History of video games market in 1978 with the Odyssey, while toy company Mattel released the Intellivision in 1979, which featured graphics superior to any of its competitors. After both Atari and Fairchild made a strong showing in 1977, the market hit a difficult patch in 1978 when retailers resisted building inventory, believing that the newly emerging electronic handheld market would displace video games. Atari, for example, manufactured 800,000 systems, but proved unable to sell more than 500,000 to retail. This helped precipitate a crisis at the company that saw co-founder and chairman Nolan Bushnell and president Joe Keenan forced out by Atari's parent
Ted Dabney studied trade drafting, which led to him getting a job with the California Department of Transportation while still a teenager. He eventually got his high school diploma from San Mateo High School; Dabney credited a math teacher named Walker there that got him interested in the electronics and computing areas. He then had a summer position with a local surveyor company, but when the work dried up by the winter, he was let go, and he enlisted in the United States Marine Corps. Within his three years of the Corps he took courses on electronics, giving him an interest in