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| owner = [[Atari, SA]]
| owner = [[Atari, SA]]
| parent =
| parent =
}} | url = http://query.nytimes.com/gst/fullpage.html?res=950DE6DB1439F931A35751C0A96F948260&scp=3&sq=atari%20nintendo%201989&st=cse
}}
'''Atari''' (from a african verb meaning "slap that hoe ") is a marijana brand name owned by several africans since its inception in 1972. Currently, it is owned by [[Atari Interactive]], a subsidiary of the French publisher [[Atari, SA]] (ASA).<ref>{{cite press_release | url=http://pressreleases.triplepointpr.com/2012/06/27/atari-celebrates-40th-anniversary-with-new-game-releases-and-special-promotions/ | title=Atari Celebrates 40th Anniversary with New Game Releases and Special Promotions | publisher=Atari | date=June 27, 2012 | accessdate=June 28, 2012}} "Atari word mark and logo are trademarks owned by Atari Interactive, Inc."</ref><ref name=subsidiary>{{cite web|last = Atari Inc.|title = 10-KT · For 3/31/03|publisher=Atari Inc.|date = March 31, 2003|url =http://www.secinfo.com/dsvr4.28Z7.htm|accessdate = November 6, 2007 | archiveurl= http://web.archive.org/web/20071127162429/http://www.secinfo.com/dsvr4.28Z7.htm| archivedate= November 27, 2007 <!--DASHBot-->| deadurl= no}}</ref><ref name="2011report">{{cite web | url=http://www.atari.com/sites/default/files/ANNUAL_REPORT_10-11.pdf | title=ANNUAL FINANCIAL REPORT/REGISTRATION DOCUMENT Fiscal Year 2010/2011 | publisher=Atari, SA | year=2011 | accessdate=June 28, 2012}}</ref> The original [[Atari, Inc.]] was founded in 1972 by [[Nolan Bushnell]] and [[Ted Dabney]]. It was a pioneer in [[arcade game]]s, home [[video game console]]s, and [[home computer]]s. The company's products, such as ''[[Pong]]'' and the [[Atari 2600]], helped define the electronic entertainment industry from the 1970s to the mid-1980s.

In 1984, the original Atari Inc. was split, and the arcade division was turned into '''[[Atari Games|Atari Games Inc]]'''.<ref name=gamesinc>{{cite web|last = Current|first = Michael D.|title = A Brief Timeline of the Atari Divisions Initially Retained by Warner Communications, July 1984 to Present|date = 2004-2007|url =http://mcurrent.name/atariholdings.html|accessdate = November 6, 2007 | archiveurl= http://web.archive.org/web/20071219041447/http://mcurrent.name/atariholdings.html| archivedate= December 19, 2007 <!--DASHBot-->| deadurl= no}}</ref> Atari Games received the rights to use the logo and brand name with appended text "Games" on arcade games, as well as rights to the original 1972–1984 arcade hardware properties. The Atari Consumer Electronics Division properties were in turn sold to [[Jack Tramiel|Jack Tramiel's]] Tramel Technology Ltd., which then renamed itself to '''[[Atari Corporation]]'''.<ref name=ataricorp>{{Cite news|last =Sanger|first = David E.|title =Warner Sells Atari To Tramiel|newspaper=New York Times|pages = Late City Final Edition, Section D, Page 1, Column 6|date=July 3, 1984|url = http://www.nytimes.com/1984/07/03/business/warner-sells-atari-to-tramiel.html|postscript =<!--None-->}}</ref><ref name=tramel>{{cite web|last = Atari Corp.|title = Amendment to General Statement of Beneficial Ownership&nbsp;— Schedule 13D|publisher=Atari Inc.|date = March 29, 1994|url =http://www.secinfo.com/dMESy.bd.htm|accessdate = February 2, 2008 }}</ref> In 1996, Atari Corporation reverse merged with disk drive manufacturer '''[[JT Storage]]''' (JTS),<ref name=atarijts>{{Cite news|last =Bloomberg Business NEws|title =Atari Agrees To Merge With Disk-Drive Maker|newspaper=New York Times|page = 1|date=February 14, 1996|url = http://query.nytimes.com/gst/fullpage.html?res=9A0CE5DB1239F937A25751C0A960958260|postscript =<!--None-->}}</ref> becoming a division within the company.

