History of Nintendo
In 1972, the first commercially available video game console, the Magnavox Odyssey, had a light gun accessory, the Shooting Gallery. This was 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 industry
In 1971, the arcade game, "Computer Space was released." The following year, Atari, Inc. released the first commercially successful video game, "Pong", the original arcade version of which sold over 19,000 arcade cabinets. That same year saw the introduction of video games to the home market with the release of the early video game console, the Magnavox Odyssey. However, both the arcade and home markets would be dominated by "Pong" clones, which flooded the market and led to the video game crash of 1977. The crash eventually came to an end with the success of Taito's "Space Invaders", released in 1978, sparking a renaissance for the video game industry and paving the way for the golden age of video arcade games. The game's success inspired arcade machines to become prevalent in mainstream locations such as shopping malls, traditional storefronts, restaurants and convenience stores during the golden age. "Space Invaders" would go on to sell over 360,000 arcade cabinets worldwide, and by 1982, generate a revenue of $2 billion in quarters, equivalent to $4.6 billion in 2011.