Friday, April 11, 2014

The Great Game Crash of 1984

A report I made for school at one time:

The Great Game Crash of 1984

In the year of 1983 the video game industry suffered a huge loss in profits because of this many  companies went bankrupt. This historical event was called: The Great Game Crash of 1984. Even though the crash started in 1983, It wasn't recognized as a historical event until 1984.  It was considered  the end of the 2nd generation of home console gaming.
The gaming market  had dropped from 3.2 billion USD to only 100 million USD. A large cause of this "CRASH" was the consumers of the era, they had lost their confidence in the gaming industry. Many people of the era  owned  many poorly made games and didn't believe they would improve. Many homes already had video game consoles, so the consumer's basically became bored with what the industry had to offer. The Market was saturated (Over populated with poorly designed games) and most video game companies found it hard to stay in the game with their products. 

                Atari (The most popular  game company at the time) was going through difficulties with the market and within their own company.   Some of Atari's employees had split off and started their own companies(because they weren’t getting  credit for the games they helped make)  one named: Activision. Still active today, Activision has helped make many games.  Atari's company dissolved during the crash of 1984.  In  1985 Nintendo brought their Famicom game console to America.  They  had no idea of how to market this console from Japan to the American market since the Crash had not ended. Nintendo decided to try  and make it look less like a video game console and more like a toy. And so the NES (Nintendo Entertainment System) was created with Super Mario and other great games. Nintendo had taken the  market from 100 million to 5 billion USD.  By 1988 70% of the market was dominated by Nintendo. The NES console had sold over  30 million units in the USA by 1989.

              The Crash had left Sega battling for control with Nintendo for years and they eventually stopped making consoles.  They continued to make  games for many different consoles including Nintendo.  With many companies  out of the picture, and some just producing games, it wasn't until 2001 that  the XBox & Microsoft hit the market and became competitive once again.
In the Computer industry, The crash had caused the end of 8bit computer graphics and brought about 16 bit graphics with a jump in computer gaming from focusing on Arcade style games to Sims, RPG's and strategy games. This also brought about the ability to SAVE files and gameplay in computer/external memory.

Opinion:  Gaming wouldn't be the same today without Nintendo and a lot would be different in America. Nintendo refuses to put their products on Smartphone's and I- pads. I believe it’s a wise decision to stick to their  roots and not give in to the digital market.  

Game On Gamers! All for now, AR-Cade