> Except, the game designers were paid a flat salary, not royalties, unlike the rock stars in Warner’s stable. In late 1979, four defecting Atari designers and one music industry executive disrupted the video game console business model by aligning it with the recording industry’s: Hardware would be just hardware, and content would now be supplied by third-party content providers. Activision was formed, with a little business and legal help from the Sistine Chapel of Silicon Valley law firms, Wilson Sonsini Goodrich & Rosati.
I wasn't aware of that story, a lot of irony in there...
Atari tried to sue Activision out of existence, only to have the courts affirm Activision's right to make games for the 2600.
Prior to this, only OEMs made games for their consoles. That court case opened the floodgates for 3rd party game companies to exist. Arguably one of the most important lawsuits in the history of gaming.
I wasn't aware of that story, a lot of irony in there...