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

Final Checkpoint Podcast

Immortals Fenyx Rising First Impressions and New Consoles Are Sold Out Everywhere! | Final Checkpoint Podcast Ep. 65

This week Joel and Ben discuss the incredibly hard to find PlayStation 5 and Xbox Series X|S news, the continued talk of issues with the new consoles and if PS5 …

Gaming News

Godfall Review

Godfall is a game that brands itself as a looter slasher. First of it’s kind and incredibly beautiful. A game where loot and combat are the main draws and there’s …

Game Deals

This Is It! November 2020’s Games with Gold

This is a much needed holiday break, and I know we’re all ready for this year to be over. Luckily, we have so many games this month to keep us …

PlayStation Plus Game Deals

Last Chance for November 2020’s PlayStation Plus!

Since the launch of the PlayStation 5, I’m sure everyone has been preoccupied with their new next gen console and games. That’s if you were able to grab one this …

Gaming News

The Shadowlands are Finally Open

The Shawdowlands are open! New World of Warcraft expansion is finally here!

Final Checkpoint Podcast

Game Awards Noms & Capcom Forced to Show Their Hand | Final Checkpoint Podcast Ep. 64

This week Joel and Ben discuss some of the Game Award Nominations and if Game of the Year had any snubs. They also discuss the huge Capcom leak from a …