<PAGE>

                                                                   Exhibit 10.60


                    INTELLECTUAL PROPERTY SECURITY AGREEMENT

         This Intellectual Property Security Agreement (this "IP Agreement") is
made as of the 14th day of May, 2002 by and between INTERLIANT, INC., a Delaware
corporation with its principal place of business at 2 Manhattanville Road,
Purchase, New York 10577 ("Grantor"), and SILICON VALLEY BANK, a
California-chartered bank, with its principal place of business at 3003 Tasman
Drive, Santa Clara, California 95054 and with a loan production office located
at One Newton Executive Park, Suite 200, 2221 Washington Street, Newton,
Massachusetts 02462, doing business under the name "Silicon Valley East"
("Lender").

                                    RECITALS

         A. Lender has agreed to make advances of money and to extend certain
financial accommodations to Grantor (the "Loan"), pursuant to a certain Loan and
Security Agreement of even date between Grantor and Lender, as amended from time
to time (as amended, the "Loan Agreement"). The Loan is secured pursuant to the
terms of the Loan Agreement. Lender is willing to enter into certain financial
accommodations with Grantor, but only upon the condition, among others, that
Grantor shall grant to Lender a security interest in certain Copyrights,
Trademarks, Patents, and Mask Works, and other assets, to secure the obligations
of Grantor under the Loan Agreement. Defined terms used but not defined herein
shall have the same meanings as in the Loan Agreement.

         B. Pursuant to the terms of the Loan Agreement, Grantor has granted to
Lender a security interest in all of Grantor's right title and interest, whether
presently existing or hereafter acquired in, to and under all of the Collateral
(as defined therein).

         NOW, THEREFORE, for good and valuable consideration, receipt of which
is hereby acknowledged and intending to be legally bound, as collateral security
for the prompt and complete payment when due of Grantor's Indebtedness (as
defined below), Grantor hereby represents, warrants, covenants and agrees as
follows:

         1. Grant of Security Interest. As collateral security for the prompt
            --------------------------
and complete payment and performance of all of Grantor's present or future
indebtedness, obligations and liabilities to Lender (hereinafter, the
"Indebtedness"), including, without limitation, under the Loan Agreement,
Grantor hereby grants a security interest in all of Grantor's right, title and
interest in, to and under its registered and unregistered intellectual property
collateral (all of which shall collectively be called the "Intellectual Property
Collateral"), including, without limitation, the following:

            (a)  Any and all copyright rights, copyright applications, copyright
         registrations and like protections in each work or authorship and
         derivative work thereof, whether published or unpublished and whether
         or not the same also constitutes a trade secret, now or hereafter
         existing, created, acquired or held, including without limitation those
         set forth on EXHIBIT A attached hereto (collectively, the
                      ---------
         "Copyrights");

            (b)  Any and all trade secret rights, including any rights to
         unpatented inventions, know-how, operating manuals, license rights and
         agreements, and confidential information, and any and all intellectual
         property rights in computer software and computer software products now
         or hereafter existing, created, acquired or held;

            (c)  Any and all design rights which may be available to Grantor now
         or hereafter existing, created, acquired or held;

            (d)  All patents, patent applications and like protections
         including, without limitation, improvements, divisions, continuations,
         renewals, reissues, extensions and continuations-in-part of the

<PAGE>

         same, including without limitation the patents and patent applications
         set forth on EXHIBIT B attached hereto (collectively, the "Patents");
                      ---------

            (e)  Any trademark and service mark rights, slogans, trade dress,
         and tradenames, trade styles, whether registered or not, applications
         to register and registrations of the same and like protections, and the
         entire goodwill of the business of Grantor connected with and
         symbolized by such trademarks, including without limitation those set
         forth on EXHIBIT C attached hereto (collectively, the "Trademarks");
                  ---------

            (f)  All mask works or similar rights available for the protection
         of semiconductor chips, now owned or hereafter acquired, including,
         without limitation those set forth on EXHIBIT D attached hereto
                                               ---------
         (collectively, the "Mask Works");

