A Serendipitous Assignment

In 1995, the ITU assigned Anguilla—an island territory with fewer than 16,000 residents—the country-code top‑level domain .ai (ref:1). Originally meant to serve local businesses, .ai lay dormant in significance… until ChatGPT launched in November 2022, sending demand for AI-branded domains through the roof (ref:2).

The Boom in Domain Registrations

From 2022 to 2023, registrations exploded from ~144,000 to ~354,000 names—nearly a 150–160% year-over-year rise—propelled by AI startups, larger tech players, and digital branding trends (ref:3).

Financial Windfall for Anguilla

• In 2023, Anguilla earned about US $32 million (EC$87 million) from .ai domain registration fees—accounting for around 20 percent of its total government revenue (ref:4).

• Projections for 2024 revenue exceeded $100 million, with estimates over EC$100 million (≈ US $105 million) (ref:5).

• The government expects revenues to stabilize at roughly 15% of total income as the registration frenzy settles (ref:6).

Domain pricing is standardized: US $140 for a two‑year registration, and renewals happen ~90% of the time (ref:7). The bulk of fees flow directly into the Anguillan treasury, unlike some other domains where intermediaries take a higher cut.

Registry Switch & Revenue-Sharing

Until 2025, .ai was managed by a small local operator (DataHaven.net), effectively one person—Vince Cate. In early 2025, Identity Digital (formerly Donuts) secured the official contract, pledging a revenue share where 90% goes to the Anguilla government and the registry keeps 10% (ref:8). Their infrastructure upgrade aims to improve global scalability and reduce cyber risks (ref:9).

🌐 Companies Securing .ai Domains & Premium Sales

Major AI-related platforms and corporations have adopted .ai addresses: stability.ai, character.ai, and others. Big tech names including Google, Meta, and Elon Musk’s company X have also secured .ai domains as part of branding strategies (ref:10).

Domain marketplace data reveals premium .ai sales (often expired or auctioned names):

“NameCheap has just reported a few five-figure .ai domain sales that are already topping the charts for 2025.” (ref:11).
Notable sales include:

• pump.ai — sold for $94,900

• virgil.ai, ispace.ai, rey.ai, ani.ai — each sold for $30,000 (ref:12)

More recent listings from NameCheap’s CEO include:

• workers.ai – $74,900

• sand.ai, paid.ai – $65,000 each

• director.ai – $64,990

• scarlett.ai – $60,000

• Additional sales: mal.ai, heidi.ai, dti.ai, sal.ai, usecase.ai and more, with prices ranging from $23,900 to $39,950+ (ref:13)

These sales underscore how valuable generic and brandable .ai names have become in the AI ecosystem.

📈 Who Benefits—and How Is the Money Used?

1. The Government of Anguilla

The principal beneficiary is the Anguillan treasury, receiving nearly all .ai registration revenue. In 2023, that was over US $32 million, rising sharply in 2024, and projected to stabilize at 15–20% of national revenue in following years (ref:14).

2. Anguilla’s Citizens and Infrastructure

This revenue is funding critical public and social infrastructure:

• Airport expansion

• Free healthcare for seniors (Senior Shield program)

• Digitizing public schools, laptops for students, scholarships

• Vocational tech training center, hurricane recovery funds, disaster resilience (ref:15) (ref:16)

Anguilla continues its no personal income, capital gains, or corporate tax regime, supported by this new revenue stream (ref:17).

3. Registry Operators (Identity Digital)

Starting in early 2025, Identity Digital handles registry operations globally and retains 10% of all .ai domain revenue, while ensuring stability and scalability for the TLD (ref:18).

🧭 A Model for Small Nations

Anguilla’s story mirrors that of Tuvalu (.tv) or Libya (.ly)—small states with niche domains turned into international assets generating significant economic return through global adoption of their ccTLDs (ref:19).

As TechRadar notes, ccTLDs like .ai now serve powerful roles beyond local identity—they enhance brand credibility and global visibility for businesses, while simultaneously becoming substantial national assets (ref:20).

🔮 What’s Next?

The domain frenzy may mellow, but Anguilla’s projections show continued growth:

• Revenue estimates of US $132 million in 2025, rising to $145 million by 2027 (ref:21).
  The government aims to diversify investments and build sustainable infrastructure to outlast the domain boom—emphasizing renewable energy, tourism resilience, and long-term economic stability.

🚀 Conclusion

Anguilla’s .ai domain was a fortunate byproduct of 1990s internet policy. But with the revival of interest due to the AI era, it transformed into a digital goldmine, generating tens of millions in fees, reinforcing the public budget, and funding transformative national projects. Companies grabbing generic .ai names paid upwards of $60K–$95K for premium domains—and Anguilla kept nearly all that value, channeling it into meaningful investment for its people and future.

References

1. https://english.elpais.com/technology/2024-03-16/the-small-caribbean-island-making-a-fortune-from-artificial-intelligence.html?utm_source=stellaninvestments.com
2. https://www.caribmagplus.com/an-ai-powered-boost-to-anguillas-revenues/?utm_source=stellaninvestments.com
3. https://www.caribmagplus.com/an-ai-powered-boost-to-anguillas-revenues/?utm_source=stellaninvestments.com
4. https://www.caribmagplus.com/an-ai-powered-boost-to-anguillas-revenues/?utm_source=stellaninvestments.com
5. https://anguillafocus.com/govt-income-from-ai-domain-projected-to-exceed-100m-for-2024/?utm_source=stellaninvestments.com
6. https://www.caribmagplus.com/an-ai-powered-boost-to-anguillas-revenues/?utm_source=stellaninvestments.com
7. https://www.ai-360.online/the-ai-domain-boom-anguillas-unexpected-revenue-surge/?utm_source=stellaninvestments.com
8. https://www.fastcompany.com/91211795/ai-domain-names-are-the-next-big-thing-on-the-internet-thats-great-news-for-anguilla?utm_source=stellaninvestments.com
9. https://caribbean-escape.com/anguilla-reaps-unexpected-benefits-from-the-ai-boom/?utm_source=stellaninvestments.com
10. https://english.elpais.com/technology/2024-03-16/the-small-caribbean-island-making-a-fortune-from-artificial-intelligence.html?utm_source=stellaninvestments.com
11. https://www.reddit.com/r/HostingReport/comments/1hvzntq?utm_source=stellaninvestments.com
12. https://www.reddit.com/r/HostingReport/comments/1hvzntq?utm_source=stellaninvestments.com
13. https://www.reddit.com/r/HostingReport/comments/1j94j0z?utm_source=stellaninvestments.com
14. https://en.wikipedia.org/wiki/.ai?utm_source=stellaninvestments.com
15. https://www.foxbusiness.com/lifestyle/caribbean-island-totally-incidental-way-cash-ai-boom?utm_source=stellaninvestments.com
16. https://caribbean-escape.com/anguilla-reaps-unexpected-benefits-from-the-ai-boom/?utm_source=stellaninvestments.com
17. https://www.foxbusiness.com/lifestyle/caribbean-island-totally-incidental-way-cash-ai-boom?utm_source=stellaninvestments.com
18. https://www.reddit.com/r/HostingReport/comments/1j0g37u?utm_source=stellaninvestments.comm
19. https://apnews.com/article/2a6044ed4082e866ccf675e79a57e6f4?utm_source=stellaninvestments.com
20. https://www.techradar.com/pro/website-hosting/building-brand-credibility-and-community-through-country-code-top-level-domains?utm_source=stellaninvestments.com
21. https://getcoai.com/news/tiny-caribbean-island-now-generates-20-of-revenues-from-ai-domain-sales/?utm_source=stellaninvestments.com