Arguably the single most important console in video game history, Nintendo Entertainment System (hereafter referred to as the NES), along with SUPER MARIO BROTHERS, singlehandedly resurrected the video game industry after the historic crash of 1983-1984. Rather than reviewing the system itself, which has been done many times, I think many people may find the history how of this revolutionary console came to the videogame industry's rescue very interesting; I know I do. I draw much of this information from various websites, one very good one in particular; unfortunately, I can't really plug them due to Amazon's policies. Email me if you want the websites.
By 1983, the gaming industry, in existence for a mere twelve years, had risen to an astonishing 3.2 billion dollar industry. Atari spearheaded the industry, which introduced its first console in 1977 (Atari Video Computer System), and since had grown to hold two thirds of the entire market. However, in 1984 all this would end with a thunderous crash. This concise overview will show you the history of the home consol crash and how the NES came to the rescue.
In 1976, Warner Communications bought Atari for $28 million from the company's founder, Nolan Bushnell. Over the next two years, Atari, suffering major production problems and Bushnell's bizarre management, lost Warner millions. Bushnell and Warner's CEO fought, and in 1978 Bushnell was forced to leave. Warner totally revamped the working style, and in 1979-1980, produced twelve new titles. However, Atari was still dragging down Warner's stock. Struggling to gain the market share, Atari made the smartest move they possible could have; in 1980, they began licensing arcade games, the first being SPACE INVADERS. Over the next two years, Atari overtook the market, bringing in over half of Warner's overall profits.
However, very significant problems would totally destroy the infant industry. In 1981, Atari released PAC MAN on the VCS, and, because it was such a huge arcade hit, quickly became a bestseller. Unfortunately, the quality was very low. This was a major blow to the company's image, with fans and critics alike extremely disappointed.
Another major stumble was one of video games' most infamous games, ET. Warner bought the rights from Spielberg for twenty one million dollars. Atari, expecting the game to be as big a hit as the movie, which was the highest grossing film at that point, purportedly made more ET cartridges than there were consoles themselves. ET proved to be a huge flop, nearly breaking Atari.
By 1983, Atari was in serious trouble. Suing Activision (which was disgruntled Atari employees who broke off and formed their own company) and Imagic, the two leading third party developers, Atari tried to gain control over its software catalogue. Atari lost the suits. Third party developers began popping up overnight, and the industry becomes saturated with very low-quality products. (One of the most controversial is CUSTER'S REVENGE by Mystique, where the goal is to rape a Native American woman while avoiding being shot by arrows.) The third-party developers went bankrupt; these cartridges were heavily discounted, and the major companies couldn't compete. Another factor is the home computer market, that was just starting to come alive in 1984. With an increasing amount of computer games and low prices, people started buying these over the consoles.
All these factors lead to the crash of 1984. In 1983 alone, Atari lost $356 million. Warner sold Atari to Jack Tramiel, former head of Commodore. The video game industry died, with no major American corporation coming anywhere near it. Enter Nintendo.
A little history here will be highly illuminating as well. What many people don't realise is Nintendo is a very old company, founded in 1889 (yes, you read that right) as a playing card company. It became Japan's largest playing card company, and was very successful. In the 1960s, they moved away from the cards and got into the game and toy markets. (A very interesting sidenote: during that same decade, Nintendo's president opened up a `special hotel' rented `by the hour.' Supposedly, the married president was one of the hotel's top customers). In the 1970s and early 1980s, the company scored significant points with big arcade hits and the Game and Watch product line. In 1983, Nintendo released the Famicom (Family Computer). It was a massive hit in Japan. In 1983, Nintendo went to Atari because they wanted to release the Famicon to the American market. Do to complications I won't go into, the deal fail through. In 1984 they were looking to broaden their market share.
1985, Nintendo announced the release of the Nintendo Entertainment System. They release SUPER MARIO BROTHERS in Japan, scoring a huge hit. In 1986, the NES comes full throttle into the American market, quickly becoming the biggest selling console ever, largely because of that title. The NES owes much of its success to SUPER MARIO BROTHERS. Coming prepacked with the console, there are an estimated 40 million copies of SMB in existence, making it the highest selling video game ever.
Unparalleled, SMB blew open the doors to the videogaming world. With rich palettes of colour, eight four level worlds, spot-on play control, and expert level design, SMB was a much longer game than most of Atari's products and was a game unlike any other at that time. SMB also had the benefit of being very simple to grasp; run, jump, and fire. It was also the first side-sroller as we know it, though Atari's PITFALL set up the concept. Also, it's one of the best. Without SMB, NES wouldn't have been nearly as big a hit in the beginning.
In the end, Nintendo came at the industry's key moment. With a powerful new console (for that time) and a very well-designed game, Nintendo resurrected video gaming. With its phenomenal success of the NES and SMB, the video game industry once again took off, becoming one of the world's most significant economical contributors.
And we very largely have the NES to thank for it.
