Ted Dabney game. As "Pong" became successful, Dabney felt overshadowed by both Bushnell and Alcorn. He learned that Bushnell had patented his video circuit idea without including Dabney on the patent. Bushnell also had assigned Dabney a lower-level position in Atari and did not include him in high-level meetings. Around March 1973, Dabney left the company over this falling out, selling his portion of the company's ownership for . Dabney did continue to help Bushnell with starting his Pizza Time Theater (the predecessor of Chuck E. Cheese's) and Catalyst Technologies as an employee, being wary of Bushnell's previous treatment of him. Alongside
Ted Dabney about ten years before deciding to leave the industry. Dabney had married, and later divorced, Joan Wahrmund, with whom he had two daughters. He later married Carolyn Dabney. After leaving the computer industry, Dabney and Carolyn managed a grocery store and later a deli in Crescent Mills, California. Around 2006, they moved from California to a property he owned near Okanogan National Forest in Washington. The Dabneys later returned to California, taking up residence in Clearlake, a city north of San Francisco. Their house was completely destroyed in the Clayton Fire in August 2016. A GoFundMe account was set up