Atari US files for bankruptcy to break from parent
NEW YORK (AP) - Video game maker Atari's United States (US) operations have filed for bankruptcy protection in an effort to separate from their French parent company, which is filing a similar motion separately in France.
In a statement, Atari says the move is necessary to secure investments it needs to grow in mobile and downloadable video games.
Atari, which turned 40 last year, was a videogame pioneer with games like Pong and Centipede, but has changed ownership several times amid financial problems.
Atari's US operations have shifted to focus on digital games and licensing, including developing mobile games, and they have become a growth engine for its owner. France's Infogrames Entertainment first took a stake in Atari in 2000. It acquired the remaining stake in 2008 and changed its name to Atari S A.