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June 2, 1988


By CBR Staff Writer

Atari Corp has now given details of its agreement with video games pioneer Nolan Bushnell (CI No 937) and it turns out that it has contracted his Sunnyvale, California-based Axlon Inc to develop an unspecified number of new video games for the Atari 2600 and 7800 games players. The home video games business has gone from bust back to boom in the US and Atari says it sold about $200m of games players last year, double that of the previous year, and it looks for the business to double again this year. Nintendo of Japan has 70% of the $1,000m US market with its Famicon, and Atari wants some new exclusive games to redress the balance. It estimates there are 26m 2600s in the US, half of them lying dusty in cupboards.

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