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The video game crash of 1983 (known in Japan as the Atari shock) [1] was a large-scale recession in the video game industry that occurred from 1983 to 1985 in the United States. The crash was attributed to several factors, including market saturation in the number of video game consoles and available games, many of which were of poor quality.
A major shakeout of the North American video game industry ("the crash of 1983") begins. By 1986, total video games sales will decrease from US$3.2 billion to US$0.1 billion. [43] December - Sente Technologies, a division of Pizza Time Theater, launches and demonstrates its first title Snake Pit.
Pac-Man (1980). The 1980s was the second decade in the industry's history.It was a decade of highs and lows for video games.The decade began amidst a boom in the arcade video game business with the golden age of arcade video games, the Atari 2600's dominance of the home console market during the second generation of video game consoles, and the rising influence of home computers.
1983 – The industry crashes in the United States, resulting in 20 years of Japanese domination. [ 8 ] [ 9 ] Nintendo release the Famicom , beginning the 8-bit era . [ 10 ]
Fighter Pilot (1983 video game) Fireball (video game) Firebirds (video game) Flappy; Flight Simulator II (Sublogic) Flip and Flop; Food Fight (video game) Forbidden Forest (video game) Fortress (1983 video game) Fraction Fever; Frankenstein's Monster (video game) Frantic Freddie; Frogrun! Frostbite (video game)
The third generation saw the release of many of the first console role-playing video games (RPGs). Editing and censorship of video games was often used in localizing Japanese games to North America. [26] It was during this time that many successful video game franchises began, which went onto to becoming mainstays of the video game industry.
Some media outlets compared the 2023-2024 layoffs to the video game crash of 1983, when the US video game market collapsed due to an oversaturation of poorly made, low-quality games, causing the video game industry to enter a recession for two years. This has sparked discussions about a potential "second video game crash."
The video game console industry nonetheless continued to thrive alongside home computers, due to the advantages of much lower prices, easier portability, circuitry specifically dedicated towards video games, the ability to be played on a television set (which PCs of the time could not do in most cases), and intensive first party software ...