PS3 News: Atari's US Branch Files For Bankruptcy - PS3 News

Members Login: Register | Why sign up? | Forgot Password?

Atari's US Branch Files For Bankruptcy

Here's one that tugs at the heartstrings a little.

One of the pioneers of the industry has been struggling for a while and now, the US branch of Atari has filed for bankruptcy.

According to an LA Times report, the company that brought us trailblazing classics like Pong and Asteroids is floundering; its US arm has filed for Chapter 11 reorganization. Atari wants to break free from its French counterpart, Atari S.A., and "refocus the company to make digital and mobile titles." Atari's revenue dropped 34% in fiscal year 2012 and 43% in 2011; these days, the Atari logo (used with other products) makes up 17% of the company's overall revenue.

The other issue is that the US branch functions on "near total reliance" on London financial company BlueBay Asset Management, and that arrangement finished up on December 31. Hence, Atari doesn't have the requisite funds to release any of the games they currently have in the hopper. Well, all they're doing these days is trying to make little games for mobile devices (they teamed up with Zynga last year), so maybe it's just best to bow out gracefully.

It's kinda painful for veterans like me to see Atari relegated to such a low status. :( Hard to fathom, really.

Tags: atari, atari games, atari bankrupt, gaming industry

1/21/2013 10:45:01 AM Ben Dutka

Put this on your webpage or blog:
Email this to a friend
Follow PSX Extreme on Twitter

Share on Twitter Share on Facebook Share on Google Share on MySpace Share on Delicious Share on Digg Share on Google Buzz Share via E-Mail Share via Tumblr Share via Posterous

Comments (12 posts)

Hand_of_Sorrow
Monday, January 21, 2013 @ 12:30:01 PM
Reply

not only "one of the pioneers" but also, the last of the pioneers.

anyone remember, infogrames entertainment?
heres a little bit of history,

http://en.m.wikipedia.org/wiki/Infogrames_Entertainment,_SA

Agree with this comment 0 up, 0 down Disagree with this comment

Ben Dutka PSXE [Administrator]
Monday, January 21, 2013 @ 12:55:14 PM

Of course I remember Infogrames. :)

Agree with this comment 1 up, 0 down Disagree with this comment

WorldEndsWithMe
Monday, January 21, 2013 @ 1:22:54 PM

They were so prolific on Dreamcast, couldn't forget em.

Agree with this comment 0 up, 0 down Disagree with this comment

BikerSaint
Monday, January 21, 2013 @ 9:10:30 PM

Infogrames "IS" Atari SA.

But the other problem that Atari-US is having is that the Atari company is actually listed in the French financial stock markets, so it's almost nil for Atari-US to get any financial backing by going it on their own, unless they can break free of their parent Atari SA.

Last edited by BikerSaint on 1/21/2013 9:17:50 PM

Agree with this comment 0 up, 0 down Disagree with this comment

WorldEndsWithMe
Monday, January 21, 2013 @ 1:25:22 PM
Reply

Sad news but Atari has been disbanded, broken down and bankrupted so many times now and keeps coming back. I remember when it fell all the way down to becoming a hard drive manufacturer. Hopefully it will be back again if it can get some mobile hits.

Jaguar 4 life.

Agree with this comment 1 up, 0 down Disagree with this comment

LegendaryWolfeh
Monday, January 21, 2013 @ 2:31:44 PM
Reply

Quite disheartening. But I'm sure they'll get things together after possibly being purchased by whoever.

Agree with this comment 0 up, 0 down Disagree with this comment

erislocker
Monday, January 21, 2013 @ 3:54:53 PM
Reply

i remember fondly playing alone in the dark (1) on my PC back in the day. infogrames had a bunch of gems...
however, Atari is like the godfather of any video game anyway.
i remember as a kid playing pitfall and many others...
there should be a rule such as "too important to fail" for companies as such...

Agree with this comment 2 up, 0 down Disagree with this comment

WorldEndsWithMe
Monday, January 21, 2013 @ 4:03:59 PM

Pitfall, the original Uncharted.

Agree with this comment 2 up, 0 down Disagree with this comment

Knightzane
Monday, January 21, 2013 @ 4:50:07 PM
Reply

This explains why there wasn't been a Budokai Tenkaichi for this gen. Man, after the GBA legacy of goku 2 and buu's fury, it was the greatest DBZ game evar.

Agree with this comment 0 up, 0 down Disagree with this comment

Bonampak
Monday, January 21, 2013 @ 8:00:42 PM

By "this gen" I think you mean to say for the HD consoles, right?

Because Dragon Ball Z: Budokai Tenkaichi 2 and 3 did came out during this generation for the PS2/Wii. And they are regarded as some of the best DBZ games ever.

Agree with this comment 0 up, 0 down Disagree with this comment

___________
Monday, January 21, 2013 @ 9:01:00 PM
Reply

awwwwwwwwwww.
:(
so sad to see the father of console gaming dying!

Agree with this comment 1 up, 0 down Disagree with this comment

xnonsuchx
Tuesday, January 22, 2013 @ 5:45:48 AM
Reply

I considered Atari dead since 1996. It's just been a re-used name since...some good; some not-so-good.

Agree with this comment 0 up, 0 down Disagree with this comment

Leave a Comment

Please login or register to leave a comment.

Our Poll

Got the Wii U?
Yep, had mine since day one.
Yeah; I just recently picked it up.
No, but I might get one soon...
No, and I don't ever want one.

Previous Poll Results