            (g)  Any and all claims for damages by way of past, present and
         future infringements of any of the rights included above, with the
         right, but not the obligation, to sue for and collect such damages for
         said use or infringement of the intellectual property rights identified
         above;

            (h)  All licenses or other rights to use any of the Copyrights,
         Patents, Trademarks, or Mask Works and all license fees and royalties
         arising from such use to the extent permitted by such license or
         rights, including, without limitation those set forth on EXHIBIT E
                                                                  ---------
         attached hereto; and

            (i)  All amendments, extensions, renewals and extensions of any of
         the Copyrights, Trademarks, Patents, or Mask Works; and

            (j)  All proceeds and products of the foregoing, including without
         limitation all payments under insurance or any indemnity or warranty
         payable in respect of any of the foregoing.

         2. Authorization and Request.  Grantor authorizes and requests that the
            -------------------------
Register of Copyrights and the Commissioner of Patents and Trademarks record
this IP Agreement.

         3. Covenants and Warranties.  Grantor represents, warrants, covenants
            ------------------------
and agrees as follows:

            (a)  Grantor is now the sole owner of the Intellectual Property
         Collateral, except for non-exclusive licenses granted by Grantor to its
         customers in the ordinary course of business.

            (b)  Performance of this IP Agreement does not conflict with or
         result in a breach of any material agreement to which Grantor is bound
         or to transferees of assets in connection with certain permitted
         dispositions of business assets of Grantor.

            (c)  During the term of this IP Agreement, Grantor will not transfer
         or otherwise encumber any interest in the Intellectual Property
         Collateral, except for non-exclusive licenses granted by Grantor in the
         ordinary course of business or as set forth in this IP Agreement;

            (d)  To its knowledge, each of the Patents is valid and enforceable,
         and no part of the Intellectual Property Collateral has been judged
         invalid or unenforceable, in whole or in part, and no claim has been
         made that any part of the Intellectual Property Collateral violates the
         rights of any third party;

            (e)  Grantor shall promptly advise Lender of any material adverse
         change in the composition of the Collateral, including but not limited
         to any subsequent ownership right of the Grantor in or to any
         Trademark, Patent, Copyright, or Mask Work specified in this IP
         Agreement;

            (f)  Grantor shall (i) protect, defend and maintain the validity and
         enforceability of the Trademarks, Patents, Copyrights, and Mask Works,
         (ii) use its best efforts to detect infringements of the Trademarks,
         Patents, Copyrights, and Mask Works and promptly advise Lender in
         writing of material infringements detected and (iii) not allow any
         Trademarks, Patents, Copyrights, or Mask Works to be

<PAGE>

         abandoned, forfeited or dedicated to the public without the written
         consent of Lender, which shall not be unreasonably withheld, unless
         Grantor determines that reasonable business practices suggest that
         abandonment is appropriate.

            (g)  Grantor shall promptly register the most recent version of any
         of Grantor's Copyrights, if not so already registered, and shall, from
         time to time, execute and file such other instruments, and take such
         further actions as Lender may reasonably request from time to time to
         perfect or continue the perfection of Lender's interest in the
         Intellectual Property Collateral;

            (h)  This IP Agreement creates, and in the case of after acquired
         Intellectual Property Collateral, this IP Agreement will create at the
         time Grantor first has rights in such after acquired Intellectual
         Property Collateral, in favor of Lender a valid and perfected first
         priority security interest and collateral assignment in the
         Intellectual Property Collateral in the United States securing the
         payment and performance of the obligations evidenced by the Loan
         Agreement upon making the filings referred to in clause (i) below;

            (i)  To its knowledge, except for, and upon, the filing of UCC
         financing statements in the appropriate filing office and with the
         United States Patent and Trademark office with respect to the Patents
         and Trademarks and the Register of Copyrights with respect to the
         Copyrights and Mask Works necessary to perfect the security interests
         created hereunder and except as has been already made or obtained, no
         authorization, approval or other action by, and no notice to or filing
         with, any U.S. governmental authority or U.S. regulatory body is
         required either (i) for the grant by Grantor of the security interest
         granted hereby, or for the execution, delivery or performance of this
         IP Agreement by Grantor in the U.S. or (ii) for the perfection in the
         United States or the exercise by Lender of its rights and remedies
         thereunder;

            (j)  All information heretofore, herein or hereafter supplied to
         Lender by or on behalf of Grantor with respect to the Intellectual
         Property Collateral is accurate and complete in all material respects.

