Atari US files for Chapter 11 bankruptcy

first_imgAtari is one of the best known names in the games industry, having a history that goes back over 40 years and includes the names Pong and Asteroids. However, there’s a chance it may soon disappear as late yesterday Atari U.S. filed for Chapter 11 bankruptcy. The good news is, bankruptcy is being used as a way of trying to save the company, or at least its US operations.In recent years Atari has been experiencing a tough time in relation to its finances. French parent company Atari S.A. (formerly Infogrames) has accrued a large amount of debt, where as Atari U.S. has been making progress and generating profit for the last couple of years. At the same time, it’s been very difficult attempting to raise capital because it’s a US company, but with French stock.Atari U.S. now wants to split from its parent company, find a buyer, and continue operating as a profitable independent entity. Bankruptcy could allow it to do just that, but everything depends on a buyer coming forward and purchasing the assets.If Atari U.S. is acquired, the company plans to remain focused on mobile and digital sales going forward. We will no doubt see a slew of new games released using the company’s most well known gaming franchises, and depending on how well executed they are, Atari could find favor with the millions of touchscreen gamers out there. If that also means we get more Atari Greatest Hits releases (read our review of Volume 1), I’ll be a happy gamer.More at the Los Angeles Timeslast_img read more