Market Failure
The Emerson version of the console was essentially considered dead on arrival in the USA. The system came out at nearly the same time as the Atari 5200 and the ColecoVision were released. In addition, Atari's use of exclusive rights to many games made it virtually impossible for Emerson to get popular games to the console.
Emerson actually created many popular arcade titles including Pac-Man, Galaxian and Defender for the Arcadia and had them manufactured. However, Atari started to sue its competitor companies for releasing games to which it had exclusive-rights agreements and Emerson was left with thousands of manufactured games that could no longer be sold.
Read more about this topic: Arcadia 2001
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