            (k)  Grantor shall not enter into any agreement that would
         materially impair or conflict with Grantor's obligations hereunder
         without Lender's prior written consent, which consent shall not be
         unreasonably withheld, delayed or conditioned. Grantor shall not permit
         the inclusion in any material contract to which it becomes a party of
         any provisions that could or might in any way prevent the creation of a
         security interest in Grantor's rights and interest in any property
         included within the definition of the Intellectual property Collateral
         acquired under such contracts.

            (l)  Upon any executive officer of Grantor obtaining actual
         knowledge thereof, Grantor will promptly notify Lender in writing of
         any event that materially adversely affects the value of any material
         Intellectual Property Collateral, the ability of Grantor to dispose of
         any material Intellectual Property Collateral of the rights and
         remedies of Lender in relation thereto, including the levy of any legal
         process against any of the Intellectual Property Collateral.

         4. Lender's Rights. Lender shall have the right, but not the
            ---------------
obligation, to take, at Grantor's sole expense, any actions that Grantor is
required under this IP Agreement to take but which Grantor fails to take, after
fifteen (15) days' written notice to Grantor. Grantor shall reimburse and
indemnify Lender for all reasonable costs and reasonable expenses incurred in
the reasonable exercise of its rights under this section 4.

         5. Inspection Rights. Grantor hereby grants to Lender and its
            -----------------
employees, representatives and agents the right to visit, during reasonable
hours upon prior reasonable written notice to Grantor, any of Grantor's plants
and facilities that manufacture, install or store products (or that have done so
during the prior six-month period) that are sold utilizing any of the
Intellectual Property Collateral, and to inspect the products and quality
control records relating thereto upon reasonable written notice to Grantor and
as often as may be reasonably requested, but not more

                                      -3-

<PAGE>

than once in every six (6) months; provided, however, nothing herein shall
entitle Lender access to Grantor's trade secrets and other proprietary
information.

         6. Further Assurances; Attorney in Fact.
            -------------------------------------

            (a)  On a continuing basis, Grantor will, upon request by Lender,
subject to any prior licenses, encumbrances and restrictions and prospective
licenses, make, execute, acknowledge and deliver, and file and record in the
proper filing and recording places in the United States, all such instruments,
including appropriate financing and continuation statements and collateral
agreements and filings with the United States Patent and Trademarks Office and
the Register of Copyrights, and take all such action as may reasonably be deemed
necessary or advisable, or as requested by Lender, to perfect Lender's security
interest in all Copyrights, Patents, Trademarks, and Mask Works and otherwise to
carry out the intent and purposes of this IP Agreement, or for assuring and
confirming to Lender the grant or perfection of a security interest in all
Intellectual Property Collateral.

            (b)  Grantor hereby irrevocably appoints Lender as Grantor's
attorney-in-fact, with full authority in the place and stead of Grantor and in
the name of Grantor, Lender or otherwise, from time to time in Lender's
reasonable discretion, upon Grantor's failure or inability to do so within
thirty (30) days of written notice from Lender, to take any action and to
execute any instrument which Lender may deem reasonably necessary or advisable
to accomplish the purposes of this IP Agreement, including:

                 (i)   To modify, in its sole discretion, this IP Agreement
         without first obtaining Grantor's approval of or signature to such
         modification by amending Exhibit A, Exhibit B, Exhibit C, and Exhibit D
         hereof, as appropriate, to include reference to any right, title or
         interest in any Copyrights, Patents, Trademarks or Mask Works acquired
         by Grantor after the execution hereof or to delete any reference to any
         right, title or interest in any Copyrights, Patents, Trademarks, or
         Mask Works in which Grantor no longer has or claims any right, title or
         interest; and

                 (ii)  To file, in its sole discretion, one or more financing or
         continuation statements and amendments thereto, relative to any of the
         Intellectual Property Collateral without the signature of Grantor where
         permitted by law.

