Eligibility Debate Arises Around Domain Name Applicant

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As the Internet adds valuable new domain names that are luring the likes of Google Inc. and Amazon.com Inc., a little-known company called Donuts Inc. is making a grab that opponents say could fuel cybersquatting, the practice of stealing website identities. Donuts, backed by more than $100 million in venture capital, is spending $56 million to bid for 307 of the 1,400 new so-called generic top-level domain names, or TLDs, that will shape how the Web will soon evolve.

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