Editing Atari Jaguar (section)

===Decline===
Figures from the [[NPD Group]] showed that at the end of year 1995, the Jaguar had statistically a share of zero percent of the "sold through" units (which are systems purchased by consumers) in the 32-bit market, which was also lower than the one percent held by its struggling rival [[3DO Interactive Multiplayer|3DO]].<ref name="3-3DO">{{cite magazine |last= |first= |date=May 1996 |title=Just who is winning the 32-bit war? |url=https://dn790006.ca.archive.org/0/items/Next-Generation-1996-05/Next%20Generation%201996-05.pdf |magazine=[[Next Generation (magazine)|Next Generation]] |publisher= |page=22 | volume=2 |issue=5 | via=[[Internet Archive]] | access-date=}}</ref>

By November 1995, mass layoffs and insider statements were fueling journalistic speculation that Atari had ceased both development and manufacturing for the Jaguar and was simply trying to sell off existing stock before exiting the video game industry.<ref name=NGen13>{{cite magazine |title=Atari Drops Jaguar?|magazine=[[Next Generation (magazine)|Next Generation]]|issue=13|publisher=[[Imagine Media]] |date=January 1996|page=21|quote=Then in November, UK newspaper ''The Sunday Times'' ... put forward that Atari plans to give up on the Jaguar in favor of PC development ... ''The Sunday Times'' article is not the only piece of speculation regarding Atari's commitment to hardware to have appeared in the media over the last two weeks.}}</ref><ref>{{cite magazine|title=Atari Teeters on Grave's Edge|magazine=[[GamePro]]|issue=91|publisher=[[International Data Group|IDG]]|date=April 1996|page=16}}</ref> Although Atari continued to deny these theories going into 1996, core Jaguar developers such as [[High Voltage Software]] and [[Beyond Games]] stated that they were no longer receiving communications from Atari regarding future Jaguar projects.<ref>{{cite magazine |title=Crumbling Atari Still Defiant |magazine=[[Next Generation (magazine)|Next Generation]]|issue=16|publisher=[[Imagine Media]]|date=April 1996|pages=16–17}}</ref>

In its [[Form 10-K405|10-K405 SEC Filing]], filed April 12, 1996,<ref name="10-K405 SEC Filing, filed by ATARI CORP on 4/12/1996"/> Atari informed stockholders that its revenues had declined by more than half, from $38.7 million in 1994 to $14.6 million in 1995, then gave them the news on the truly dire nature of the Jaguar:

{{blockquote|From the introduction of Jaguar in late 1993 through the end of 1995, Atari sold approximately 125,000 units of Jaguar. As of December 31, 1995, Atari had approximately 100,000 units of Jaguar in inventory.}}

The filing confirmed that Atari had abandoned the Jaguar in November 1995 and in the subsequent months were concerned chiefly with liquidating its inventory of Jaguar products.<ref name=":0">{{cite magazine |title=Stop Press: Ashes to Ashes... |magazine=[[Next Generation (magazine)|Next Generation]]|issue=19|publisher=[[Imagine Media]] |date=July 1996|page=17}}</ref> On April 8, 1996, Atari Corporation agreed to merge with [[JT Storage|JTS, Inc.]] in a [[reverse takeover]],<ref name="jtmerger">{{cite web | url=http://contracts.onecle.com/atari/jt.mer.1996.04.08.shtml | title=Atari and JT Storage Reorganisation Plan | publisher=One Cle | access-date=November 25, 2006| archive-url= https://web.archive.org/web/20061209123854/http://contracts.onecle.com/atari/jt.mer.1996.04.08.shtml| archive-date=December 9, 2006 | url-status=dead}}</ref> thus forming JTS Corporation. The merger was finalized on July 30.<ref>{{cite magazine |title=Video Game Timeline |magazine=[[Electronic Gaming Monthly]] |issue=102|publisher=[[Ziff Davis]]|date=January 1998 |page=137}}</ref>

After the merger, the bulk of Jaguar inventory remained unsold<ref name=NGen24/> and would be finally moved out to Tiger Software, a private [[Liquidation|liquidator]], on December 23, 1996.<ref>{{Cite web|url=https://mcurrent.name/atarihistory/jt_storage.html|title=A History of JT Storage / JTS (including the Atari division)|website=mcurrent.name|access-date=May 31, 2020|archive-date=April 27, 2021|archive-url=https://web.archive.org/web/20210427140329/https://mcurrent.name/atarihistory/jt_storage.html|url-status=live}}</ref> On March 13, 1998, JTS sold the Atari name and properties to [[Hasbro Interactive]].<ref name="ataritohasbro">{{cite web|last=Johnston|first=Chris|date=April 8, 2000|title=Atari Goes to Hasbro|url=https://www.gamespot.com/articles/atari-goes-to-hasbro/1100-2462915/|website=[[GameSpot]]|access-date=February 20, 2020|archive-date=February 4, 2021|archive-url=https://web.archive.org/web/20210204132911/https://www.gamespot.com/articles/atari-goes-to-hasbro/1100-2462915/|url-status=live}}</ref>