                 (iii) Grantor hereby authorizes Lender to file financing
         statements without notice to Grantor with all appropriate
         jurisdictions, as Lender deems appropriate, in order to further perfect
         or protect Lender's interest in the Intellectual Property Collateral,
         provided however, that Lender shall notify Grantor promptly after such
         filing and provide Grantor with a copy of such filing with recording
         information noted thereon.

         7. Events of Default.  The occurrence of any of the following shall
            ------------------
constitute an Event of Default under this IP Agreement:

            (a)  An Event of Default occurs under the Loan Agreement; or any
         document from Grantor to Lender; or

            (b)  Grantor breaches any warranty or agreement made by Grantor in
         this IP Agreement and such breach is not cured within thirty (30) days
         of written notice from Lender.

         8. Remedies. Upon the occurrence and continuance of an Event of
            ---------
Default, Lender shall have the right to exercise all the remedies of a secured
party under the Massachusetts Uniform Commercial Code, including without
limitation the right to require Grantor to assemble the Intellectual Property
Collateral and any tangible property in which Lender has a security interest and
to make it available to Lender at a place designated by Lender. Lender shall
have a nonexclusive, royalty free license to use the Copyrights, Patents,
Trademarks, and Mask Works

                                      -4-

<PAGE>

to the extent reasonably necessary to permit Lender to exercise its rights and
remedies upon the occurrence of an Event of Default. Grantor will pay any
reasonable expenses (including reasonable attorney's fees) incurred by Lender in
connection with the exercise of any of Lender's rights hereunder, including
without limitation any expense incurred in disposing of the Intellectual
Property Collateral. All of Lender's rights and remedies with respect to the
Intellectual Property Collateral shall be cumulative.

         9.  Indemnity. Grantor agrees to defend, indemnify and hold harmless
             ----------
Lender and its officers, employees, and agents against: (a) all obligations,
demands, claims, and liabilities claimed or asserted by any other party in
connection with the transactions contemplated by this IP Agreement, and (b) all
direct losses or expenses suffered, incurred, or paid by Lender as a result of
the transactions between Lender and Grantor, under this IP Agreement (including
without limitation, reasonable attorneys fees and reasonable expenses), except
for losses arising from or out of Lender's gross negligence or willful
misconduct.

         10. Reassignment. At such time as Grantor shall completely satisfy all
             -------------
of the obligations secured hereunder, Lender shall promptly execute and deliver
to Grantor all deeds, assignments, and other instruments as may be necessary or
proper to reinvest in Grantor full title to the property assigned hereunder,
subject to any disposition thereof which may have been made by Lender pursuant
hereto.

         11. Course of Dealing.  No course of dealing, nor any failure to
             ------------------
exercise, nor any delay in exercising any right, power or privilege hereunder
shall operate as a waiver thereof.

         12. Amendments.  This IP Agreement may be amended only by a written
             -----------
instrument signed by both parties hereto.

         13. Counterparts.  This IP Agreement may be executed in two or more
             -------------
counterparts, each of which shall be deemed an original but all of which
together shall constitute the same instrument.

         14. Law and Jurisdiction. This IP Agreement shall be governed by and
             ---------------------
construed in accordance with the laws of the Commonwealth of Massachusetts.
GRANTOR ACCEPTS FOR ITSELF AND IN CONNECTION WITH ITS PROPERTIES,
UNCONDITIONALLY, THE NON-EXCLUSIVE JURISDICTION OF ANY STATE OR FEDERAL COURT OF
COMPETENT JURISDICTION IN THE COMMONWEALTH OF MASSACHUSETTS IN ANY ACTION, SUIT,
OR PROCEEDING OF ANY KIND, AGAINST IT WHICH ARISES OUT OF OR BY REASON OF THIS
AGREEMENT; PROVIDED, HOWEVER, THAT IF FOR ANY REASON LENDER CANNOT AVAIL ITSELF
OF THE COURTS OF THE COMMONWEALTH OF MASSACHUSETTS, GRANTOR ACCEPTS JURISDICTION
OF THE COURTS AND VENUE IN SANTA CLARA COUNTY, CALIFORNIA. NOTWITHSTANDING THE
FOREGOING, THE LENDER SHALL HAVE THE RIGHT TO BRING ANY ACTION OR PROCEEDING
AGAINST THE GRANTOR OR ITS PROPERTY IN THE COURTS OF ANY OTHER JURISDICTION
WHICH THE LENDER DEEMS NECESSARY OR APPROPRIATE IN ORDER TO REALIZE ON THE
COLLATERAL OR TO OTHERWISE ENFORCE THE LENDER'S RIGHTS AGAINST THE GRANTOR OR
ITS PROPERTY.