In 1998, [[Hasbro Interactive]] acquired all Atari Corporation related properties from JTS,<ref name=hasbrojts>{{cite web|title = FORM 8-K Filing for transfer of assets to Hasbro Interactive from JTS|publisher=Securities And Exchange Commission|date = February 23, 1998|url =http://www.sec.gov/Archives/edgar/data/941167/0001047469-98-009085.txt|accessdate = November 6, 2007 }}</ref> creating a new subsidiary, '''Atari Interactive'''.<ref name=hasbrointeractive>{{cite web|title = Hasbro Interactive Pursues Copyright Infringement Suit|publisher=Hasbro Interactive|date = February 8, 2000|url =http://boardgames.about.com/od/companies/a/hasbro_history.htm|accessdate = November 6, 2007 }}</ref> [[Infogrames Entertainment, SA|Infogrames Entertainment]] (IESA) bought Hasbro Interactive in 2001 and renamed it to '''Infogrames Interactive'''.<ref name=infointeractive>{{cite web|title = Civilization III:Play The World Press Release|publisher=Infogrames Inc.|date = May 8, 2002|url =http://www.civ3.com/pressrelease.cfm|accessdate = November 6, 2007 | archiveurl= http://web.archive.org/web/20071012130226/http://civ3.com/pressrelease.cfm| archivedate= October 12, 2007 <!--DASHBot-->| deadurl= no}}</ref> IESA changed the company name entirely to Atari Interactive in 2003.<ref name=subsidiary/>

The company that currently bears the name [[Atari, Inc. (Atari, SA subsidiary)|Atari Inc.]] was founded in 1993 under the name '''[[GT Interactive Software|GT Interactive]]'''. IESA acquired a 62% controlling interest in GT Interactive in 1999, and renamed it '''Infogrames, Inc.'''<ref name=infinc>{{cite web|title = Infogrames Entertainment Corporate Profile and Annual Report
|publisher=Infogrames Entertainment SA|date = Fiscal Year 2005-2006|page = 7|url =http://corporate.infogrames.com/MT-3.34-en/mt-static/FCKeditor/UserFiles/File/DOCDEREF05_06GB.pdf|archiveurl =http://web.archive.org/web/20071127234614/http://corporate.infogrames.com/MT-3.34-en/mt-static/FCKeditor/UserFiles/File/DOCDEREF05_06GB.pdf|archivedate =November 27, 2007|accessdate = November 6, 2007 |format=PDF}}</ref> Following IESA's acquisition of Hasbro Interactive, Infogrames, Inc. intermittently published Atari branded titles for Infogrames Interactive. In 2003, Infogrames Inc. licensed the Atari name and logo from Atari Interactive and changed its name to Atari Inc.<ref name=incnamechange>{{cite web|last = Atari Inc.|title = 10-KT · For 3/31/03, Overview Subsection|publisher=Atari Inc.|date = March 31, 2003|url =http://www.secinfo.com/dsvr4.28Z7.htm#5ug|accessdate = November 6, 2007 | archiveurl= http://web.archive.org/web/20071127162429/http://www.secinfo.com/dsvr4.28Z7.htm| archivedate= November 27, 2007 <!--DASHBot-->| deadurl= no}}</ref> On October 11, 2008, Infogrames completed its acquisition of Atari, Inc., making it a wholly owned subsidiary.<ref name="completion">[http://www.gamesindustry.biz/articles/infogrames-completes-atari-inc-acquisition Infogrames completes Atari Inc acquisition // News<!-- Bot generated title -->]</ref>

