Atari, Inc. he was being put to the side by Bushnell; Bushnell had left him out of several high-level meetings, assigned him to overseeing the manufacturing process but not the design work, and Dabney discovered Bushnell had patented his video circuit concept without him as an inventor. In March 1973, Dabney formally left Atari, selling his portion of the company for . While Dabney would continue to work for Bushnell on other ventures, including Bushnell's Pizza Time Theater, the predecessor to Chuck E. Cheese's, he had a falling out with Bushnell and ultimately left the video game industry. Dabney's contributions towards Atari's
Ted Dabney their military products section. This work led to him becoming involved in early video imagery products within Ampex, including vidicon systems. By around 1969 Ampex had also hired Nolan Bushnell, who worked alongside Dabney and where they became friends. Bushnell, prior to joining Ampex, had come up with the idea of making a carnival-like pizza place with animatronics and games, and discussed this idea with Dabney. After seeing a computer system at the Stanford Artificial Intelligence Laboratory, the two came up with the concept of using a smaller computer or video systems, adding coin slots, and allowing people to pay