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
Nolan Bushnell restaurant executive and focused on Catalyst Technologies. Through 1981 and 1982, Bushnell concentrated on PTT subsidiaries Sente Technologies and Kadabrascope. Sente was a reentry into the coin-operated game business. Arcade cabinets would have a proprietary system and a cartridge slot developed by Data East Corporation, so operators could refresh their games without having to buy whole new cabinets. Kadabrascope was an early attempt at computer assisted animation. In 1983 as the restaurants started to lose money, Sente, though profitable, was sold to Bally for $3.9 million and Kadabrascope was sold to Lucas which became the beginnings of what became Pixar.