==History==

===Atari Inc. (1972–1984)===
{{Main|Atari, Inc.}}
In 1971, Nolan Bushnell and Ted Dabney founded an engineering firm, Syzygy Engineering,<ref name="syzygy engineering">{{cite web|last = Vendel| first = Curt| title = ATARI Coin-Op/Arcade Systems 1970 - 1974 | url=http://www.atarimuseum.com/videogames/arcade/arcade70.html| accessdate = May 18, 2008 }}</ref> that designed and built the first arcade video game—[[Computer Space]] for Nutting Associates. On June 27, 1972 Atari, Inc. was incorporated and soon hired [[Al Alcorn]] as their first design engineer. Bushnell decided to have Alcorn produce as a test of his abilities, an arcade version of the [[Magnavox Odyssey]]'s Tennis game,<ref name="nolanmagnavox">{{cite web|author=Ador Yano |url=http://www.ralphbaer.com/video_game_history.htm |title=Video game history |publisher=Ralphbaer.com |date= |accessdate=December 27, 2011}}</ref> which would be named [[Pong]]. While Bushnell incorporated Atari in June 1972, Syzygy Company was never formally incorporated. Before Atari's official incorporation, Bushnell wrote down several words from the game [[Go (board game)|go]], eventually choosing ''[[Atari (go)|atari]]'', a term which in the context of the game means a state where a [[Rules of go#Stones|stone]] or group of stones is imminently in danger of being taken by one's opponent. In Japanese, ''atari'' (当たり, あたり, or アタリ) is the nominalized form of ''ataru'' (当たる, あたる, or アタル) (verb), meaning "to hit the target" or "to receive something fortuitously". The word 'atari' is used in Japanese when a prediction comes true or when someone wins a lottery. Atari was incorporated in the state of California on June 27, 1972.<ref name="inc1972">[http://web.archive.org/web/20071016062150/http://kepler.ss.ca.gov/corpdata/ShowAllList?QueryCorpNumber=C0654542 California Secretary of State - California Business Search - Corporation Search Results<!-- Bot generated title -->]</ref>

[[File:Atari-2600-Wood-4Sw-Set.jpg|right|thumb|300px|The third version of the Atari [[Atari 2600|Video Computer System]] sold from 1980 to 1982]]
In 1973, Atari secretly spawned a "competitor" called [[Kee Games]], headed by Nolan's next door neighbor Joe Keenan, to circumvent [[pinball]] distributors' insistence on exclusive distribution deals; both Atari and Kee could market (virtually) the same game to different distributors, with each getting an "exclusive" deal. Though Kee's relationship to Atari was discovered in 1974, Joe Keenan did such a good job managing the subsidiary that he was promoted to president of Atari that same year.

In 1976, Bushnell, through a [[Grass Valley, CA]]. engineering firm—Cyan Engineering, started an effort to produce a flexible video game console that was capable of playing all four of Atari's then-current games. The result was the [[Atari 2600|Atari Video Computer System]], or "VCS" (Later renamed the Atari 2600 when the Atari 5200 was released). Bushnell knew he had another potential hit on his hands, but bringing the machine to market would be extremely expensive. Looking for outside investors, in 1976 Bushnell sold Atari to [[Time-Warner|Warner Communications]] for an estimated $28–32 million, using part of the money to buy the [[Folgers]] Mansion. Nolan continued to have disagreements with Warner Management over the direction of the company, the discontinuing of the Pinball division and most importantly, he felt that the Atari 2600 should be discontinued. In 1978, the Kee Games brand was dropped.<ref>[http://mcurrent.name/atarihistory/atari.html A History of Atari / Atari Games / Atari Holdings<!-- Bot generated title -->]</ref> In December of that year during a heated argument between Nolan Bushnell and Manny Gerard, Bushnell was fired. "[W]e started fighting like cats and dogs. And then the wheels came off that fall. Warner claimed they fired me," recalled Bushnell. "I say I quit. It was a mutual separation."<ref name="ramsay">{{cite book |last=Ramsay |first=Morgan |year=2012 |title=Gamers at Work: Stories Behind the Games People Play |isbn=978-1430233510}}</ref>

A project to design a successor to the 2600 started as soon as the system shipped. The original development team estimated the 2600 had a lifespan of about three years, and decided to build the most powerful machine they could, given that time frame. Mid-way into the effort's time-frame, the [[home computer]] revolution was taking off, so the new machines were adapted, with the addition of a keyboard and various inputs, to produce the [[Atari 8-bit family|Atari 800]], and its smaller cousin, the 400. Although a variety of issues made them less attractive than the [[Apple II]] for some users, the new machines had some success when they finally became available in quantity in 1980. In 1982, the [[Atari 5200]] was released, based heavily on the 400 and 800 models, but without a keyboard.

