First generation of video game consoles
This was also the first involvement of Nintendo in video games. According to Martin Picard in the "International Journal of Computer Game Research": "in 1971, Nintendo had -- even before the marketing of the first home console in the United States -- an alliance with the American pioneer Magnavox to develop and produce optoelectronic guns for the Odyssey (released in 1972), since it was similar to what Nintendo was able to offer in the Japanese toy market in 1970s".
Video game console
In 1983, Nintendo released the Family Computer (or Famicom) in Japan. The Famicom supported high-resolution sprites, larger color palettes, and tiled backgrounds. This allowed Famicom games to be longer and have more detailed graphics. Nintendo began attempts to bring their Famicom to the U.S. after the video game market had crashed. In the U.S., video games were seen as a fad that had already passed. To distinguish its product from older game consoles, Nintendo released their Famicom as the Nintendo Entertainment System (NES) which used a front-loading cartridge port similar to a VCR, included a plastic "robot" (R.O.B.), and was initially advertised as a toy. The NES was the highest selling console in the history of North America and revitalized the video game market. Mario of Super Mario Bros. became a global icon starting with his NES games. Nintendo took a somewhat unusual stance with third-party developers for its console. Nintendo contractually restricted third-party developers to three NES titles per year and forbade them from developing for other video game consoles. The practice ensured Nintendo's market dominance and prevented the flood of trash titles that had helped kill the Atari, but was ruled illegal late in the console's lifecycle.