30 July 2019
This was due to the lack of faith that Warner-Brothers had in ATARI due to the failure of their 5200 system that provoked Warner-Brothers to tap GCC to develop the Project 3800 into the 7800 system due to their proven track-record of developing arcade games for ATARI. The 7800 home console was targeted for a summer of 1984 release, however, 1983 was a critical year in the story of ATARI and the American home video game market as a whole. With the crash of the video game market. ATARI was struggling and it was sold to Jack Tramiel on July 2nd, 1984. Tramiel wanted ATARI to enter into the home computer market (that became the ST line of home computers) as well as remaining in the home video game console market for the immediate future. Interestingly enough, there could have been another path for ATARI. Nintendo approach ATARI to license their Famicom console as ATARI product and this would have reverse the course of world history if it had unfolded. That deal collapsed and the new ATARI under its new leadership which was attempting to get the 7800 project as well as the 2600JR onto store shelves in the mid-1980's to counter the NES and the SEGA Master System.