newmodelarmy wrote:Great, great article. What the hell were these people thinking. Of course this is Sam Tramiel (spelled?), son to Jack Tramiel the CEO of Commodore.
Just using prior business experience to make decisions. Not wrong per se, but the market had changed too much.
Sometime after this Sam Tramiel would have a heart attack, and his dad would take over the company again.
Yes, Tramiel's spelled that way; it's Polish.
Jack Tramiel was actually able to make Atari profitable again in the mid-80's. He was not, however, able to re-establish Atari's retail presence; too many dealers remembered bad dealings with him from Commodore. To fix this Atari decided to buy The Federated Group, a struggling electronics chain, in 1987. That did not go well; Federated was in worse shape than they let on. Atari lost over $100 million on that deal, alienated their remaining dealers, and spent so much time trying to save/sell off Federated that they weren't able to keep up with other tech companies.