Atari has filed for bankruptcy in US

We have some sad news to bring you now, as it looks like famed game maker Atari is filing for bankruptcy. Unlike companies such as HMV and Blockbuster which appear to be going out of business completely, it has been reported that Atari US is actually filing for bankruptcy in a bid to break free of Atari SA, which used to be known as Infogrames – a move which they hope will enable them to become a separate entity and private company.

The legendary brand who brought us the likes of Pong and Asteroids is looking to continue operating without Atari SA attached, but will need to generate around $5.25 million first in order to achieve their targets.

The main reason for the bankruptcy 11 filing, is thought to be the ongoing debts that French parent Atari SA, have built up. If successful in their plan, the US arm of Atari are hoping that they’ll be able to develop games for digital and mobile platforms in the future.

There are already a ‘few offers on the tableaccording to The Verge, but given the status that Atari has in the industry as one of the remaining retro companies left in the business, we have a feeling that it will be a happy ending for Atari as nobody wants to see them go out of business due to debts that other subsidiaries may have incurred.

An additional report over at The LA Times reveals that neither Atari SA or Infogrames have been profitable for over 10 years, which gives you an idea why Atari US may be looking to go solo. Head to the sources above for the full story, but hopefully there will be a positive ending out of it unlike what we have seen with HMV and Blockbuster recently.

What are your memories of Atari in the gaming industry? Do you think sticking to mobile and digital based games will be a good move for the future?

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Written by Alan Ng

Alan has been working for Product-Reviews since 2009 and became the Editor-in-chief in 2014. He has a passion for technology, the latest mobile phones and gadgets, and the gaming industry. Alan is a graduate of Canterbury Christ Church University and completed a B.A in Commercial Music in 2008. While expressing a keen interest in all areas that PR cover, you'll usually find Alan in the gaming section, where he'll be keeping enthusiasts up to date on all the latest news and reviews for consoles and PC.

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