I am sure, its a fake sale just to add into the value of domain. Yes people do it, and it happens more fake then real in domain industry, just to add values. The domain is no better then US$30k I bet.
Whichever company bought this name probably took out a loan. Now, they're saddled with debt and they'll have to charge skyhigh prices just to try to make their loan payments. Will having this domain help them? Probably a little. Will it be so valuable to their business that it was worth $800K plus interest? I seriously doubt it.
I know this thread is a few days old but no-one pointed out that paying that much for the domain in itself was a marketing strategy. I mean how many people went and told someone about server.com being bought for that amount and how many threads exactly like this have been started about it. That was all free advertising (well not free is you factor in the domain cost). Add to that it is a pretty good domain anyway I don't think they will make a loss on it. They should have probably put something on it by now though.
He is entitled to his own opinion. Though I must agree that the statement is not that correct. Not everyone have the same capabilities in terms of market and advert power such as big corp like G or Y!. Server.com is a great domain. 770K is a nice price for the buyer and seller. Probably not what I will pay for it but still ok. The buyer could without doubt create a great brand that can generate income to cover back that domain buy in a year. Looking forward to the site
People purchased this sort of domains hoping that it gets better with age. Million dollars domains are not unheard of. Just the name, no content. Its investment just like real estate. Is it worth it? time will tell. The old owner prolly purchased the domain for 300 g, who knows..
I doubt that someone paying that much is purchasing the domain name for its speculative investment potential. I suspect they have some business use in mind. As far as the price goes, the domain name is part of the branding of the website and the cost of the domain is simply another marketing expense. If someone only has $800K, then spending it all on a domain name probably makes no sense. But if someone what is rolling out a $10M marketing campaign, spending $800K on a very marketable URL may make more sense than dumping the whole $10M into marketing a less expensive but less distinctive domain name.
Im no expert but it sounds right. Single word domains of that quality have become like real estate they are extremely valuable and will become worth even more as the years pass that is why many companies are buying up domains like real estate.
Murali i was just making fun of my self as i own freeserver.in and just comparing with server.com.Other wise i am not in the market to sell that domain yet And i know this section is not a place to sell or appraisal.
anyway that domain will sure have great help with seo. That word is so commonly used and it is short.