Nintendo video game consoles
Although the company had earlier released Color TV Game and Game & Watch, which were their first and second systems respectfully, they did not achieve worldwide success until the release of the Nintendo Entertainment System (NES) in 1983. The NES restarted the video game industry after the video game crash of 1983, and was an international success. In 1989, Nintendo released the Game Boy, which became the first handheld console to sell in large numbers. In the early 1990s, Nintendo's market lead began to decrease; although the 1990 Super Nintendo Entertainment System (SNES) was a strong seller, the Mega Drive/Genesis was a very strong contender. Nintendo and Sega would both lose a significant portion of the console market towards the end of the 1990s, as Sony Computer Entertainment's PlayStation became the most popular console, beating the Nintendo 64, though Nintendo managed to sell more than Sega Saturn.
1993 congressional hearings on video games
During this period, two key players were Nintendo and Sega. Nintendo had been instrumental in helping to recover the North American market after the crash with the introduction of the Nintendo Entertainment System; in 1990, with its release of the Super Nintendo Entertainment System (SNES), Nintendo sales accounted for 90% of the US market. However, to avoid repeating one of the issues that caused the crash, Nintendo took care to limit and review what third-party games could be made for its platforms to avoid a glut of poor games. Sega, which had already released its Mega Drive in Japan, found their sales to be lagging behind Nintendo. In a aggressive campaign aimed at the United States market, the Mega Drive was renamed the Sega Genesis, and heavily pushed the game "Sonic the Hedgehog", with its titular character aimed to become Sega's mascot and rival that of Nintendo's Mario. Sega was less selective about what titles it wanted for the platform, allowing many more third-party games onto the system to increase its library in contrast to Nintendo's. Further, Sega used marketing language purposely aimed at Nintendo, such as "Sega does what Nintendon't". By 1992, Sega had obtained 65% of the US gaming market, overtaking Nintendo's dominant position. Subsequently a strong rivalry between Nintendo and Sega was formed, referred as the "Console Wars", which continued through the next decade and into the fifth generation of consoles, after which Sega dropped out of the hardware market and became principally a game developer and publisher, and at times working collaborative with Nintendo.