The 3DO Company

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The 3DO Company
Former type Public
Industry Video games
Fate Bankruptcy
Founded 1991
Defunct May 2003
Headquarters Redwood City, California, U.S.
Key people Trip Hawkins, RJ Mical
Subsidiaries New World Computing

The 3DO Company (formerly THDO on the NASDAQ stock exchange), also known as 3DO (short for three-dimensional operating system), was a video game company. It was founded in 1991 under the name SMSG, Inc. (for San Mateo Software Group) by Electronic Arts founder Trip Hawkins in a partnership with seven companies, including LG, Matsushita (now Panasonic), AT&T Corporation, MCA, Time Warner and Electronic Arts. After 3DO's flagship video game console the 3DO Interactive Multiplayer failed in the marketplace, the company exited the hardware business and became a third-party video game developer. It went bankrupt in 2003 due to poor sales of its games. Its headquarters were in Redwood City, California in the San Francisco Bay Area.[1]

History[edit]

Console developer[edit]

Panasonic 3DO console

When the company was first founded, its original objective was to create a next-generation CD-based video game system called the 3DO Interactive Multiplayer, which would be manufactured by various partners and licensees; 3DO would collect a royalty on each console sold and on each game manufactured. For game publishers, 3DO's $3 royalty per sold game was very low compared to the royalties Nintendo and Sega collected from game sales on their consoles. The launch of the console in October 1993 was well-promoted, with a great deal of attention in the mass media as part of the "multimedia wave" in the computer world.

The 3DO console was initially priced at $699.[2] Poor console and game sales trumped the enticingly low royalty rate and proved a fatal flaw. In October 1995, The 3DO Company sold its next generation console, M2, to Matsushita, and changed its business to develop and publish games for other game consoles and PC.

Third-party developer[edit]

After abandoning the 3DO console, the company acquired Cyclone Studios, Archetype Interactive and New World Computing. The company's biggest hit was its series of Army Men games, featuring generic green plastic soldier toys. Its Might and Magic and especially Heroes of Might and Magic series from subsidiary New World Computing were perhaps the most popular among their games at the time of release. During the late 1990s, the company published one of the first 3D MMORPGs: Meridian 59, which survives to this day in the hands of some of the game's original developers.

With the exception of its well-received High Heat Baseball franchise and BattleTanx games, most of the company's games were critically panned.[citation needed] After struggling for several years, the company filed for Chapter 11 bankruptcy in May 2003.[3] Trip Hawkins' questionable policy of rushing games to the market in 6 months did not pay off. Employees were laid off without pay, and the company's game brands and other intellectual properties were sold to rivals like Microsoft, Namco, Crave and Ubisoft, and also to founder Trip Hawkins, who paid $405,000 for rights to some old brands and the company's "Internet patent portfolio". Hawkins went on to found Digital Chocolate, a mobile-based gaming company.

References[edit]

  1. ^ "Legal notices." 3DO Company. March 31, 2001. Retrieved on November 3, 2012. "The 3DO Company, 100 Cardinal Way, Redwood City, CA 94063."
  2. ^ Ramsay, M. (2012). Trip Hawkins. Gamers at Work: Stories Behind the Games People Play (pp. 1-15). New York: Apress.
  3. ^ Becker, David (May 29, 2003). "3DO files for bankruptcy". CNET. Retrieved 2011-12-22. 

External links[edit]