the registrant had actual or constructive knowledge that another party has trademark rights in a confusingly similar word or phrase.

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