Pong was released by Atari in 1972 and  it became the most popular arcade video game of all time and it was the first ever commercially successful arcade video game. So in 1974 Atari decided to expand into the home gaming market with its own home version of Pong. It was released in 1975 and it was an instant seller, selling 150,000 consoles in the holiday season that year. The home version was very successful and that caught the attention of the creator of their competitor Ralph Baer who created the Maganvox Odyssey. Magnavox filed a lawsuit against Atari and other companies that created clones of Pong. They claimed that Atari and the other companies had infringed on Ralph Bear's designs for his 'Table Tennis' game which was very similar to Pong and both of them were released in the same year. But the case didn't go to court as even though Atari was a highly successful company they didn't have enough money for a lawsuit and they only had to pay 700,00 dollars for the royalties the Magnavox thought they were owed.