1961: Massachusetts Institute of Technology student Steve Russell creates Spacewar, considered the first interactive computer game. 1972: Magnavox sells the first home video game system, a TV console invented by Ralph Baer called Odyssey. 1972: Nolan Bushnell and Ted Dabney start Atari Inc. and hire Al Alcorn, who creates Pong, left. Their first arcade machine, set up in a bar in Sunnyvale, Calif., shuts down within days because its coin box is stuffed full of quarters. 1976: Bushnell sells Atari to Warner Communications Inc. for $28 million.
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