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Exidy

Exidy, Incorporated was an American developer and manufacturer of arcade video games and electronic systems, founded on October 30, 1973, by Harold R. Kauffman and Samuel Hawes in Redwood City, California. The company produced over 40 arcade titles between 1975 and the early 2000s, achieving prominence with innovative games such as Star Fire (1979), a space shooter that introduced pseudo-3D graphics; Venture (1981), a top-down action game emphasizing precise controls and enemy AI; Mouse Trap (1981), featuring vector graphics and maze navigation; Crossbow (1983), a light gun shooter; and Chiller (1986), noted for its graphic dismemberment mechanics. Exidy's Death Race (1976), inspired by the film Death Race 2000, became infamous as the first video game to incite a national moral panic in the United States over depictions of violence, drawing media scrutiny from outlets like The New York Times and 60 Minutes while paradoxically boosting sales to over 900 units and elevating the company's profile. Beyond arcades, Exidy diversified into home computing with the Sorcerer microcomputer in 1978, a Z80-based system marketed for hobbyists and small businesses. The firm released its arcade game source code as freeware in 2007 after dissolving on October 8, 1999.

Founding and Early Development

Establishment and Initial Electro-Mechanical Games

Exidy, Inc. was established in 1973 by H. R. "Pete" Kauffman and Samuel Hawes in , with incorporation occurring on October 30 of that year. Kauffman, who had previously worked as an engineer at Corporation, drew inspiration from the commercial success of Atari's to pivot toward electronic entertainment, naming the company as a contraction of "Excellence in Dynamics." Hawes, a former engineer, served as vice president. Operations began in a modest 1,200-square-foot facility, focusing on coin-operated amusements amid the industry's shift from traditional mechanical setups to electronic innovations. Contrary to a strict electro-mechanical focus, Exidy's initial products emphasized discrete logic video games, utilizing black-and-white displays with simple overlays for visual enhancement. The company's debut title, Thumper Bumper (also referred to as or ), was a clone released in late 1973 for limited distribution, featuring basic ball-and-paddle mechanics and color filters to simulate vibrancy on screens. This was followed by later that year, another rudimentary video offering with regional rollout. These early efforts, produced in small quantities, demonstrated Exidy's rapid adoption of video technology over relay-based electro-mechanical systems prevalent in prior eras. By 1974, Exidy achieved its first nationwide distribution with TV Pinball, marketed as an electronic pinball simulator but fundamentally an advanced ball-and-paddle video game incorporating chimes for audio feedback and a layout evoking mechanical playfields. Approximately 1,000 units were produced, signaling viable market entry despite competition from established Pong variants. While Exidy later diversified into electro-mechanical titles like Whirly Bucket and Tidal Wave—roll-up projection games akin to Skee-Ball—these postdated the foundational video prototypes and reflected experimentation rather than core initial strategy. This early video orientation, grounded in Kauffman's engineering background, enabled quick iteration but exposed the firm to the volatile demand for novelty in electronic amusements.

Transition to Video Arcade Games

Exidy initially produced both electromechanical and early video games, but a pivotal shift toward video arcade production occurred in 1975–1976. After developing the electromechanical driving game —a two-player competitive racer involving crashes on a figure-eight track—the company licensed it exclusively to Chicago Coin Machine Manufacturing Company, preventing Exidy from manufacturing their own units. This limitation prompted Exidy to adapt the game's core mechanics into a video format, leveraging discrete logic circuitry and to create , released in April 1976. In , players controlled a speeding aiming to strike and eliminate "gremlins" (depicted as simple stick figures that fell and emitted screams upon impact), marking an early experiment in interactive vehicular destruction within a video medium. The release of Death Race represented Exidy's strategic pivot to video arcades, as it bypassed electromechanical production constraints while capitalizing on the post-Pong demand for novel coin-op experiences. Engineered primarily by Howell Ivy, the game utilized custom hardware to simulate crashes and pedestrian-like targets, differing from Destruction Derby's physical car models and mechanical scoring. Although Exidy had ventured into video earlier with titles like TV Pinball (circa 1974), a paddle-based simulation featuring bumpers, pockets, and chime sounds via discrete logic, Death Race achieved broader commercial traction, with estimates of several thousand units produced. Death Race ignited the video game's first major public controversy, with outlets like decrying its "ghoulish" depiction of figures being run over—complete with visible graves and crosses—prompting debates on arcade violence that predated later panics over titles like . Despite backlash from groups such as the , the game's notoriety drove sales, positioning Exidy as a key player in the video arcade market and enabling investment in subsequent microprocessor-based titles. This transition aligned with industry trends, as video games offered greater flexibility in gameplay dynamics compared to electromechanical systems' reliance on physical components and fixed layouts.

