Atari 2600 set of games. Further, while they could continue to take games they had created for arcade machines to home consoles, this development step cost at least and time to complete, and once on the market, had only about a three-month shelf life before being outdated, making this a risky move. In 1974, Atari had acquired Cyan Engineering, an electronics company founded by Steve Mayer and Larry Emmons, both former colleagues of Bushnell and Dabney from Ampex, and started Atari's Grass Valley Think Tank, where they were involved with coming up with new ideas for arcade games. Based on Bushnell's concern
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