Atari US files for Ch. 11 to separate from parent

[Omaha Steve]

Source: AP-Excite

NEW YORK (AP) - Video game maker Atari's U.S. operations have filed for Chapter 11 bankruptcy protection in an effort to separate from their French parent company, which is filing a similar motion separately in France.

In a statement, Atari says the move is necessary to secure investments it needs to grow in mobile and downloadable video games.

Atari's U.S. operations have shifted to focus on digital games and licensing, including developing mobile games, and have become a growth engine for its owner. France's Infogrames Entertainment first took a stake in Atari in 2000. It acquired the remaining stake in 2008 and changed its name to Atari S.A.

But the U.S. operations have been better performing than the rest of the company. In fiscal 2012 digital and licensing revenue both grew significantly and contributed 70 percent of revenue, while sales in bricks-and-mortar stores declined.

FULL story at link.



Read more: http://apnews.excite.com/article/20130121/DA3UQVM80.html

[Systematic Chaos]

1. Atari was teh shit in the 70s and 80s. It's sad how mismanaged they actually were.

The Atari 800XL computer remains my favorite old school gaming platform. Games are still being made for that computer, and even the 2600, by homebrew developers.

It saddens me what has happened to this company.

[Robb]

2. ...

[Lasher]

3. This is even better:

Google Pacman Game

[Xithras]

4. FWIW, this "Atari" isn't the same "Atari" we loved years ago.

The history of the Atari name is a twisted mess, but the original "Atari" ceased to exist in 1984. After their closure and bankruptcy, the name has been sold and re-sold many times as it has been applied to different products. Since 1984, anything with the Atari name hasn't really been "Atari", but has been produced by other manufacturers who have simply licensed the right to use the name.

The current "Atari" was originally founded in the early 90's as GT Interactive, which should be remembered by most old-school gamers as the publisher of the Doom and Quake games, along with iconic-but-stupid games like Deer Hunter and Duke Nukem. They were bought by Infogrames Interactive in the late 90's and were renamed Infogrames Inc. Infogrames Inc, in turn, obtained ownership rights to the Atari name and logo in the early 2000's and renamed itself yet again (partly because it was confusing having both the parent company and the subsidiary using the name Infogrames).

So, the company that exists now is NOT the venerable company that created the Atari 2600 and so many other wonderful memories for video game players and defined the 1980's. Instead, it's the venerable company that published Doom and so many of the iconic computer games that defined the 1990's.

As a fan of both companies, it's a sad thing to see them reduced to lawyer-fodder.