         GRANTOR AND LENDER EACH HEREBY WAIVE THEIR RESPECTIVE RIGHTS TO A JURY
TRIAL OF ANY CLAIM OR CAUSE OF ACTION BASED UPON OR ARISING OUT OF ANY OF THE
LOAN DOCUMENTS OR ANY OF THE TRANSACTIONS CONTEMPLATED THEREIN, INCLUDING
CONTRACT CLAIMS, TORT CLAIMS, BREACH OF DUTY CLAIMS, AND ALL OTHER COMMON LAW OR
STATUTORY CLAIMS. EACH PARTY RECOGNIZES AND AGREES THAT THE FOREGOING WAIVER
CONSTITUTES A MATERIAL INDUCEMENT FOR IT TO ENTER INTO THIS AGREEMENT. EACH
PARTY REPRESENTS AND WARRANTS THAT IT HAS REVIEWED THIS WAIVER WITH ITS LEGAL
COUNSEL AND THAT IT KNOWINGLY AND VOLUNTARILY WAIVES ITS JURY TRIAL RIGHTS
FOLLOWING CONSULTATION WITH LEGAL COUNSEL.

                                      -5-

<PAGE>


         15.   Confidentiality. In handling any confidential information, Lender
               ---------------
shall exercise the same degree of care that it exercises for its own proprietary
information, but disclosure of information may be made: (i) to Lender's
subsidiaries or affiliates in connection with their present or prospective
business relations with Grantor; (ii) to prospective transferees or purchasers
of any interest in the Loans; (iii) as required by law, regulation, subpoena, or
other order, (iv) as required in connection with Lender's examination or audit;
and (v) as Lender considers appropriate in exercising remedies under this
Agreement. Confidential information does not include information that either:
(a) is in the public domain or in Lender's possession when disclosed to Lender,
or becomes part of the public domain after disclosure to Lender; or (b) is
disclosed to Lender by a third party, if Lender reasonably does not know that
the third party is prohibited from disclosing the information.

         16.   Notices.  All notices given by either party hereunder shall be in
               -------
writing and delivered either by a reputable overnight courier or by certified
mail, return receipt requested to the address of the appropriate party listed
below. Notices shall be effective upon receipt.


If to Grantor: Interliant, Inc.              If to Lender: Silicon Valley Bank
               2 Manhattanville Road                       One Newton Executive
               Purchase, NY 10577                          Park
               Attention: General Counsel                  2221 Washington
                                                           Street, Suite 200
                                                           Newton, Massachusetts
                                                           02462
                                                           Attention: Mr. John
                                                           D. Gaziano




         EXECUTED as a sealed instrument under the laws of the Commonwealth of
Massachusetts on the day and year first written above.

                                          GRANTOR:

                                          INTERLIANT, INC.


                                          By:    /s/ Francis J. Alfano
                                             ----------------------------------

                                          Name:   Francis J. Alfano
                                               --------------------------------

                                          Title:  Chief Financial Officer
                                                -------------------------------

                                      -6-

<PAGE>

                                       SILICON VALLEY BANK

                                       By:      /s/ John K. Peck
                                           -------------------------------------

                                       Name:    John K. Peck
                                             -----------------------------------

                                       Title:   Vice President
                                              ----------------------------------

                                      -7-

<PAGE>

         Exhibit "A" attached to that certain Intellectual Property Security
Agreement dated May 14, 2002.

