Rick Schwartz posts an excellent piece on his blog. There is a finite amount of fertile, usable land on this planet and there are a finite number of generic and meaningful domain names in the coveted .com space. Buy a bunch of high quality land and you're a very smart land developer. Buy a bunch of the online version and risk some technical purist or Internet policy wonk incorrectly labeling you the familiar and derogatory "Cybersquatter".
Not true of course.. Cybersquatters maliciously target trademarks whereas generic names can be owned by "anyone". Still that doesn't stop the mud from slinging... Rick Schwartz throws it in their face calling those mudslingers Cyberbullies:
Quote: "Maybe they should articulate how they missed the single biggest opportunity in their lifetime, their father's lifetime and their father's before them? How do they answer that? They put on their shoes and THEN they put on their socks and now they want to own the assets we took the RISK to have? NO WAY!" Schwartz said. For those who complain about domain owners who have not yet developed their sites (how this is anyone's business still escapes me)..."
Schwartz explained the winning strategy he employed when he started out;
"I saw a unique opportunity in time that would NEVER pass again. I decided that securing the LAND for the development in the future TRUMPED developing one website. Looking back, that was one hell of a great decision on my part and a HUGE mistake for many of them. Now all they can do is label everyone with GREAT undeveloped domains as “cybersquatters! The truth of the matter is they FAILED MISERABLY and their sour grapes are being exposed!"...
He's right of course... I've said it before: "You can't drive by a vacant piece of land, an unused car in a parking lot, an empty house, vacant office space or unused machinery anywhere in the world that is not OWNED by somebody. That's capitalism. And next time you bite into your Big Mac you should thank God we have capitalism.. lest you wake up from your dream in North Korea chewing on a raw rutabaga."