Internet Marketing - Domain Squatting
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Domain squatting is a term used when someone registers a domain name that they have no intention of using. Many people have made domain squatting a business. The idea is to buy a domain name that people might want and then sell it to the person or company at a high resale rate. The whole idea of domain squatting is to make money over a name that someone may want. Domain squatting is also referred to as cyber squatting. Over the years domain squatters have extracted a lot of money from all sorts of industries and individuals. Mostly, the resale rate asked for is so steep that you just might consider thinking of another domain name instead of buying it from a squatter.
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The most common kind of domain squatting is for names that are obviously useful for certain businesses and or personal websites of celebrities. There have been many legal battles fought over domain name squatting. Squatters ask prices like $50,000 just for a domain name. Unfortunately, many businesses will actually pay the price to own the domain name.
Domain parking is different from domain squatting. If you register a domain name with an intention of ever using it for a relevant purpose in future, you would have successfully parked your domain name. With squatters, they just create a blank home page that will often say, “This domain is for sale”. There is no harm in making profits out of nothing but domain squatting is unethical and borders on the fringes of being illegal. If you happen to register a domain name that pertains with a trademark or copyright, then you are liable for legal action. On the other hand, if you are a victim of domain squatting you can investigate.
If the domain name you wish to take is already registered don’t assume that it is squatted on. Type in the URL and see what page you are directed to. You may have picked a name that is already taken by another company or individual for actual use. In such a case, you will have to pick another domain name (ideally not one that is a plural version of the same name). If the page you are directed to is a blank one or has some junk text then it is probably a squatter. If a domain name comes under dispute it can be settled at the Domain Name Dispute Resolution site. As a website owner, you should also read up about Anticybersquatting Act.
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