New York-based Atari Inc and the three associate firms have filed for a bankruptcy protection in Manhattan after facing a difficult business environment amid a slowdown in the economy.

Atari Inc and the three firms, Atari Interactive Inc., Humongous Inc. and California U. S. Holdings Inc. wrote in a filing with the U. S. Bankruptcy Court in Manhattan that they wished to be jointly administered by the authorities. The company said in a statement that it is seeking to be separately managed from its parent company in France and that it needs fresh independent capital infusion to ensure growth.

The company, which is the maker of popular Pong and the Atari 2600, has officially filed for Chapter 11 bankruptcy protection as part of its effort to emerge as a free entity, independent of its French parent Atari SA, which was formally known as Infogrames.

According to a person closer to the matter, the American unit is looking to focus on digital and mobile platforms and develop as a modest business. CEO Jim Wilson has said that the digital and mobile platforms contribute about
17 percent of the company's total revenues. The success of mobile titles like Atari Greatest Hits has helped revive the company's business in recent times.