ShipStack Dossiers · Games

How video games
got built

The companies that built the video game industry, from day one: a year-by-year timeline, the founders’ story, lesser-known facts with links to primary sources. And parallels with what people are launching today.

20stories
1889–2021years
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Era 11972–198212 stories

Arcades, first consoles and mainframes

Video games leave the labs: the first home console, arcades, multiplayer games on university mainframes, the first third-party developers and home computers.

1972–1984sold to Tramiel · 1984

Atari

The company that invented mass-market video games as a business: the Pong arcade game of 1972 and the 2600 home console.

What Wikipedia does not have: The company's name is a term from the game of Go, not something invented from scratch.

gameshardwarefast-followercorporate-sale
1966–1975discontinued · 1975

Magnavox Odyssey

The world's first home video game console: an engineer at a military contractor came up with playing tennis on a television in 1966 and turned it into a product by 1972, but Magnavox sold it only through its own dealers, and…

What Wikipedia does not have: The patent application got ahead of the product by a year and a half.

gamespatentshardwarefirst-mover
1960–1989commercialization did not pay off: by 1984 Control Data…

PLATO

The University of Illinois teaching system, conceived in 1960 to fight functional illiteracy, which students quickly turned into the first mass platform for multiplayer games, chats, and forums.

What Wikipedia does not have: A language for lessons accidentally became a language for games.

gamesedtechonline-communityplatform-risk
1979–1991survived the bankruptcy of Mediagenic (Chapter 11, November 1991),…

Activision

Four programmers left Atari because they were given neither author credit nor royalties for their games, and in 1979 they founded the first third-party publisher in history to make games for someone else's console.

What Wikipedia does not have: The royalty proposal was drawn up by one person, Alan Miller, after he studied music industry contracts

gamesplatform-riskcreator-recognitionthird-party-developer
1979–1989sold to Activision for ~$7.5 million (June 13, 1986); the division…

Infocom

A company of ten MIT graduates and staff members that turned Zork, a text game from a mainframe, into a cult of the home computers of the early 1980s, then nearly drowned itself in developing Cornerstone, a business database, and…

What Wikipedia does not have: The technology that saved the games' portability sank Cornerstone.

gamestext-adventureparserbusiness-pivot
1979–1999acquired by CUC International for $1.06 billion (deal closed…

Sierra On-Line

A two-person family company that invented graphic adventure games at a kitchen table in 1979, grew into the publisher of King's Quest, made to order for IBM, and was sold at its peak in 1996 to a corporation that collapsed two…

What Wikipedia does not have: The game was literally packed in Ziploc bags.

gamesfamily-businessplatform-dealacquisition
1954–1994bankruptcy (Chapter 11) on April 29, 1994; the assets were bought…

Commodore

The company that went from repairing typewriters to the best-selling home computer in history, the Commodore 64.

What Wikipedia does not have: The purchase of MOS Technology was a stock deal, not a $60 million cash purchase, as is often written.

hardwarevertical-integrationprice-wargames
1982–1994not acquired and not shut down: grew into one of the largest…

Electronic Arts

Trip Hawkins left Apple and in 1982 founded Electronic Arts to sell games the way music is sold, with the developer's name and photo on an LP-style cover.

What Wikipedia does not have: Among EA's first investors was Jerry Moss, co-owner of the music label A&M Records.

gamesplatform-negotiationcreator-recognitiondistribution
1982–1998merger-recapitalization with Spectrum HoloByte (1993,…

MicroProse

The company that invented the flight simulator as a genre and turned the name of its game designer Sid Meier into a commercial brand: Pirates!, Railroad Tycoon, Civilization.

What Wikipedia does not have: Stealey never flew the F-15.

gamesfounder-brandarcade-diversification
1980–1986the computer line and the Sinclair brand were sold to Amstrad for…

Sinclair Research

The British company of Clive Sinclair that in 1980–82 drove down the price of the home computer three times in a row (ZX80, ZX81, ZX Spectrum) and in doing so created a whole generation of teenage programmers, the \"bedroom…

What Wikipedia does not have: Manic Miner, the best-known game for the ZX Spectrum, was not written on a Spectrum.

hardwarelow-costbedroom-codersunlicensed-clones
1983–2004acquired by Electronic Arts for $35 million in stock (September 1992);…

Origin Systems

The studio that the Garriott family founded in 1983 around the game designer Richard \"Lord British\" Garriott.

