A cosmopolitan trio initially comprising Brian Molko (b. 10 December 1972, Brussels, Belgium; vocals/guitar), Stefan Olsdal (b. 31 March 1974, Gothenburg, Sweden; bass) and Robert Schultzberg (b. Switzerland; drums). Molko, the son of an American banker father and Scottish born-again Christian mother, spent time in Belgium, Lebanon and Liberia before his parents settled in Luxembourg. The seeds of Placebo were sown when Molko met Olsdal at school in Luxembourg when both were eight years old. When they chanced upon each other again in 1994 at London's South Kensington tube station, they decided to mark the occasion of their reacquaintance by forming a band. Molko had spent the previous four years at drama college but now decided to pursue music full-time.
The duo's music slowly evolved from art-rock to an offbeat punk/new wave base, a transition that was aided considerably by the recruitment of drummer Schultzberg. He had formerly played in a Swedish-based band with Olsdal, and had come to London to study percussion. They made their debut at the end of 1995 with a single, "Bruise Pristine", for the independent record label Fierce Panda Records. The reaction this caused ensured a major label bidding war for their services. A second single, "Come Home", released on Deceptive Records in February 1996 followed, while the band considered their options.

They performed at David Bowie's 50th birthday party in 1997. Their self-titled debut album was well-received, but the band's profile was subsequently heightened by the success of the UK number 4 hit "Nancy Boy" and media interest in Molko's androgynous image.
English drummer Steve Hewitt (b. 22 March 1971, Manchester, England), who had played with the band at several early gigs, replaced Schultzberg before recording began on Placebo's second album. The anthemic "Pure Morning" (UK number 4) and "You Don't Care About Us' (UK number 5) introduced Without You I'm Nothing, on which Molko's songwriting achieved a more assured, reflective tone. The band members also made cameo appearances in Todd Haynes" glam rock tribute movie, Velvet Goldmine. The band continued their occasional partnership with Bowie in 1999, performing an exciting live version of T. Rex's "20th Century Boy" at February's BRIT Awards, and in the summer recording a new version of "Without You I'm Nothing".
The first sign of new Placebo material came in July 2000 with "Taste In Men". The single's tunelessness was indicative of the melodic paucity of the band's third album, Black Market Music. The follow-up Sleeping With Ghosts marked a return to form, with stand-out tracks including "Special Needs" and "The Bitter End".

The limited edition release of the album included an additional CD of intriguing cover versions, most notably Kate Bush's "Running Up That Hill (A Deal With God)", Big Star's "Holocaust" and the Pixies' "Where Is My Mind?".