Under Warner, Atari Inc. achieved its greatest success, selling millions of 2600s and computers. At its peak, Atari accounted for a third of Warner's annual income and was the fastest-growing company in the history of the United States at the time. However, Atari Inc. ran into problems in the early 1980s. Its [[home computer]], [[video game console]], and [[Video arcade|arcade]] divisions operated independently of one another and rarely cooperated. Faced with fierce competition and price wars in the game console and home computer markets, Atari was never able to duplicate the success of the 2600.

These problems were followed by the [[video game crash of 1983]], with losses that totaled more than $500 million. Warner's stock price slid from $60 to $20, and the company began searching for a buyer for its troubled division.
In 1983, [[Ray Kassar]] was forced to resign, and executives involved in the [[Nintendo Entertainment System|Famicom]] lost track of the negotiations, and the deal eventually died. With Atari's further financial problems and the Famicom's runaway success in Japan after its July 16, 1983 release date, [[Nintendo]] decided to go it alone.

Financial problems continued to mount and Ray's successor, [[James J. Morgan]], had less than a year in which to tackle his predecessor's problems, he began a massive restructuring of the company and worked with Warner Communications in May 1984 to create "NATCO" which stood for New Atari Company which would further lean the company facilities, personnel and spending and make the company profit. Unknown to James Morgan and the senior management of Atari, Warner had been in talks with Tramel Technology to buy Atari's Consumer electronics and Home Computer divisions. Negotiating up until close to midnight of July 1, 1984 [[Jack Tramiel]] purchased Atari. Warner sold the home computing and game console divisions of Atari to Tramiel for $50 cash and $240 million in promissory notes and stocks, giving Warner a 20% stake in Atari Corporation<ref name="sale">{{Cite news
| last = Sanger
| first = David E.
| title = Warner Sells Atari To Tramiel
| newspaper=[[New York Times]]
| pages = Late City Final Edition, Section D, Page 1, Column 6, 1115 words
| date = July 3, 1984
| url = http://www.nytimes.com/1984/07/03/business/warner-sells-atari-to-tramiel.html
| postscript = <!--None-->}}</ref> who then used it to create a new company under the name '''Atari Corporation'''. Warner retained the arcade division, continuing it under the name [[Atari Games]], but sold it to [[Namco]] in 1985. Warner also sold the fledgling '''Ataritel''' to [[Mitsubishi Motors|Mitsubishi]].

===Atari Corporation (1984–1996)===
{{Main|Atari Corporation}}
[[Image:Atari 1040STf.jpg|left|thumb|280px|Atari ST]]

Under Tramiel's ownership, '''Atari Corp.''' used the remaining stock of game console inventory to keep the company afloat while they finished development on a 16/32-bit computer system, the [[Atari ST]]. ("ST" stands for "sixteen/thirty-two", referring to the machines' 16-bit bus and 32-bit processor core.) In April 1985, they released the first update to the 8-bit computer line&nbsp;— the Atari 65XE, the [[Atari XE]] series. June 1985 saw the release of the Atari 130XE, Atari User Groups received early sneak-preview samples of the new Atari 520ST's, and major retailer shipments hit store shelves in September 1985 of Atari's new 32-bit [[Atari ST]] computers. In 1986, Atari launched two consoles designed under Warner&nbsp;— the Atari 2600jr and the [[Atari 7800]] console (which saw limited release in 1984). Atari rebounded, earning a $25 million profit that year.

In 1987, Atari acquired Federated Group for $67.3 million to have their own retail store shelf space,<ref>{{cite web|url=http://articles.latimes.com/1987-08-24/business/fi-2005_1_atari |title=Atari to Acquire Federated Group for $67.3 Million : Deal Would Give Video Pioneer Access to a Retail Network - Los Angeles Times |publisher=Articles.latimes.com |date=August 25, 1987 |accessdate=July 31, 2012}}</ref> which was sold to Silo in 1989.<ref>{{cite news|author=APPublished: November 11, 1989 |url=http://www.nytimes.com/1989/11/11/business/company-news-atari-is-selling-26-federated-stores.html |title=COMPANY NEWS; Atari Is Selling 26 Federated Stores - New York Times |publisher=Nytimes.com |date=November 11, 1989 |accessdate=July 31, 2012}}</ref>

