The Newyorker, just published a very interesting story on the history of TMZ, including the story on how the founder of the company, Harvey Levin bought the domain name for just $5,000 back in 2005.
“The site needed a name, and “Feed the Beast,” “Frenzie,” and “Buzz Feed” were all considered, according to Rowe’s notes. Then, one day, a Telepictures executive suggested “Thirty Mile Zone.” It was an old movie-industry phrase, dating back to the mid-twentieth century, which designated the industry’s boundaries in Los Angeles.
Levin suggested an abbreviated version: TMZ.
“The domain name tmz.com, however, was owned by a man who built robots—the site’s initials stood for “Team Minus Zero”—and he showed little interest in selling. “We had the guy’s name, and we knew that he worked at a computer-parts company.
“One day, Levin decided to go see the man, and he asked to borrow someone modest rental car, so that he wouldn’t appear to be wealthy. (Levin drove a Mercedes.) “Harvey called him up, went over, wrote him a check for five grand, and bought the URL”
If you are a fan of TMZ or just want to read about a story of how a company like this got to be so successful in a short period of time check it out at here
In 2005, five grand for a LLL .com domain with a “Z” was quite generous. The seller got a good deal at the time, and the buyer got the domain plus a story to tell.
They pay more for tips and videos –TMZ blackmailed Justin Bieber, paid $100G for Ray Rice vid http://nydn.us/1oimAEU
Chip domains were even selling well back then!