What Wikipedia does not have: Origin spent some years as a New Hampshire studio.

gamessolo-founder-brandacquired
1985–1999sold to Yovelle Renaissance Corp. (January 1996), then IDT…

GEnie

In 1985 a General Electric subsidiary decided to earn extra money on mainframes that sat idle in the evenings, following the example of CompuServe but aiming to undercut its price and beat it on games.

What Wikipedia does not have: Air Warrior beat Ultima Online by ten years, and it grew not out of GEnie but out of a student project on a different mainframe.

online-servicedial-upidle-capacityhourly-billing

Era 21983–19904 stories

After the crash: new consoles and home computers

The 1983 crash, the return of trust through quality control, the console war, pay-by-the-hour online games, Tetris and the fight for its rights, shareware.

1983–2001closed in 2001 (exact date [unverified]: February 22 or March 31),…

Bullet-Proof Software

A tiny Japanese studio run by one Dutchman that in 1989 beat the Maxwell media empire and a London middleman in the race for the rights to Tetris, and won not with money but with a personal friendship with the game's author and a…

What Wikipedia does not have: The formal co-owner of 50% of the company never once showed up at the office.

gameslicensingrights-dealsolo-founder
1889–1990alive, a public company (Tokyo Stock Exchange), the largest…

Nintendo

A Japanese playing-card company founded in 1889 that, after a hundred years of diversification, failures, and chance discoveries, became a video game platform: after the US market crash of 1983 Nintendo restored the industry's…

What Wikipedia does not have: The name "Ultra Hand" was Yamauchi's own idea

platformquality-controllicensingconsoles
1940–1996alive, a Japanese public company (after the merger with Sammy in…

Sega

An American business placing coin-operated machines on military bases in Japan that by 1965 had become the Japanese arcade giant Sega Enterprises; in the console war of the late 1980s it attacked Nintendo with direct advertising…

What Wikipedia does not have: Sega's success was almost entirely American, not Japanese.

consoleschallenger-marketingbundlingregional-conflict
1984–1996since 1996, The Tetris Company (a partnership of Pajitnov,…

Tetris

Elorg

The game was invented in 1984 by a Soviet programmer in his spare time on a text terminal with no graphics.

What Wikipedia does not have: Tetris was created not for sale but as a test of a decommissioned machine's power.

s2-gamesip-rightslicensingussr

Era 31991–19964 stories

PC, shareware and strategy games

The industry moves to the PC: Doom's free first episode, mods and engine licensing, real-time strategy and the Westwood vs Blizzard rivalry.

1985–2003acquired by Electronic Arts for $122.5 million (September 1998);…

Westwood Studios

A Las Vegas studio whose games Dune II (1992) and Command & Conquer (1995) set the formula for real-time strategy, though the genre's name and the brand were later taken over by Blizzard.

What Wikipedia does not have: The term "real-time strategy" was coined for marketing, not for accuracy.

game-studiortspublisher-acquisition
1987–2021renamed 3D Realms (1996); after litigation with Take-Two, the…

Apogee Software

A company from a bedroom in Texas that in 1987 came up with the idea of giving away the first third of a game for free and charging for the rest by mail, and on that simple trick built a publisher that in 1990 funded Commander…

What Wikipedia does not have: Miller's first attempt to make money from games under the Apogee name failed.

gamingsharewarepublishingsolo-founder-turned-publisher
1991–1998alive as of 2026, the largest studio within Activision Blizzard;…

Blizzard Entertainment

Three UCLA graduates opened a studio porting other people's games in 1991, and three years later accidentally created Warcraft, and with it the real-time strategy genre that made them industry leaders.

What Wikipedia does not have: Warcraft almost came out as a licensed Warhammer game rather than as a fantasy franchise of its own.

game-studiortspublisher-acquisitionfree-online-service
1991–2009bought by ZeniMax Media (announced 2009-06-24; per Carmack's…

id Software

A four-person company that was making first-person 3D shooters two years before Doom, took the genre to a mass audience with Doom, and taught players that a game could be given away free, the sequel sold by mail order, and the…

What Wikipedia does not have: Doom was not id's first attempt at a 3D shooter but its third.

gamessharewaremoddingengine-licensing

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