The 7800 allows Atari to last.

Lets say in the history of 3rd generation of consoles that Atari stayed as a major player in the gaming business, allowing them to hold ground in the 4th(SNES Genesis) and 5th(N64 PS1) generations. How will this change gaming history, will sony(and later microsoft) be able to enter into the market with there systems with 3 major players at the start?
 
The key problem with Atari is that they lacked studios. It didn't matter when they were the only game in town, but going up against Nintendo without Mario, Zelda, and so forth doesn't work very well.

Sega learned their lesson with Sonic (and being nicer to third parties in the Genesis era), Sony learned their lesson with exclusives and giving third parties a great deal in the PSone and PStwo era, and Microsoft just used brute force.


Atari needs exclusive games or internal development studios to engage Nintendo/Sega/Sony on an equal footing.
 
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