Video Summary

The Untold Origins of the Nintendo Entertainment System's U.S. Launch

44:54

TL;DW: In 1983, Nintendo Company Limited (NCL) negotiated with Atari to distribute its Famicom console globally, with Nintendo of America (NOA) brokering the deal. The agreement involved Nintendo manufacturing internals for Atari's proposed 3600 system and converting arcade games like Millipede, Galaga, Joust, and Stargate for it. However, the partnership collapsed, leading Atari to pursue the Atari 7800 instead, while Nintendo sold the converted games' rights for Japan's Famicom market. Surviving artifacts from this era, including unreleased prototypes, highlight the brief collaboration's legacy.

As the U.S. video game industry crashed in 1984, NOA pivoted to reimagining the Famicom for American audiences. Minoru Arakawa explored direct distribution, but retailers rejected it amid market saturation. NOA introduced Famicom-based arcade VS systems to test waters, while designers like Lance Barr redesigned the console as the Advanced Video System (AVS), emphasizing education and creativity with wireless components, keyboards, and modular add-ons inspired by Bang & Olufsen aesthetics. Focus groups showed mixed reception, praising innovation but wary of programming complexities.

At the 1985 Winter Consumer Electronics Show, NOA showcased the AVS as a 'new generation' entertainment system with arcade-quality games and editing tools, though prototypes were non-functional dummies. Retailer skepticism persisted due to the crash, prompting NOA to strip extraneous features, rebrand as the Nintendo Entertainment System, and launch a limited New York test market in late 1985, defying industry odds through persistence.

Key Takeaways: • Nintendo's 1983 Atari deal for Famicom distribution failed, resulting in sold game rights and preserved prototypes like unreleased Galaga. • U.S. video game crash in 1984 deterred retailers, leading NOA to redesign Famicom as AVS with wireless, modular components for education and creativity. • Lance Barr's AVS design drew from Bang & Olufsen, featuring coiled cords, stackable peripherals, and arcade-parity games via VS system. • 1985 CES demo wowed with graphics but used hidden Sharp Famicom prototypes; feedback mixed on creativity features. • NOA's tenacity overcame market resistance, culminating in NES's 1985 New York test launch that revived the industry.

— Summarized by Intellush - intellush.com