History of video games industry. However, the system did directly influence the birth of a vibrant video arcade game industry after Ralph Baer's design ingenuity intersected Nolan Bushnell's entrepreneurial ambition. In 1972, Nolan Bushnell and Ted Dabney decided to strike out on their own and incorporated their preexisting partnership as Atari. After seeing a demonstration of the Magnavox Odyssey ahead of its release, Bushnell charged new hire Allan Alcorn to create a version of that system's table tennis game as a practice project to familiarize himself with video game design. Alcorn's version ended up being so fun that Atari decided to release it as
Computer Space Ted Dabney "Spacewar" at the Stanford laboratory, and the two agreed to work together to try and design a prototype of the game; Bushnell was more experienced with computers and digital engineering, while Dabney was more experienced with analog and hardware engineering, as he had been working on designing video processing and control circuits and power supplies. After agreeing on an initial idea, Bushnell and Dabney began trying to design a prototype based on a Data General Nova. Initially they were joined by Larry Bryan, a computer programmer who also worked at Ampex. Bushnell and Dabney put US$100 each into