Atari just lately launched its half-year earnings report for the present monetary 12 months, and it did not appear to have a lot excellent news for the Atari VCS console. As picked up by Tom’s {Hardware}, the report pointed to a decline in Atari’s {hardware} gross sales, together with a reorganization of the {hardware} aspect of the enterprise that may contain suspending relationships with the VCS’ producer.
The report factors to a 92% lower in {hardware} income year-on-year, dropping from $2.44 million to solely $212,466. Atari factors to a decline in “cartridge exercise” to account for this drop, in addition to “underperformance by the VCS.” General, Atari reported a 27% lower in income from the identical interval final 12 months.
The report additionally mentions that Atari have been busy with a reorganization of its {hardware} enterprise for the primary half of the monetary 12 months. This contains “the suspension of direct {hardware} manufacturing relationships, notably on the subject of the Atari VCS.” Atari specified that it would not be giving up on the console, as a substitute choosing “a brand new business technique [that] has been applied as of the top of calendar 12 months 2022 and that may proceed in calendar 12 months 2023.”
In a press release despatched to Tom’s {Hardware}, Atari reaffirmed its dedication to the console, saying: “We suspended our relationship with the unique manufacturing associate of the Atari VCS, however we proceed to take care of stock and fulfill new orders.”
“Atari stays dedicated to the VCS platform,” the assertion continues. “We’ve been including extra help for sport builders and proceed so as to add new video games to the shop. {Hardware} is a vital a part of Atari’s legacy and can proceed to be part of our long-term technique.
“We’ve a number of {hardware} and software program tasks in growth, below licensed contracts, that may increase the VCS ecosystem and create further utility for customers.”
One in all Atari’s {hardware} tasks noticed three new Atari 2600 cartridges launched earlier this 12 months, whereas its digital tasks have included Atari 50: The Anniversary Celebration, an anthology of video games, interviews, and memorabilia launched for the PlayStation, Change, Xbox, PC, and, in fact, the Atari VCS.
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