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                                                                   Exhibit 10.11

July 30, 1999                               (INTERNET DIAMONDS, INC. LETTERHEAD)

Dear Darrell,

On behalf of Internet Diamonds, Inc. (the "Company"), I am extremely pleased to
offer you a position with the Company. The terms of your relationship with the
Company will be as indicated herein.

1.       Position. You will become the Company's Director of Technology.

2.       Salary. You will be paid a base salary of $9,583 per month, less
         payroll deductions and all required withholdings, which represents an
         annualized rate of $115,000. Your salary will be payable in accordance
         with the Company's standard payroll policies.

3.       Stock Options. We will recommend to the Board of Directors that you be
         granted an incentive stock option to purchase 160,000 shares of common
         stock of the Company. The exercise price will be the fair market value
         of the common stock as determined by the Board of Directors on the date
         of grant. One fourth (1/4) of the shares subject to such option will
         vest on the one-year anniversary of your hire date and one forty-eighth
         (1/48) of the shares subject to such option will vest each month
         thereafter as long as your employment continues with the Company. The
         Company's 1999 Equity Incentive Plan, the Grant Notice and the Stock
         Option Agreement shall govern the terms of this option grant in all
         respects.

4.       Benefits. You will be eligible to receive healthcare and dental
         benefits, life and disability insurance benefits effective on the first
         of the month following your date of employment.

5.       Standard Employee Agreement. Like all employees, you will be required
         to sign the Company's standard Employee Proprietary Information and
         Inventions Agreement relating to the protection of the Company's
         proprietary and confidential information and assignment of inventions.
         In addition, you will be required to abide by the company's strict
         policy that prohibits any new employee from using or bringing with him
         or her from any previous employer any confidential information, trade
         secrets, or proprietary materials or processes of such former employer.

6.       Federal Immigration Law. For purposes of federal immigration law, you
         will be required to provide to the Company documentary evidence of your
         identity and eligibility for employment in the United States. Such
         documentation must be provided to us within three (3) business days of
         your date of hire, or our employment relationship with you may be
         terminated. Documents that can satisfy these requirements are a United
         States passport or a valid driver's license and a social security card.

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7.       At-Will Employment. Your employment is at will, as defined under
         applicable law. This means you may voluntarily quit for any reason
         whatsoever simply by notifying the Company. Likewise, the Company may
         terminate your employment at any time and for any reason whatsoever
         with or without cause or advance notice. This at-will employment
         relationship cannot be changed except in a writing signed by a Company
         officer.

8.       Entire Agreement. This Agreement, together with your Employee
         Proprietary Information and Inventions Agreement, constitutes the
         entire agreement between the parties and supersedes all other
         agreements or understandings. This agreement may be amended only by
         written agreement signed by you and the Company.

9.       Start Date. As soon as possible.

Again, let me indicate how pleased we all are to extend this offer, and how much
we look forward to working together. Please indicate your acceptance by signing
and returning the enclosed copy of this letter. This offer is valid until July
30, 1999 and will terminate if not accepted by such date.

Very truly yours,

INTERNET DIAMONDS, INC.

        /s/ Mark Vadon
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The foregoing terms and conditions are hereby accepted:

Signed:           /s/ Darrell Cavens
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                     Darrell Cavens

Dated:        July 30, 1999
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