Why Musk Spent $11 million on Tesla.com Domain
“Telsla should be lucky enough that it acquired the domain though it cost a lot.ICBC,the bank with the highest market cap,is not so lucky.It was said that it offered $10M or more to acquire the domain ICBC.com,But the Canadian insurance company which hold the domain said "NO".”Money is not everthing! Anything can paid by money is cheap!
From the beginning, Tesla owned TeslaMotors.com.
Then in 2016 Tesla acquired the domain name Tesla.com, a domain that was registered well before electric vehicles were even a figment of Elon Musk's imagination. It wasn't until December 2018 when Musk finally revealed how much money Tesla had paid for the domain:
— Elon Musk (@elonmusk) Dec 9, 2018
$11 million is a lot of money for a domain name!
In 2017 Musk felt a bit nostalgic and bought the X.com domain name back from PayPal because it was no longer using it.
He has used the domain to sell hats and (apparently) flamethrowers for his Boring Company, but right now it just leads to a website with the letter X on it.
The purchase price for X.com wasn't disclosed but single letter domain names are extremely rare and valuable. A Japanese internet company paid $6.8 million to acquire Z.com in 2014. Musk surely paid millions of dollars to recapture X.com.
Why the domain TeslaMotors.com didn't cut it ?
The TeslaMotors.com domain name had a few problems, which is why Elon Musk was willing to pay so much money for Tesla.com.
First, big companies feel they need to own the exact match of their company name in .com. There's something "cheap" feeling about TeslaMotors.com for a company called Tesla. Shouldn't Tesla, one of the world's most admired and cutting-edge companies, own Tesla.com and not TeslaMotors.com?
Another issue is that many people probably typed in Tesla.com when they meant to go to the TeslaMotors.com website. Customers and suppliers probably sent emails to @tesla.com instead of @teslamotors.com, too. Fortunately for Tesla, the Tesla.com domain wasn't being used in a nefarious way, but this could have been a problem. It was, at the very least, a nuisance.
But most importantly, Tesla is no longer just a car company. It is introducing the Powerwall battery storage system. It even has a solar roof.
The company was simply outgrowing the "motors" label. Tesla.com can be used for every product and service the company may invent in the future.