Activision

Activision, Inc. {{nasdaq|ATVI}} is a computer and video game publisher founded in 1979. Its first products were cartridges for the Atari 2600 video console system, and it is now one of the largest video game publishers in the world, second only to Electronic Arts.

History

Prior to the formation of Activision, video games were published exclusively by the makers of the systems the games were designed for. For example, Atari was the only publisher of games for the Atari 2600. This was particularly galling to the developers of the games, as they received no financial rewards for games that did well, and didn't even receive credit in the manuals. After watching a number of games turn into multi-million-dollar best sellers, a number of programmers decided they had enough and left.

Related Topics:
Video game - Atari - Atari 2600

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Activision was the first third-party game publisher for the 2600. The company was founded by former music industry executive Jim Levy and former Atari programmers David Crane, Larry Kaplan, Alan Miller and Bob Whitehead. Atari did not credit its programmers when it released software titles, which is commonly cited as a reason the developers left. Levy took the approach of promoting game creators along with the games themselves.

Related Topics:
Programmers - David Crane - Alan Miller

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The departure of the four programmers, whose titles made up more than half of Atari's cartridge sales at the time, caused legal action between the two companies which was not ultimately settled until 1982. As the market for game consoles started to decline, Activision branched out, producing game titles for home computers as well, and acquiring smaller publishers.

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In 1982, Activision released Pitfall!, which is considered by many to be the first platform game as well as the best selling title on the 2600. Although the team's technical prowess had already been proven, it was Pitfall! that turned them into a huge success. This not only resulted in a legion of clones, including stand-up arcade games, but can be said to have launched the entire platform genre which became a major part of video games through the 1980s.

Related Topics:
1982 - Pitfall! - Platform game - Arcade game - 1980s

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In 1985, Activision merged with struggling text adventure pioneer Infocom. Jim Levy was a big fan of Infocom's titles and wanted Infocom to remain solvent. However, about six months after the "InfoWedding", Bruce Davis took over as CEO of Activision. Davis was against the merger from the start and was heavy-handed in management of them. He also forced marketing changes on Infocom which caused sales of their games to plummet. Eventually, in 1989, after several years of losses, Activision closed down the Infocom studios in Cambridge, Massachusetts extending to only 11 of the 26 employees an offer to relocate to Activision's headquarters in Silicon Valley; five did.

Related Topics:
1985 - Text adventure - Infocom - Bruce Davis - Marketing - 1989 - Cambridge, Massachusetts - Silicon Valley

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Activision changed its name to Mediagenic in 1988. In 1992 Mediagenic filed for Chapter 11 bankruptcy protection. The first Activision was "dead".

Related Topics:
1988 - 1992 - Chapter 11 - Bankruptcy

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