Major Arcade Productions

Pioneering Titles and Death Race

Exidy's transition to video arcade games yielded several early titles that demonstrated innovative use of monochrome graphics and simple physics simulation. TV Pinball, released in 1974, was among the company's initial video efforts, simulating a table with basic paddle controls and ball trajectory mechanics on a display. This was followed by in 1975, a driving game where players rammed opponent vehicles to score points, establishing Exidy's focus on simulation. Death Race, released in April 1976, built directly on Destruction Derby's framework but substituted destructible ""—depicted as stick-figure humanoids—for opposing cars, tasking players with steering a speeding across a track to mow them down while avoiding oncoming traffic. The emitted screams upon impact, collapsed into crosses marking graves, and respawned, with points awarded per hit; the game's cabinet featured a , pedals, and a monochromatic screen emphasizing the chase dynamic. Originally developed under names like "," it drew partial inspiration from the 1975 film , which satirized pedestrian-killing races, though Exidy emphasized the targets as mythical rather than humans. The title ignited the first major public backlash against video game content, with an Associated Press article in September 1976 highlighting its apparent endorsement of vehicular homicide, prompting condemnation from outlets like the National Safety Council, which decried it as desensitizing players to real-world violence. Critics and politicians labeled it excessively violent, leading some arcade operators to remove machines amid parental complaints and media scrutiny, marking the inaugural instance of a moral panic over arcade games. Exidy defended the game by insisting the figures were non-human gremlins, not people, and reported that controversy boosted sales, with former employees noting production and revenue doubling or quadrupling post-exposure. Despite the uproar, Death Race's mechanics influenced subsequent driving and survival titles, underscoring Exidy's role in pushing interactive violence boundaries in early arcade design.

Space and Action Hits

Exidy's Star Fire, released in 1979, marked a significant advancement in space-themed arcade games, introducing cockpit-style seating and the first high-score table with player initials in a coin-operated video game. Players piloted a starship through vector-based 3D space battles against alien forces, emphasizing rapid-fire shooting and evasive maneuvers in a pseudo-3D environment inspired by science fiction films like Star Wars. The game's innovations contributed to its commercial viability, with rapid popularity uptake among operators due to its immersive presentation and replayability via escalating difficulty levels. Building on space themes, Exidy followed with action-oriented titles like Targ in 1980, a set in a futuristic "Crystal City" where players controlled ram-ships to destroy enemy forces while avoiding collisions. Featuring a compact 9x9 grid layout and convertible hardware allowing upgrades to its sequel Spectar via swaps, Targ emphasized strategic positioning and quick reflexes, achieving notable operator success as one of Exidy's stronger performers in the early arcade market. Its wide release and enduring collector interest reflect effective gameplay mechanics that differentiated it from contemporaneous shooters. In 1981, Exidy released Venture, an pioneering dungeon-crawling elements in arcades, where the character Winky navigated hazardous rooms to collect treasures while dodging or shooting enemies, including invincible "Hall Monsters." The title's multi-room levels and risk-reward treasure mechanics offered depth beyond simple shooting, fostering replay through mastery of enemy patterns and paths. Commercial performance was strong enough to fuel Exidy's expanded production slate in 1982, underscoring its appeal in diversifying action genres amid rising competition. These releases collectively demonstrated Exidy's capacity for iterative innovation in space simulation and action , sustaining relevance through the early .

