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A Cookieless domain is a domain which does not set cookies intended to host static website.
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If your domain is www.example.org, you can host your static components on static.example.org.
However, if you've already set cookies on the top-level domain example.org as opposed to www.example.org, then all the requests to static.example.org will include those cookies.
In this case, you can buy a whole new domain, host your static components there, and keep this domain cookie-free.
Example:
- Yahoo! uses yimg.com,
- YouTube uses ytimg.com,
- Amazon uses images-amazon.com and so on.