Amid rumors that Tramiel was negotiating to buy Atari, Amiga Corp. entered discussions with Commodore. This led to Commodore wanting to purchase Amiga Corporation outright, which Commodore believed would cancel any outstanding contracts, including Atari's.
Rumors about Tramiel's potential purchase of Atari triggered a chain reaction: Amiga Corporation initiated talks with Commodore, leading Commodore to pursue a full acquisition of Amiga Corporation. This move was intended to nullify any existing agreements, including the one with Atari.