Later Innovations and Licensed Games

In the early 1980s, Exidy developed innovative hardware solutions to address arcade operator challenges, including the Max-A-Flex system introduced in 1984. This modular cabinet utilized 600XL-based architecture with cartridge-swappable games, featuring a 19-inch color monitor, generic artwork, and a universal control layout with a single and . Priced at around $1,900, the initial units shipped with four titles—Boulder Dash (licensed from First Star Software), Astro Chase, Flip & Flop, and Bristles—while additional cartridges cost approximately $100, enabling cost-effective updates and extended machine viability amid rising development expenses. Exidy's later arcade titles also incorporated novel input and gameplay mechanics. (1983) pioneered a crossbow-shaped light gun controller for precise on-screen targeting, where players defended a caravan from mythical creatures across scrolling stages, with five conversion kits (e.g., Super Crossbow, War Cross) allowing thematic refreshes on the same hardware. Subsequent light gun games like (1984), a shoot-'em-up, and (1986), a horror-themed shooter, leveraged proprietary detection hardware for multi-player cabinet configurations, emphasizing gore and precision over traditional joysticks. Exidy produced several licensed arcade games in the late and early to capitalize on foreign designs. Bandido (January 1980) was a direct adaptation of 's Sheriff (1979), featuring a battling bandits in multi-directional on Exidy . Additional licenses included Crush Roller (1981), based on 's rolling boulder puzzle-shooter, and variants of 's Tube Chase (1980) such as Tunnel Hunt and Vertigo, which emphasized high-speed cylindrical navigation and vertigo-inducing visuals. These partnerships with Japanese firms like , , and provided Exidy access to tested mechanics during intensified global competition, though production volumes remained modest compared to originals.

Home Computing Division

Exidy Sorcerer Computer

The was an early introduced in 1978 by Exidy, Inc., a Sunnyvale, California-based manufacturer transitioning from games to home computing hardware. Designed to compete with contemporaries like the and , it emphasized expandability, a full-travel keyboard, and compatibility with emerging standards such as the operating system. Priced at $895 for the base model, the system targeted hobbyists and small businesses, offering a CPU clocked at 2.106 MHz, 8 KB of dynamic RAM (expandable to 32 KB via internal slots), and 4 KB of ROM for the built-in monitor program. Key features included a 512 x 240 monochrome capable of semigraphics modes for rudimentary visuals, a cassette interface for and loading at up to 300 baud, and an S-100 bus-compatible expansion port for peripherals like drives or additional memory. The featured 80 keys with separate numeric pad and keys, providing a typewriter-like input experience uncommon in budget systems of the era. Software support encompassed a in , allowing immediate programming upon power-on, alongside third-party applications for word processing, spreadsheets, and games ported from origins. compatibility enabled access to a growing library of , though the system's dynamic required specific refresh handling by the Z80 . Market reception in the United States was modest, with sales estimated at 5,000 to 15,000 units amid fierce competition from established entrants like Tandy and ; Exidy's limited domestic marketing contributed to underperformance. In contrast, European distribution through CompuData Systems drove stronger adoption, with estimates of 20,000 to 30,000 units sold, bolstered by localized promotions including a 1979 Dutch television series by the NOS broadcaster that featured in educational programming. sales also showed promise through aggressive local support, though overall ceased around as Exidy shifted focus amid financial pressures in the sector. Remaining U.S. inventory was later acquired by Computers, which rebranded and sold upgraded variants briefly.

