Atari Files for Bankruptcy

Video game pioneer Atari has filed for bankruptcy under Chapter 11 protection. Atari’s US division seeks to disband from its financially struggling French ownership group and continue its new direction of developing successful mobile games.

Atari’s actions came as a response to declining sales from its parent operators, which includes Paris-based Atari S.A. The ownership group’s Q2 and Q3 combined revenues had been reported as 11 million euro — approximately half the amount from the previous six months, according to the UK’s The Times.

Atari has endured significant internal & ownership changes since the mid-2000s. In 2008, a French publisher formerly known as Infogrames — the publishing team behind Civilization III, Unreal Tournament 2003, and Rollercoaster Tycoon — purchased Atari for 11 million dollars.

With independent funding, including Tenor Capital Management’s 5.25 million dollar contribution, Atari’s US branch plans to commit to mobile games. However, this would require them to sell their assets, including their brands and logo.

Atari has leveraged some of its assets to develop several mobile titles such as Centipede Origins, Asteroids Gunner, and PONG World. They’re currently working on a new version of Pong with mobile giant Zynga, whom they partnered with for last fall’s Super Bunny Breakout.

Atari & Zynga's Super Bunny Breakout.
Atari & Zynga’s Super Bunny Breakout.

As you probably know, Atari was the developer behind 1972’s Pong and dozens of other arcade-era classics such as Asteroids, Missile Command, and Centipede. The Silicon Valley-founded company went on to release the first home console, the Atari 2600, in 1977.

Within the last few years, Atari has stayed afloat by licensing some of its assets for merchandising; according to IGN, this has contributed to 17 percent of its revenue.

Share this article:

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on tumblr
Tumblr
Share on email
Email
Share on whatsapp
WhatsApp

Recent Posts

Kamikaze Lasspalnes in game screenshot PAX East

A Plane Dating Sim? Kamikaze Lassplanes @ PAX East 2024

When we say that Shidosha has an interesting taste in games, we are not exaggerating. Are you into bullet hell shooters? How about dating sims? Well if that piques your …

No Love Lost - person fighting an alien creature PAX East

A Colorful Competitive Extraction Shooter – No Love Lost @ PAX East 2024

No Love Lost is a new extraction shooter from Ratloop Games Canada. You are dropped onto an alien world and have to compete against not only the enemy team but …

Heartworm game art. A woman with short dark hair holding a camera PAX East

A PS1 Styled Masterpiece – Heartworm @ PAX East 2024

PAX continues to deliver new and unique gaming experiences. This year, one of our favorite games was Heartworm, a PS1 style horror game with Tank controls. Inspired by games like …

Warframe and Soulframe Live Devstream at PAX East Gaming News

Warframe and Soulframe Make an Apprearance at PAX East 2024

Digital Extremes held their most recent Devstream live during PAX East 2024, celebrating 11 years of Wareframe. One of the most exciting bits of news was the deeper look into …

Marvel 1943 cover art. Captaint America and Black Panther Gaming News

Get a Closer Look at the New Black Panther and Captain America Game | Marvel 1943

It’s been a while since we first got word that the great Amy Hennig was working on a new Black Panther and Captain America game. After creating something like Uncharted, …

Mad Catz Strike 11 Keyboard. A keyboard with red and black keys Hardware & Tech

Mad Catz S.T.R.I.K.E. 11 Mechanical Keyboard Impressions

I have been on the search for a decently priced wireless keyboard and there is no shortage these days. Our friends over at Mad Catz sent over their S.T.R.I.K.E. 11 …