Space Race (video game)
Development of "Space Race" began soon after the founding of Atari in Summer 1972 under the name "Asteroid". Co-founders Nolan Bushnell and Ted Dabney had the initial idea for the game while developing the 1971 "Computer Space", the first arcade video game, but felt the more complicated "Computer Space" was a better first game. After leaving Nutting Associates and founding Atari in May 1972, Bushnell spent a few days designing "Asteroid", but soon had to drop the project to focus on running the company. After the release of "Pong", Atari's first game, development resumed on the title in Spring 1973. Dabney has claimed credit for the game's final design, though "Pong" designer Allan Alcorn has stated that he and Bushnell may have been involved as well. "Asteroid", codenamed VP-2, was designed to be a racing game that would be simple to create to fulfill an earlier contract with Bally Midway; Atari had initially offered "Pong" during its development to fulfill the contract, but had been rejected. The company was also interested in producing a very different game from their previous success, as they felt that innovative design was what would separate them from their competitors, which they saw as flooding the market with "Pong" clones rather than making new video games.
History of video games
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 "Pong". Available in limited quantities in late 1972, "Pong" began reaching the market in quantity in March 1973, after which it ignited a new craze for ball-and-paddle video games in the coin-operated amusement industry. The success of "Pong" did not result in the displacement of traditional arcade amusements like pinball, but did lay the foundation for a successful video arcade game industry. Roughly 70,000 video games, mostly ball-and-paddle variants, were sold in 1973 by a combination of recent startups like Atari, Ramtek, and Allied Leisure and established Chicago firms like Williams, Chicago Coin, and the Midway subsidiary of Bally Manufacturing.