Play Meter

Issue: 1985 March 01 - Vol 11 Num 4

Speed Zone
Letters to
the editor
• • •
We read about the Speed Zone
from Imperial Investment Co. in
your December issue of Play Meter.
Could you let us have the address of
Imperial Investment because we are
interested in their machine.
Robin Lim
Marketing Director
Unisource Pte Limited
Singapore
[Editor's Note: We have gotten
quite a few calls and letters for this
address. So, we will take this oppor-
tunity to print it.]
Imperial Investment
1974A Douglas Blvd.
Louisville, KY 40205
502/588-0010
Doom to bust not new
The two-part series "The Future
Behind Us" is a remarkable docu-
ment and stands as a monument co
Ralph Lally and Play Meter. Never
before in coin machine hisrory has a
decade been so dissected; the good,
the bad, the ups, the downs. Only a
publication that has the pulse of an
industry could do it. It's never been
done before.
Boom to bust is nothing new to
coin machines. There was booms in
1892, 1898, 1907, 1923, 1932, 1942-
1945, 1948, and the '50's. In each
case the driver was a new idea
followed by a rash of similar
machines. And, in each case, the
boom was followed by a bust led by
over optimism, over production,
and under interest on the part of the ·
players. The same situation has
proven tO be true once again, a fact
clearly revealed in "The Future
Behind Us."
But history tells us there is
another boom right around the
corner. If it has happened so often
before, it will happen again. All that
is needed is a new idea. Someone,
somewhere, has the seeds of the
next boom on paper or on a board. If
our industry can offer any thing co
make "The Future Before Us" a
pos1nve one, it is encouragement.
Richard M. Bueschel
Coin Machine Historian
Northbrook, Illinois
PLAY METER. Morch 1. 1985
Pay phones
I am writing to you about pay
phones. I need to know more about
this subject and I figured if anyone
knew, you would .
I am considering starting a route
but would like to know more con-
cerning stats, etc.
Jack Crittenden
Urbandale, Iowa
[Edit or's Note: Last issue we pub-
lished a complete rundown on all
the current private pay phones on
the market, as well as a state-by-
state status report. As for checking
out which telephones are best for
you, we recommend you visit Play
Meter's AOE '85, March 29-31.
There you'll have the first oppor-
tunity to see all the pay phones
exhibited together under the same
roof.]
Something on your mind you want
to vent? Got a gripe? Full of praise?
Have a question? If you have
comments on the coin operated
entertainment industry, write to Play
Meter. Our "Letters to the Editor"
co/1,mns are dedicated to you, the
operator/ reader.
All Letters must be signed; if
requested, only initials will be used or
the name withheld from print. Please
include return address. (Although, for
the sake of yot'r privacy, addresses will
not be printed.) All letters subject to
standard editing. Be concise.
NO
FRILLS
PRICES
We offer the Largest Selec-
tion of closeouts, used
games and conversion kits
at the Lowest Everyday
Prices.
10-Pin Deluxe (new) S1995
Centipede . . . . . . . . 395
Donkey Kong . . . . . 175
Front Line. ........ 495
Gologo. .......... 895
Kings of Steel . . . . . . 1695
Ms. Poe-Mon . . . . . . 59 5
Poe-Mon . . . . . . . . . . 295
Pole Position u/r . . . 1695
Pole Position II s/ d . 219 5
Punch Outll ....... 2295
Spy Hunter u/r ..... 2395
I
~j
CONVERSION KITS
Cloak & Dagger ... S 295
Crystal Castle ...... 495
Do Run Run ....... 395
Drokton . . . . . . . . . . 295
Driving Force . . . . . . . . Coll
Street Heat .......... Coll
Super Basketball ..... Coll
Ten Yard Fight 2P .. 495
Time Pilot '84 . . . . . 395
KIT DUO SPECIAL
Time Pilot '64 +Cloak & Dagger
ONLY $495
The Game
Exchange
(THE ORIGINAL)
1289 ALUM CREEK DRIVE to"' on1y ot!•col
COLUMBUS, OHIO 43209
1614) 258·2933
CALL TOLL FREE
IN OHIO
1-800-848-1514
OUTSIDE OHIO
1-800-848-0110
7
l
Namco buys controlling
interest in Atari
Steven Ross of Warner Commu-
nications and Masaya Nakamura
announced that they have signed a
definitive agreement under which
Namco has acquired the controlling
interest in Atari coin-op games
division.
The purchase came on the heels
of large losses for the fourth quarter
of 1984 reflecting big charges
associated with Atari and other
discontinued operations.
In the summer of 1984 Warner
sold the consumer division of Atari
to Jack Tramiel , founder and former
president of Commodore Interna-
tional , a major competitor of Atari .
Tramiel was not interested in
making the coin-op division a part
of the deal. Speculation spread
about Atari ' s future in the coin-op
amusement industry . Then at the
AMOA show in Chicago in October,
Atari introduced two promising
systems, Marble Madness and Paper
Boy, raising the optimism in Atari's
future .
Warner purchased Atari from
founder Nolan Bushnell in 1976 for
$28 million. At that time Atari was
reporting net profits of $3 .5 million.
Profits rose to $2 billion in 1982 then
sank to a little more than $1 billion in
1983 as the industry started a decline
that is still continuing.
Atari had moved to larger
facilities in Milpitas California but
was forced to return to Sunnyvale as
revenues plummented.
Atari had licensed games from
8
Namco in the past and employees of
Atari are confident that the associa-
tion will only help Atari. According
to Ross, "Namco is clearly the top
designer and producer of video
games in Japan, as well as a world
wide leader . I have known Mr.
Nakamura for many years and have
the highest regard for him and his
company . I am pleased about the
establishment of this venture and
look forward to worki ng with Mr.
Nakamura in the co ing years ."
Nakamura said, "We have had a
positive relationship with Atari for
many years and I lo k forward to
future successes in the coin-operated
video game business. "

Stern closes
Stern Electronics of Chicago
closed its offices on February 1. The
company , plagued by financial
problems, had filed for Chapter 11
of the Bankruptcy Codes in July of
1984, which calls for the company to
submit a reorganization plan to the
court while the court holds creditors
at bay.
However, Stern (and related
companies Universal Research
Laboratories and August Johnson
Company) sent its creditors notices
of Stern's intent to convert the
Debtor's Chapter 11 proceeding to a
preceeding pursuant to Chapter 7
which is liquidation of assets.
A trustee will be appointed by
the Bankruptcy court to liquidate
the company. The meeting was
scheduled to be held on March 8.
Stern Electronics was born when
Gary Stern and his father Sam Stern
bought Chicago Coin , an old
company in the industry started by
Sam Gensberg in th e 1930's. Stern
grew by acquiring Uni versal Research
Laboratories in late 1977 and
purchasing Seeburg i n 1980.
However, Stern ra into financial
difficulties in 1982 and got financial
aid from long time distributor Al
Simon . Though G ry Stern was
adamant against the coin-op amuse-
ment industry having any connection
with gambling, Stern started manu-
facturing gray area eq ipment in
1983. When lasers lo ked promising
to a sagging indust ·y Stern intro-
duced several laser games at the
1983 AMOA, none 0f w hich were
successful.
Stern sold Seeb rg to Ed Blan-
kenbeckler in the summer of 1984.
Stern joins severe-I major manu-
facturers in exiting the coin op
amusement indus ry i n recent
times, including Centu r i, Mylstar,
and Sega.

PLAY METE , March 1, 1985

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