Software and Expansions

The Exidy Sorcerer featured a built-in monitor program in ROM and supported Microsoft BASIC as its primary programming language, with programs typically loaded from audio cassette tapes or ROM PAC cartridges. Exidy's ROM PACs, introduced as an early form of plug-in program cartridges for home computers, provided instant access to software without loading delays; by around 1980, official offerings included the Standard BASIC Pac (DP 2002) for enhanced BASIC functionality, Development Pac (DP 2003) for programming tools, Word Processor Pac (DP 2004) for text processing, EPROM Pac (DP 2001) for user-programmable ROM, Games I Pac, Editor I Pac, and IOPac for input/output extensions. Cassette-based software from Exidy encompassed utilities like Dumb Terminal (DP 3002) for terminal emulation, Sorcery Cassette Programs (DP 3003) with assorted applications, and Micro Home (DP 7100) for household management tasks. Disk software became viable with compatible expansions, enabling operating system support and broader compatibility; Exidy's disk offerings included Micro Biz (DP 7000) for business applications, Exidy (DP 7240), conversion routines like Development Pac Disk Conversion (DP 7210) and ROM Pac Disk Conversion (DP 7270), as well as languages such as Extended Disk (DP 7310), (DP 7320), and (DP 7330). Third-party software expanded the library, particularly games like ' Adventure #1 and Asteroids by J.T. Staley, alongside productivity tools such as the Ezyfile Database System. While many titles appeared on Exidy's 1980 price lists, actual release volumes for business-oriented software remain uncertain, with hobbyist archives preserving more game and utility cassettes today. Hardware expansions enhanced the Sorcerer's capabilities beyond its base 8 KB and cassette , connecting via a rear expansion slot or . The S-100 Expansion Unit (DP 1004) supported up to six S-100 cards for additional memory, storage, or peripherals, facilitating operation and integration such as the Micropolis dual-disk controller. Memory upgrades included the 16K Memory Expansion Kit (DP 1001), while storage options featured the Subsystem (DP 6400) and add-ons (DP 6401) for quad-density drives. Output peripherals encompassed the 12-inch Video Display (DP 1005), Printer (DP 6110), and Wheel Printers (DP 6120, DP 6130), with combined units like Display/Disk (DP 3000) bundling monitor and drive functionality. These expansions positioned the Sorcerer as a versatile system for both hobbyists and small businesses, though adoption was limited by competition from more integrated contemporaries.

Technological and Business Innovations

Max-A-Flex System

The Max-A-Flex system, launched by Exidy in 1984, represented an innovative attempt to adapt 8-bit hardware for use, enabling operators to swap games via interchangeable cartridges in a single cabinet to minimize costs and downtime. Developed in collaboration with First Star Software, the platform utilized unmodified Atari cartridges, allowing title changes in approximately 10 minutes, and incorporated a timer board for metered play with adjustable durations set via switches and audible cues at 10 seconds remaining. At its core, the system was built around an 600XL motherboard paired with a converter board, featuring a primary M6502 CPU running at 1.78979 MHz, an auxiliary M68705 at 3.579545 MHz for input handling, and a chip at 1.78979 MHz for sound generation output to a . Video capabilities included a of 336 x 225 pixels at 59.92 Hz , supporting a 256-color palette suitable for the era's home computing standards but less optimized for arcade demands. The dedicated upright housed a 19-inch color , generic and side art for broad compatibility, a single with one fire button, and dedicated Start, Select, and Option buttons; players could continue sessions with additional coins or reset upon losing all lives. Priced at $1,900 per unit—including the , , and an initial set of four game cartridges—the system targeted cost-conscious operators seeking flexibility amid rising custom expenses. Only four titles were produced exclusively for Max-A-Flex: Astro Chase, Boulder Dash, Bristles, and Flip & Flop, all licensed from First Star Software and released in 1984, reflecting ports of 8-bit computer games rather than purpose-built experiences. These games emphasized puzzle, action, and exploration elements more aligned with home play than the rapid, skill-based quarters of traditional arcades, limiting appeal. Production was limited to fewer than 400 units, and the initiative ended prematurely when Exidy failed to fulfill licensing commitments to First Star, underscoring the challenges of repurposing consumer hardware for commercial coin-op viability. Despite its technical ingenuity, the system's dependence on slower-paced computer titles and lack of widespread software support contributed to commercial underperformance, marking it as a short-lived experiment in modular design.

