The Video Game Crash of 1983

The Video Game Crash of 1983 was a market collapse caused by an oversaturated industry, most notably in North America, where a flood of poorly made and oversaturated game titles led to consumer distrust. The market became saturated with low-quality games, especially for the Atari 2600 console, resulting in declining sales and a loss of confidence among retailers and consumers. This downturn caused many companies to go out of business, and it marked a significant slowdown in the video game industry until the resurgence brought by the success of Nintendo and more refined consoles in the mid-1980s.