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Pets.com: The Rise and Fall of a Dot-com Era Icon In the late 1990s, the dot-com boom was in full swing, and investors were eager to get in on the latest internet startups. One such company that captured the attention of investors and pet lovers alike was Pets.com. Founded in 1998, the online pet supply retailer quickly became one of the most recognizable brands of the dot-com era, thanks in large part to its iconic sock puppet mascot. However, despite its initial success, Pets.com ultimately went belly-up in just a few short years, becoming a symbol of the excess and hype of the dot-com bubble. The Rise of Pets.com Pets.com was founded by Greg McLemore and Evans Wood in August 1998. The company's mission was to make it easier for pet owners to purchase pet supplies online, offering a wide range of products from food and toys to litter and grooming supplies. The company quickly gained attention and funding, raising $11.5 million in its first round of funding in November 1998. In February 1999, the company raised an additional $50 million in its second round of funding, led by Amazon.com. With its newfound funding, Pets.com launched an ambitious marketing campaign to build brand awareness and attract customers. The company's sock puppet mascot became a ubiquitous presence on television and in print ads, and even made an appearance in the Macy's Thanksgiving Day Parade. The company also sponsored high-profile events such as the Super Bowl and the Puppy Bowl, further boosting its visibility. Despite its high marketing costs, Pets.com was able to generate significant revenue in its early years. In 1999, the company reported revenue of $619,000, and by 2000, that figure had grown to $14.8 million. However, the company's expenses were also growing rapidly, with Pets.com burning through an estimated $147 million in just nine months in 2000. The ‘Fall’ Despite its initial success, Pets.com ultimately proved to be unsustainable. The company's high marketing and operational costs, combined with a lack of profitability, made it difficult for Pets.com to turn a profit. In addition, the company faced stiff competition from established brick-and-mortar pet supply retailers such as Petco and PetSmart, as well as from other online retailers such as Amazon.com. In November 2000, just two years after its founding, Pets.com announced that it was shutting down its operations and laying off its employees. The company's stock, which had once traded as high as $14 per share, was now worthless. In total, Pets.com had raised over $300 million in funding, but was unable to turn a profit before its demise. The company's high marketing and operational costs, combined with a lack of profitability, ultimately proved to be its downfall. In addition, the company's focus on growth at all costs, rather than on building a sustainable business model, contributed to its demise. While the dot-com boom created many successful companies, it also led to many high-profile failures such as Pets.com. Despite its failure, Pets.com remains a memorable part of the dot-com era, and its sock puppet mascot continues to be a beloved cultural icon. The company's legacy serves as a reminder of the importance of building a sustainable business model, managing expenses, and focusing on profitability, even in the face of market hype and speculation.