Production Scale and Market Position

Exidy began as a small operation with approximately three employees in 1973, but expanded rapidly amid the arcade boom, reaching hundreds of staff by the late 1970s to support manufacturing and development. Early production was limited, with the company relying on a dozen or so workers multitasking across assembly and prototyping in makeshift facilities. By the height of its operations in the late 1970s, Exidy maintained in-house manufacturing capabilities in the San Francisco Bay Area, producing thousands of arcade cabinets per successful title; for instance, Death Race (1976) achieved peak output of 100 units daily, culminating in 13,000 to 20,000 total units shipped. This scale enabled diversification into electro-mechanical games, vector graphics via the 1980 acquisition of Vectorbeam (adding skilled engineers and production assets), and later conversion kits to extend hardware life. Revenue growth mirrored this expansion, rising from $250,000 in 1975 to $3 million in 1976, fueled by Death Race controversy boosting visibility and sales. The company peaked at $25 million in annual sales by 1980, reflecting strong demand for titles like Star Fire. Estimates from company leadership placed ongoing revenue at $10–15 million by 1983, though this trailed giants like . In market position, Exidy ranked third among U.S. arcade producers at its zenith, behind and /, leveraging hits and innovations like the Max-A-Flex system for cost-efficient multi-game cabinets. It pioneered widespread adoption of conversion kits as the second major firm after , capturing about 2% industry share in before slipping to 1% in amid saturation and competition from imports. By the mid-1980s, focus shifted to niche and light-gun games, but Exidy's scale could not sustain against console dominance, leading to video game division wind-down by .

Controversies and Public Reception

Death Race Backlash and Defense

Upon its release in 1976, Exidy's —a driving game where players control a to strike down humanoid "" on screen, eliciting an electronic shriek and producing a tombstone for points—drew immediate for appearing to glorify vehicular against pedestrian-like figures. The controversy ignited with an wire story in mid-1976, which highlighted the game's mechanic of targeting stick-figure gremlins resembling humans, leading to widespread media coverage in hundreds of newspapers. The amplified the outcry in its Winter 1976-1977 Family Safety magazine, with executive vice president Gerald Driessen denouncing the game as "gross" and fostering a "war and killing" mentality amid annual U.S. pedestrian deaths exceeding 9,000. Critics like arcade operator David Row labeled it "sick, sick, sick" for its morbid focus on hitting figures that screamed upon impact, prompting some arcade owners to remove cabinets despite initial low sales of around 500 units. This backlash marked the first major over , influencing public discourse and establishing a template for future debates. Exidy defended Death Race by asserting that the gremlins were not intended to represent humans but rather monstrous entities, emphasizing the game's non-graphic nature with minimal sound effects like a "beep" or shriek, no blood, and abstract tombstones rather than realistic depictions. Company representative Phil Brooks described it as "harmless fun" akin to cartoon violence, crediting players' inherent human sensitivity for the restrained artistic choices and denying any intent to promote real-world harm. Marketing head Paul Jacobs reiterated this in a January 1977 NBC interview, framing the targets as fantasy creatures to underscore the game's escapist appeal over endorsement of violence. Exidy noted the title change from an initial "Pedestrian" concept to Death Race—inspired by the 1975 film of similar theme—to avoid direct human associations, though detractors pointed to humanoid shapes, screams, and Grim Reaper cabinet artwork as undermining these claims. Production ceased in 1977 after sales surged to 900–2,000 units and generated $2.5–3 million in revenue, which Exidy attributed to the publicity rather than moral endorsement, viewing the uproar as inadvertently beneficial for brand visibility.

