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I think we can only take the hard lessons that Atari taught us and move forward (btw, I believe they are a great company and earned their place in history). It is easy to reflect back using the information we have now and say it could have been preventable, but that is hindsight bias. They did not have the knowledge that we do today and even if they did, it might have been contradictory to the mindset of the industry back then the point where they could not change it (Atari could not go to third-parties and force to pump out quality software; and they could not pull a mid-1980s Nintendo policy prior to the crash because developers had belief that the industry was growing with the existing industry model and so they would have merely switched to another platform who would not restrict them). I believe that the crash had just as much to do with the rest of the members of the industry back then as it did with Atari.