For: Neopets, Inc.

Neopets (originally NeoPets) is a virtual pet website launched by Adam Powell and Donna Williams on 15 November 1999. Six months after the web site was launched, Adam Powell and Donna Williams successfully sold a majority share to a consortium of investors led by Doug Dohring. On 20 June 2005, Viacom bought Neopets, Inc. for $160 million (USD).

Neopets is based around the virtual pets that inhabit the virtual world of Neopia. Visitors can create an account and take care of up to four virtual pets, buying them food, toys, clothes, and other accessories using a virtual currency called Neopoints. Neopoints can be earned through playing games, investing in the stock market, trading, winning contests and making your own shop. Users can explore the world of Neopia with their Neopets and interact with each other through the NeoBoards, NeoMail, and guilds.

Neopets also operates a pay-to-play version known as Neopets Premium, which offers additional features and benefits for a monthly fee of $7.99 (USD).

History

Neopets was conceived by Adam Powell while studying at the University of Nottingham in 1997. Powell left and started UK-based advertising company Shout! Advertising in 1997, which grew to be the third largest click-through program on the Internet by 1999. He also co-founded Netmagic, an online banner advertising design and sales firm and Powlex Ltd., a web site design firm. Donna Williams was a marketing manager for Shout! Advertising from September 1997 to July 1999 responsible for internet advertising, sales and services, graphic and web design. He and Williams started creating the site in September 1999 and launched it two months later on 15 November 1999. Powell was responsible for the programming and database, and Williams the web design and art.

The site grew by word of mouth and by Christmas, they received 600,000 page views daily and sought investment to cover the high cost of running the site. The same month, Doug Dohring was introduced to the creators of the site and, along with other investors, bought a majority share in January of the following year. Neopets, Inc. was created in February 2000 and began business in April. The website made profit from the first paying customers for an advertising method trademarked as "immersive advertising]]", touted as "an evolutionary step forward in the traditional marketing practice of [[product placement" in television and film.

Media conglomerate Viacom bought Neopets, Inc. on 20 June, 2005 for $160 million and planned to focus more on banner ads instead of immersive advertising. On the first day of the 2006 FIFA World Cup, the Altador Cup started as an annual international online gaming event and had 10.4 million participants the first year. The entire Neopets site was revamped on 27 April, 2007, referred to as Neopets 2.0 in the Neopets FAQ. On 17 July 2007, the NC Mall was launched in a partnership with Korean gaming company Nexon Corporation. The next day, Viacom announced on their website that by the end of 2008, Neopets would be changing to NeoStudios, "which will focus on developing new virtual world gaming experiences online, while continuing to grow and evolve the existing ones."