The small British Caribbean territory of Anguilla is experiencing an unexpected economic windfall, thanks to the global surge in artificial intelligence. The island's '.ai' internet domain has become a highly sought-after digital asset, generating millions in revenue and significantly contributing to the nation's economy, which traditionally relies heavily on tourism.
A Lucrative Digital Asset
Anguilla, with a population of fewer than 20,000 people, has found a new and substantial source of income through its country code top-level domain (ccTLD), '.ai'. This domain extension has become incredibly valuable as companies and individuals rush to establish an online presence related to artificial intelligence. The demand has seen a dramatic increase, particularly following the widespread adoption of AI technologies like ChatGPT.
Revenue Surge: In 2023, Anguilla generated an estimated EC$87 million (approximately US$32 million) from .ai domain registrations and renewals. This figure represented over 20% of the government's total revenue for that year.
Exponential Growth: The number of registered .ai domains has surged dramatically, increasing from under 50,000 in January 2020 to over 880,000 by late 2025. This growth has more than tenfold over the past five years.
High-Value Sales: While standard registrations cost around $140-$200 for two years, premium or highly desirable .ai domain names have fetched significant sums at auction, with some reportedly selling for hundreds of thousands of dollars.
Economic Diversification and Future Outlook
The revenue generated from the .ai domain is crucial for Anguilla's economic diversification. Tourism, while still a significant contributor (around 37% of GDP), is vulnerable to external factors such as hurricanes. The income from domain registrations provides a more stable and resilient revenue stream.
Proceeds from the .ai domains are earmarked for various local projects, including airport expansion, healthcare for the elderly, and strengthening the island's vocational training centres. Anguilla has partnered with Identity Digital, a firm specialising in domain management, to handle the increasing demand and ensure the smooth operation of its digital asset.
Despite the current success, Anguillan officials acknowledge the need for a balanced economic strategy, emphasizing that reliance solely on the .ai domain is not sustainable in the long term due to the ever-evolving digital landscape. However, the predictable revenue from domain renewals, with approximately 90% of domains being renewed, offers a solid foundation for future financial planning.
Precedent and Global Context
Anguilla's success with its '.ai' domain mirrors that of other nations that have capitalised on their ccTLDs. Tuvalu, for instance, has earned substantial revenue from its '.tv' domain, while Montenegro's '.me' and the Federated States of Micronesia's '.fm' have also found niche popularity.
As the artificial intelligence sector continues its rapid expansion, Anguilla is well-positioned to benefit from this digital trend, turning a simple internet address into a significant national asset.