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After getting into a dispute at Commodore, Jack left and purchased ailing Atari from Warner Communications. By this time the industry moved on from MOS 6502 processor to the 16/32-bit Motorola 68000.
The Atari 520ST was also known as the "Jackintosh" due to its graphical user interface. It used the Motorola 68000 and competed against Apple's Macintosh and Commodore's Amiga computers.
The Atari-130XE which was announced in 1985 was the last of the 8-bit computer series. It came with 128KB of RAM.
The Atari Lynx was the first color gaming handheld and was released in 1989 for a price of $179. Nintendo's GameBoy was released at about the same time and although it was black and white, its price tag of $99 took a bite out of Lynx sales.