Playground Networking, Now Online

These days, it's little brother who's watching.

Younger and younger children want their share of the social networking craze, but popular Web sites such as MySpace and Facebook are reserved for older crowds. So sites are now aiming at children 14 and under, with online worlds where their animated personas can play games, chat with others their age and even engage in adultlike activities such as e-commerce.

This week, Disney announced the acquisition of Club Penguin, a virtual world for children that's been around less than two years but has grown to 12 million registered users, largely without marketing. Disney executives said the deal, valued at as much as $700 million depending on the company's performance, won't result in changes to the Club Penguin site, which requires parental permission for membership and doesn't have advertising.

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