Vostu

Vostu was a social game developer that focused on the Brazilian and broader Latin American markets. Founded in May 2007 by Harvard students Daniel Kafie, Mario Schlosser, and Joshua Kushner, the company initially explored concepts for a Latin American-focused social network before pivoting to social gaming in 2009. This strategic shift proved successful, and Vostu became the largest social games developer in the region during the early 2010s.

The company's business model was freemium, where games were free to play, and revenue was generated from the sale of virtual goods and in-game items for users wanting to accelerate their progress. Vostu's games were primarily available on social networks popular in the region, such as Orkut and Facebook. Its portfolio included popular titles like "Mini Fazenda," "Café Mania," "MegaCity," and "GolMania," which attracted over 100 million registered users. The company also formed partnerships with major brands like Netflix, Walmart, and Hellmann's for in-game promotions.

Vostu secured significant funding from investors, including Intel Capital, Accel Partners, General Catalyst, and Tiger Global Management, raising a total of $46.3 million over several rounds. At its peak, the company was valued at an estimated $300 million and was recognized by Forbes as one of the top 10 startups in Brazil in 2011. However, the company faced a significant challenge in 2011 when it was sued by Zynga for copyright infringement, with allegations of copying popular games like FarmVille and CityVille. The lawsuit was eventually settled, with Vostu agreeing to make a monetary payment and alter some of its games. Following the settlement, Vostu underwent restructuring, consolidating game development in its Buenos Aires office. By mid-2013, the company had laid off a significant portion of its staff, and founders Schlosser and Kafie had resigned from their positions. Vostu ceased operations in 2016.

Keywords: social gaming, mobile games, Latin America, Brazil, freemium, Orkut, Facebook games, Mini Fazenda, Café Mania, MegaCity, virtual goods, online gaming, game developer, Daniel Kafie, Mario Schlosser, Joshua Kushner, deadpooled, Zynga lawsuit, Intel Capital, Accel Partners, General Catalyst