                                   EXHIBIT "A"

                                   COPYRIGHTS

                         SCHEDULE A - ISSUED COPYRIGHTS
                         ------------------------------

COPYRIGHT                          REGISTRATION                       DATE OF
DESCRIPTION                           NUMBER                          ISSUANCE
-----------                         ---------                         --------

None

                   SCHEDULE B - PENDING COPYRIGHT APPLICATIONS
                   -------------------------------------------

                                                                    FIRST DATE
COPYRIGHT        APPLICATION         DATE OF         DATE OF        OF PUBLIC
DESCRIPTION        NUMBER            FILING          CREATION      DISTRIBUTION
-----------      -----------         ------          --------      ------------

None

SCHEDULE C - UNREGISTERED COPYRIGHTS (Where No Copyright Application is Pending)
--------------------------------------------------------------------------------

                                             DATE AND
                                             RECORDATION
                                             NUMBER OF IP
                                             AGREEMENT WITH
                                             OWNER OR ORIGINAL
                                             GRANTOR IF          ORIGINAL AUTHOR
                                             AUTHOR OR OWNER      OR OWNER OF
                              FIRST DATE     OF COPYRIGHT         COPYRIGHT IS
COPYRIGHT        DATE OF         OF          IS DIFFERENT         DIFFERENT ROM
DESCRIPTION      CREATION    DISTRIBUTION    FROM GRANTOR            GRANTOR
-----------      --------    ------------    ------------         -------------

Grantor has copyrights in certain literature such as marketing, sales and
training materials, but does not register those copyrights as they have little,
if any, commercial value, to Grantor's knowledge. Grantor may also have
copyrights in certain literature and computer code developed for specific
customers, but Grantor has not registered these rights because to Grantor's
knowledge, the material does not have general applicability or mass market
potential.

                                      -8-

<PAGE>

Exhibit "B" attached to that certain Intellectual Property Security Agreement
dated May 14, 2002.

                                   EXHIBIT "B"

                                     PATENTS

PATENT
DESCRIPTION   DOCKET NO.    COUNTRY   SERIAL NO.        FILING DATE      STATUS
-----------   ----------    -------   ----------        -----------      ------

None

                                      -9-

<PAGE>

Exhibit "C" attached to that certain Intellectual Property Security Agreement
dated May 14, 2002.

                                   EXHIBIT "C"

                                   TRADEMARKS

TRADEMARK
DESCRIPTION  COUNTRY      SERIAL NO.                REG. NO           STATUS
-----------  -------      ----------                -------           ------

INTERLIANT                  75/153,487                                 Open

NAVITUS                     75/152,584                                 Open

INTERLIANT - CANADA            846,571                                 Open

INTERLIANT - JAPAN         118322/1977                                 Open

EEC SERVICE MARK             000469585                                 Open

INTERLIANT LOGO             75/393,989                                 Open

INTERLIANT - MEXICO            301,505                                 Open

INTERLIANT ONSIGHT          75/418,781                                 Open

PRIMETRICS                  75/365,331                                 Open

SALESPACE                   75/394,682                                 Open

LEGALSPACE                  75/344,130                                 Open

ONSIGHT                     75/418,782                                 Closed

BUILDING GLOBAL             75/448,010                                 Open
COMMUNITIES

APPSTORE                    75/542,841                                 Open

APPSONLINE                  75/542,832                                 Open

ONE WORLD ONE HOST          75/621,388                                 Open

EREACH                      75/781,075                                 Open

WE SELL SANITY              75/893,785                                 Open

                                      -10-

<PAGE>


Exhibit "D" attached to that certain Intellectual Property Security Agreement
dated May 14, 2002.

                                   EXHIBIT "D"

                                   MASK WORKS

MASK WORK

DESCRIPTION    COUNTRY    SERIAL NO.                REG. NO           STATUS
-----------    -------    ----------                -------           ------

None

                                      -11-

<PAGE>

Exhibit "E" attached to that certain Intellectual Property Security Agreement
dated May 14, 2002.

                                   EXHIBIT "E"

                                    LICENSES

Grantor has certain agreements which contain a license to use its trademarks,
service marks and logos. However, these licenses are granted in connection with
the resale or marketing of Grantor's products and Grantor does not generate any
revenue from the license itself.

                                      -12-