Atari 2600.

Atari cofounder Ted Dabney passes away

Ted Dabney, video game pioneer and cofounder of Atari, has passed away.

Dabney was one of the people who was there at the beginning of video games, which have now become a $137.9 billion business worldwide, according to market researcher Newzoo.

Marty Goldberg, administrator for the Atari Museum on Facebook, wrote, “At a loss. I just got word that my friend, one of the nicest, sweetest down to earth guys I knew, Atari cofounder Ted Dabney has passed from his cancer. Thought he still had a bit more time. You always wish someone like him did.”

Dabney was 81. He was kind of a forgotten father of video games, as his cofounder Nolan Bushnell became far more famous for the creation of Atari and the commercial video game business in the 1970s.

Ted Dabney was a cofounder of Atari.

He was born in San Francisco, California, in 1937 and studied electronics in the U.S. Marine Corps. He became an engineer and was hired at Hewlett-Packard. Dabney left to join Ampex in 1961, working on military products. At Ampex, he met Bushnell, and they left to start a company called Syzygy in 1971. Their first product was Computer Space, a space combat arcade machine based on Spacewar!.

The coin-operated machine sold more than 1,000 cabinets, and Bushnell and Dabney went on to incorporate Syzygy as Atari, which made history with the launch of Pong in 1972. Pong became a runaway hit and established Atari as a pioneering company in video games.

In a statement today, Bushnell said, “Ted was my partner, cofounder, fellow dreamer and friend. I’ll always cherish the time we spent together. RIP.”

Ted Dabney’s Syzygy badge.

Dabney went on to work with Bushnell on Pizza Time Theater (the predecessor of Chuck E. Cheese’s), Catalyst Technologies, Syzygy Game Company, and Teledyne. He eventually left the industry and managed a grocery store and then a deli.

Syzygy’s first year finances.

Dabney had been diagnosed with esophageal cancer in late 2017 and was given a few months to live. He opted not to seek medical treatment and passed away on May 26.

Curt Vendel, founder of the Atari Museum, wrote in an email that Dabney moved his daughter out of a bedroom and built the workshop where he designed the spot motion circuitry which would evolve into Computer Space.

Dean Takahashi

Dean Takahashi is editorial director for GamesBeat at VentureBeat. He has been a tech journalist since 1988, and he has covered games as a beat since 1996. He was lead writer for GamesBeat at VentureBeat from 2008 to April 2025. Prior to that, he wrote for the San Jose Mercury News, the Red Herring, the Wall Street Journal, the Los Angeles Times, and the Dallas Times-Herald. He is the author of two books, "Opening the Xbox" and "The Xbox 360 Uncloaked." He organizes the annual GamesBeat Next, GamesBeat Summit and GamesBeat Insider Series: Hollywood and Games conferences and is a frequent speaker at gaming and tech events. He lives in the San Francisco Bay Area.