Atari, one of the world’s first video pioneers, has filed for bankruptcy in the US and plans to sell off its logo and videogame titles.
In a statement, Atari confirmed it would “effectuate a sale of all, or substantially all, of (its) assets” including “one of the most widely recognised brand logos, which is familiar to 90% of Americans”.
“The Chapter 11 process constitutes the most strategic option for Atari’s US operations,” it added.
In recent years, the company has moved away from traditional retail sales to making mobile and digital versions of its classic games, and licensing its logo.
The 30-year-old firm is responsible for many classic gaming titles including Pong, Asteroids and Centipede.
However the Atari name is likely to live on, as the move is designed to sever ties with its troubled French parent company and secure independent funding to develop more games for digital and mobile platforms.
Atari SA, formerly Infogrames, is reported to have problems with its credit facility which is thought to be holding back the release of new games.
The parent company, which completed its takeover of Atari in 2008, has seen its share price drop by 50% over the past year.
The US Atari operation, which is thought to employ only about 40 people, is looking to get approval for $5.25m (£3.3m) of funding and to continue business during the bankruptcy.
Via: Sky News