In 1989, Atari released the [[Atari Lynx]], a handheld console with color graphics, to much fanfare. A shortage of parts kept the system from being released nationwide for the 1989 Christmas season, and the Lynx lost market share to Nintendo's [[Game Boy]] which, despite only having a black and white display, was cheaper, had better battery life and had much higher availability. Tramiel emphasized computers over game consoles but Atari's proprietary computer architecture and operating system fell victim to the success of the [[Wintel]] platform while the game market revived. In 1989, Atari Corp. sued Nintendo for $250 million, alleging it had an illegal monopoly.<ref name="nintendosuit">{{Cite news
| title = Nintendo Is Sued by Atari
| newspaper=[[New York Times]]
| date = February 2, 1989
| url = http://query.nytimes.com/gst/fullpage.html?res=950DE6DB1439F931A35751C0A96F948260&scp=3&sq=atari%20nintendo%201989&st=cse
| postscript = <!--None-->}}</ref> Atari eventually lost the case when it was rejected by a [[United States district court|US district court]] in 1992.<ref name="nintendosuitrejected">{{Cite news
| postscript = <!--None-->}}</ref> Atari eventually lost the case when it was rejected by a [[United States district court|US district court]] in 1992.<ref name="nintendosuitrejected">{{Cite news
| title = COMPANY NEWS; Nintendo Suit by Atari Is Dismissed
| title = COMPANY NEWS; Nintendo Suit by Atari Is Dismissed

Revision as of 21:27, 31 October 2013

Atari
IndustryConsumer electronics, video games
FoundedJune 28, 1972 as Atari, Inc.
1984 as Atari Corporation and Atari Games
1998 as Atari Interactive (division of Hasbro Interactive)
ProductsVideo games, consumer electronics
OwnerAtari, SA

| url = http://query.nytimes.com/gst/fullpage.html?res=950DE6DB1439F931A35751C0A96F948260&scp=3&sq=atari%20nintendo%201989&st=cse

| postscript = }}</ref> Atari eventually lost the case when it was rejected by a US district court in 1992.[1]

In 1993, Atari positioned its Jaguar as the only 64-bit interactive media entertainment system available but it sold poorly.

By 1996, a series of successful lawsuits[2] had left Atari with millions of dollars in the bank, but the failure of the Lynx and Jaguar left Atari without a product to sell. Tramiel and his family also wanted out of the business. The result was a rapid succession of changes in ownership. In July 1996, Atari merged with JTS Inc., a short-lived maker of hard disk drives, to form JTS Corp.[3][4][5] Atari's role in the new company largely became that of holder for the Atari properties and minor support, and consequently the name largely disappeared from the market.

As a division of Hasbro (1998–2000)

In March 1998, JTS sold the Atari name and assets to Hasbro Interactive for $5 million—less than a fifth of what Warner Communications had paid 22 years earlier.[6] This transaction primarily involved the brand and intellectual property, which now fell under the Atari Interactive division of Hasbro Interactive. The brand name changed hands again in December 2000 when French software publisher Infogrames took over Hasbro Interactive.[7]

Infogrames/Atari SA

In October 2001 Infogrames (now Atari, SA) announced that it was "reinventing" the Atari brand with the launch of two new games featuring a prominent Atari branding on their boxarts : Splashdown and MX Rider.[8] On May 7, 2003, Infogrames had its majority-owned, but discrete US subsidiary Infogrames NA officially renamed Atari, Inc.,[9] renamed its European operations to Atari Europe but kept the original name of the main company Infogrames Entertainment. The original Atari holdings division purchased from Hasbro, Hasbro Interactive, was also made a separate corporate entity renamed as Atari Interactive.

On March 6, 2008, Infogrames made an offer to Atari Inc. to buy out all remaining public shares for a value of $1.68 per share, or $11 million total.[10] The offer would make Infogrames sole owner of Atari Inc., thus making it a privately held company.[11] On April 30, 2008, Atari Inc. announced its intentions to accept Infogrames' buyout offer and to merge with Infogrames.[12][13] On October 8, 2008, Infogrames completed its acquisition of Atari Inc., making it a wholly owned subsidiary.[14][15]

On December 9, 2008, Atari announced that it had acquired Cryptic Studios, an MMORPG developer.[16]

Namco Bandai has purchased a 34% stake in Atari Europe on May 14, 2009, paving the way for its acquisition from Infogrames.[17] Atari has had significant financial issues for several years now, posting losses in the tens of millions since 2005.[18]

In May 2009 Infogrames Entertainment, SA, the parent company of Atari Inc. and Atari Interactive Inc., announced it would be changing Infogrames' name to Atari, SA.