Broader Industry Impact of Criticisms

The criticisms of Death Race, released by Exidy in 1976, marked the first moral panic in the United States over video game violence, drawing widespread media condemnation from outlets including The New York Times and 60 Minutes, as well as organizations like the National Safety Council, which labeled the game "sick, sick, sick." This backlash prompted some arcade operators to remove the game from locations amid public complaints, introducing early caution among venue owners regarding content that could attract parental or community protests. However, the controversy did not suppress industry growth; instead, it elevated video games' profile as a cultural medium subject to ethical scrutiny, foreshadowing recurring debates on interactive media's psychological effects without evidence of causal harm to players. Counterintuitively, the negative publicity generated free advertising that boosted 's commercial performance, transforming initial sluggish sales—estimated at around 200 units—into totals exceeding 900 domestically and up to 3,000 worldwide, including overseas printed circuit boards, far surpassing Exidy's original production plans. Exidy capitalized on this by issuing a , Super Death Chase, in 1977, demonstrating how could enhance brand visibility and distribution networks for arcade manufacturers during the industry's nascent phase. For the broader sector, the episode illustrated resilience against media-driven outrage, as arcade revenues continued rising through the late 1970s, with operators often retaining controversial titles due to proven player demand despite vocal opposition. Longitudinally, established a template for future industry moral panics, influencing coverage of subsequent titles like (1992) and series (starting 1997), where similar violence critiques recurred but similarly failed to demonstrably curb sales or innovation. It entrenched public associations between video games and desensitization risks in discourse, as echoed in 1982 statements by U.S. Surgeon General linking games to societal violence, though empirical studies have consistently refuted direct causal links. This pattern prompted no formal regulations in the 1970s but contributed to the industry's eventual self-regulatory measures, such as the formed in 1994, amid escalating scrutiny. Overall, the criticisms highlighted the arcade sector's vulnerability to perceptual biases in mainstream reporting, yet affirmed its capacity to thrive on notoriety, shaping a precedent where controversy often amplified rather than diminished market penetration.

Decline and Legacy

Financial Challenges and Closure

Exidy encountered significant financial strain from its diversification into the home computing market with the , launched in 1978, which faced intense competition from established systems like the , , and , leading to underestimated development and marketing costs that eroded profitability. The venture's losses compounded broader operational pressures, as the company's core division struggled amid the video game industry crash of 1983–1984, characterized by market saturation, reduced consumer spending, and widespread operator bankruptcies. By mid-1985, these factors culminated in acute liquidity issues, exacerbated by a failed tied to Exidy's Sunnyvale factory lease, where the property owner blocked the deal. On July 17, 1985, Exidy filed for Chapter 11 protection to reorganize amid mounting debts from prior expansions and the industry's downturn. Under new leadership from former executive Gene Lipkin as president, the company emerged from in late summer 1987 after shifting production to redemption and skill-based games, such as and Hot Shot in 1989, while relocating facilities to Fremont and Santa Clara to cut costs. Despite these adaptations, Exidy ceased operations entirely in 1995 following the discovery of over $300,000 embezzled by an employee, which depleted remaining resources and prevented recovery in a maturing sector dominated by larger firms. The closure marked the end of Exidy's independent existence, with rights later acquired by Mean Hamster Software in 2006.

Enduring Influence on Gaming

Exidy's (1976) established the template for moral panics surrounding violence, forging an enduring association between gaming and societal concerns over aggression in the public imagination. The game's depiction of vehicular pedestrian strikes prompted widespread media condemnation, including coverage in and , marking the first national controversy over arcade content and prompting arcade operators to remove units amid public backlash. This outrage paradoxically increased sales to over 900 cabinets by December 1976, demonstrating how controversy could amplify visibility and revenue, a dynamic replicated in later titles such as (1997) and influencing the industry's approach to content regulation, including precursors to the ESRB's "" rating system. Beyond controversy, Exidy's arcade titles contributed to gameplay mechanics that presaged later genres. Venture (1981) introduced dungeon-crawling exploration in an overhead view, where players navigated interconnected rooms to collect treasures while managing enemy threats and limited ammunition, building on Atari's Adventure (1979) by emphasizing spatial navigation and risk-reward decisions in hostile environments. This structure anticipated elements of the metroidvania subgenre, serving as a direct antecedent to games like Zelda II: The Adventure of Link (1987) and Tower of Druaga (1984), which expanded non-linear progression and utility-based advancement. Exidy also innovated in interactive hardware integration, reviving mechanics with (1983), which combined on-rails shooting with fantasy themes and required precise aiming to progress through narrative-driven levels, helping sustain appeal during the early 1980s diversification from pure . These contributions, alongside hits like Targ (1980)—a maze-based —positioned Exidy as a mid-tier innovator whose experimental designs influenced the evolution of action-adventure and shooter hybrids, even as the company's prominence waned post-1983 .

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