It was initially released as the Atari Video Computer System (VCS) in 1977 and rebranded as Atari 2600 in 1982 to align with the Atari 5200 naming convention.

The console launched in North America in late 1977, Europe in 1978, France in 1982, Brazil in September 1983, and Japan as Atari 2800 in October 1983.

It uses an 8-bit MOS Technology 6507 processor running at 1.19 MHz, a cost-reduced version of the 6502 with fewer address pins, limiting addressable memory to 4 KB without bank switching.

Approximately 30 million units were sold worldwide by 2004, with over 10 million in the US by 1982 and continued sales into the early 1990s in Europe.

Pac-Man sold 8 million copies by 1990, despite criticism for not resembling the arcade original, becoming the console's top seller.

Factors included poor Atari titles like Pac-Man and E.T., third-party shovelware glut, market oversaturation, and declining sales leading to industry-wide losses.