Kris Marszalek, the founder of Crypto.com, has been all over the news lately. He acquired AI.com, many times more valuable than even dictionary as domains for a record $70 million, the highest domain purchase ever. This acquisition breaks the prior record of CarInsurance.com which sold for $49.7 million. The all-cash acquisition was brokered by Larry Fischer of Fischer Enterprises, who noted the extreme rarity and value of these premium domains.
InterActiveCorp’s USA.com sale hints at the impressive flows of cash into the rapidly growing market of artificial intelligence. Marszalek intends to use this hot ticket item to promote the possibility of an ad being introduced during the Super Bowl. He seeks to build on the increasing awareness and readiness around AI technologies. In a statement to the Financial Times, Fischer highlighted the uniqueness of assets like AI.com, stating, “With assets like AI.com, there are no substitutes.”
The premium domain market has a long and storied past of high dollar sales. Other high-value domains include VacationRentals.com, which sold for $35 million in 2007, Voice.com and PrivateJet.com, each fetching $30 million, and 360.com, which sold for $17 million. The story of the domain Sex.com is just as interesting. It has been owned twice since for more than $13 million each time, yet one of those owners went bankrupt attempting to monetize it.
Marszalek considers the emergence of artificial intelligence to be a truly transformational wave in technology. The reason he’s most excited is how it will revolutionize our lives in the next 10 or 20 years. He stated, “If you take a long-term view — 10 to 20 years – [AI] is going to be one of the greatest technological waves of our lifetime.”
Marszalek’s decision to acquire AI.com is a testament to his deep belief in the immense future value of AI. Secondly, it points to the growing trend of these big investments going toward high-quality dedicated digital assets. As businesses increasingly recognize the value of strong online identities, the domain market is likely to continue experiencing substantial growth.
