US-Based Atari Companies File for BankruptcyCategory: Gaming
Posted: January 21, 2013 12:10PM
In my basement is the first device I ever played a video game on; an Atari 800 Computer. I can still remember playing Frogger, Missile Command, Pitfall, Donkey Kong, and, of course, Asteroids with the black joystick and single red button. Now multiple Atari companies (Atari Inc., Atari Interactive Inc. Humungous Inc. and California US Holdings Inc.) are filing for Chapter 11 bankruptcy, as reported by Bloomberg.
The purpose of these bankruptcy filings is to enable the companies to separate from their French parent, Atari SA. Atari SA has not been profitable since 1999, even after selling assets and restructuring itself. The US companies hope that the separation will allow them to tap revenue sources previously unavailable to them.