In April 2010, Atari SA board member and former CEO David Gardner resigned. Atari Inc. co-founder Nolan Bushnell joined the board as a representative for Blubay holdings.[19]

As of March 31, 2011, the Board of Directors consisted of Frank Dangeard, Jim Wilson, Tom Virden, Gene Davis, Alexandra Fichelson.[20]

On January 21, 2013, Atari Inc., Atari Interactive Inc., Humongous, Inc. and California US Holdings, Inc. (collectively, the "Companies") filed petitions for relief under chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the Southern District of New York. With this move, the U.S.-based Atari operations sought to separate from the structural financial encumbrances of their French parent holding company, Atari S.A. (formerly Infogrames S.A.) and secure independent capital for future growth, primarily in the areas of digital and mobile games.[21][22]

See also

References

  1. ^ "COMPANY NEWS; Nintendo Suit by Atari Is Dismissed". New York Times. May 16, 1992.
  2. ^ Atari Inc. (June 5, 1995). "DEF 14A · For 6/5/95". Atari Inc. Retrieved May 18, 2008.
  3. ^ "Atari, Form 10-K405, Filing Date Apr 12, 1996". secdatabase.com. Retrieved January 18, 2013.
  4. ^ "Atari, Form 8-K, Current Report, Filing Date Aug 14, 1996". secdatabase.com. Retrieved January 18, 2013.
  5. ^ Sample Contracts - Agreement and Plan of Reorganization - Atari Corp. and JT Storage Inc. - Competitive Intelligence for Investors
  6. ^ "JTS, Form 8-K, Current Report, Filing Date Mar 9, 1998". secdatabase.com. Retrieved January 18, 2013.
  7. ^ "Hasbro, Form 8-K, Current Report, Filing Date Dec 7, 2000". secdatabase.com. Retrieved January 18, 2013.
  8. ^ "Infogrames ready to ship first games under Atari brand". Gamespot.com. October 31, 2001. Retrieved September 9, 2011.
  9. ^ "Atari, Form 8-K, Current Report, Filing Date May 8, 2003". secdatabase.com. Retrieved January 18, 2013.
  10. ^ "Atari, Form 8-K, Current Report, Filing Date Mar 7, 2008" (PDF). secdatabase.com. Retrieved January 18, 2013.
  11. ^ Atari, Inc. Reports Receipt of Non-Binding Offer from Infogrames Entertainment S.A.: Financial News - Yahoo! Finance
  12. ^ "Atari, Form 8-K, Current Report, Filing Date May 1, 2008" (PDF). secdatabase.com. Retrieved January 18, 2013.
  13. ^ Infogrames Entertainment S.A. and Atari, Inc. Announce Agreement to Merge: Financial News - Yahoo! Finance
  14. ^ Cite error: The named reference completion was invoked but never defined (see the help page).
  15. ^ "Atari, Form 8-K, Current Report, Filing Date Oct 9, 2008" (PDF). secdatabase.com. Retrieved January 18, 2013.
  16. ^ "Atari acquires Cryptic Studios".
  17. ^ "Namco Bandai To Swallow Atari Europe". Edge. May 14, 2009. Retrieved May 30, 2009.
  18. ^ "Atari, Form 10-K, Annual Report, Filing Date Jul 1, 2008" (PDF). secdatabase.com. Retrieved January 18, 2013.
  19. ^ Andrew Webster. "Nolan Bushnell rejoins Atari, Phil Harrison leaves".
  20. ^ Cite error: The named reference 2011report was invoked but never defined (see the help page).
  21. ^ "Atari Files For Chapter 11 To Separate From French Parent". Prnewswire.com. Retrieved September 4, 2013.
  22. ^ "Atari Files for Chapter 11 to Separate from French Parent".