Anguilla, a Caribbean island famed for palm-lined beaches and turquoise waters, has traditionally drawn tourists seeking sun-kissed tranquility. However, in 2025, this diminutive British Overseas Territory, home to a mere 16,000 residents, is causing a stir not just for its beaches but because of an unexpected boon: the surging demand for its .ai internet domain.
This digital treasure generated nearly US$40 million last year – roughly a quarter of the government’s total revenue. It’s giving tourism a run for its money as a primary pillar of Anguilla’s economy and offering a vital financial safety net for a Caribbean island susceptible to the whims of nature.
The .ai Domain: A Global Tech Magnet
Anguilla’s fortunate position arises from its ownership of the .ai top-level domain. Initially, it was simply assigned to represent the island, similar to .fr for France or .de for Germany. The ascent of artificial intelligence, though, has essentially transformed .ai into a sought-after digital asset. Startups, tech giants, and investors are seemingly engaging in a mad dash. Domains such as law.ai and you.ai are prime examples that have morphed into desirable commodities. High-profile sales, like cloud.ai, which commanded $600,000 in July of 2025. Registrations have surged from under 50,000 in 2020 to over 850,000 at present. And, broadly speaking, there aren’t signs of a slowdown.
This digital frenzy is really boosting Anguilla’s financial resources. The government’s budget anticipates revenues of 132 million Eastern Caribbean dollars (around US$50 million) from .ai domain sales. This figure demonstrates just how important the sector has become. Domain revenue, last year, nearly equaled the 37% contribution from tourism, traditionally the island’s economic mainstay which saw 111,639 visitors in 2024.
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A Financial Buffer Against Nature’s Fury
For this small Caribbean island right in the Atlantic hurricane zone the .ai boom isn’t just a financial windfall; it’s an absolutely critical buffer against vulnerability. While thriving, Anguilla’s tourism sector is undeniably at the mercy of natural disasters. In 2017, Hurricane Irma wrought absolute havoc, devastating infrastructure and significantly disrupting the visitor-dependent economy. The steady influx of domain revenue presents a stable income stream, independent of weather patterns, empowering investments in resilience, recovery efforts, and sustainable development initiatives.
Balancing Digital and Tropical Treasures
Anguilla’s two main economic drivers—tourism alongside .ai domains—uniquely position it among Caribbean nations. While beach-goers enjoy the island’s beaches, Anguilla is quietly leveraging the AI revolution on a global scale, transforming a two-letter designation into a multimillion-dollar asset. Assuming the .ai domain market continues its growth trajectory, Anguilla is well-positioned to reshape its economic destiny. It can blend the allure of its tropical paradise with the power of an emerging digital empire.