Taito of Brazil

Taito of Brazil was a Brazilian manufacturer of pinball and arcade machines based in São Paulo. The business began in 1968 under the name Clover Electronic Amusement and was renamed Taito of Brazil in 1972. Its rebranding reflected its connection with Taito Corporation in Japan; Abraham “Abba” Kogan, the son of Taito founder Michael Kogan, was associated with the Brazilian operation. The company initially imported components and assembled machines domestically, serving Brazil’s expanding amusement-machine market. Its business model became increasingly difficult as Brazilian import taxation rose and government controls tightened. Brazilian authorities treated pinball as a form of gambling and therefore subjected pinball equipment to restrictive rules. Under regulations associated with the Electronic Processing Activities Coordinating Committee, known as CAPRE, importing pinball machines became illegal in 1976. These restrictions made it difficult for local operators and manufacturers to obtain complete foreign machines, but they also encouraged domestic production and adaptation. With financial support from its Japanese parent in 1978, Taito of Brazil expanded its facilities and adapted to the emerging solid-state electronic era. Rather than relying solely on imported designs and parts, it produced locally assembled and manufactured machines based on successful games from American, Japanese, and European manufacturers. Many of its pinball products reproduced the layouts or concepts of earlier machines while changing artwork, names, sound effects, themes, and rules. This practice reflected the constraints of Brazil’s import regime, although several products closely resembled foreign originals. The company’s best-known and reportedly most commercially successful pinball machine was Cosmic, a close adaptation of Stern Electronics’ Galaxy. Other machines drew on recognizable designs such as Williams’ Gorgar, Firepower, Flash, and Space Shuttle; Bally’s Playboy, Eight Ball, Xenon, and Barracora; Gottlieb’s Sinbad, Volcano, and Fast Draw; and Stern’s Meteor and Flight 2000. Taito of Brazil also produced locally themed or substantially modified titles, including Oba Oba, whose playfield was based on Bally’s Playboy but whose theme referred to a Rio de Janeiro club. From the late 1970s, the company also entered video arcades. It produced adaptations and bootleg versions of popular arcade games, frequently modifying software, text, sound, and hardware to run on an available board associated with Nichibutsu’s Moon Cresta. The resulting catalogue included titles related to BurgerTime, Dig Dug, Crazy Kong, Frogger, Galaga, Galaxian, Gaplus, Moon Cresta, New Rally-X, Phoenix, Polaris, Scramble, Super Cobra, Time Pilot, Track & Field, Video Hustler, and Xevious. These releases demonstrate the company’s role in Brazil’s localized arcade ecosystem during a period when imported games were difficult to obtain. Taito of Brazil closed in 1985. The closure followed the death of Michael Kogan during a business trip to the United States in early 1984, changes in the attitude of Taito Corporation’s remaining management toward overseas subsidiaries, and a broader decline in pinball’s popularity as video arcades grew. The Brazilian company was liquidated and its debts were reportedly paid without a bankruptcy proceeding. In 1986, Kyocera acquired the remaining Taito Corporation business in Japan, after Taito of Brazil had already ceased operations.

Taito of Brazil originated in 1968 as Clover Electronic Amusement, a Brazilian amusement-machine business located in São Paulo. In 1972 it adopted the Taito of Brazil name. The operation was connected to Taito Corporation in Japan, and Abraham “Abba” Kogan, son of Taito founder Michael Kogan, was associated with the subsidiary. Its early activities centered on importing foreign pinball and arcade components and assembling machines for the Brazilian market. The company’s development was shaped by Brazil’s import policies. Import duties increased over time, while government authorities treated pinball as a gambling-related activity. The resulting controls restricted the importation of pinball equipment. By 1976, rules associated with the Electronic Processing Activities Coordinating Committee prohibited the import of pinball machines. This forced Brazilian companies to find domestic substitutes for products that could no longer be legally or economically imported. Taito of Brazil received an influx of capital from its parent company in 1978 and built facilities suited to the production of solid-state electronic games. Its manufacturing approach combined local assembly, adaptation, and reproduction of foreign designs. Some pinball machines used layouts closely modeled on successful products from Bally, Williams Electronics, Gottlieb, Stern Electronics, and other manufacturers. In many cases the Brazilian versions changed the title, cabinet artwork, sound effects, rules, or theme. Oba Oba, for example, used a playfield layout associated with Bally’s Playboy while presenting a theme linked to a Rio de Janeiro club. Cosmic, a close version of Stern’s Galaxy, became the company’s most successful pinball product according to the available reference material. The company also produced machines that were more heavily modified or locally themed. Its catalogue included games such as Cavaleiro Negro, Drakor, Fire Action, Hawkman, Lunelle, Meteor, Mr. Black, Polar Explorer, Roman Victory, Shark, Space Shuttle, Sultan, Titan, and Zarza. The range indicates that Taito of Brazil attempted to cover several popular pinball formats, including sports, science fiction, action, fantasy, nautical, and themed entertainment titles. During the late 1970s and early 1980s, Taito of Brazil expanded into arcade video games. Because imported arcade hardware was difficult to obtain, the company adapted games to an available board associated with Nichibutsu’s Moon Cresta. It released a series of localized or bootleg titles, generally changing elements such as software text, sound effects, and presentation. Among these were Sandwich or X-salada, based on BurgerTime; Zig Zag, based on Dig Dug; Kong, adapted from Crazy Kong; Fantastic and Super Fantastic, associated with Galaga and Gaplus; Batalha Galactica, associated with Galaxian; Star Crest, associated with Moon Cresta; and other games related to New Rally-X, Phoenix, Polaris, Scramble, Super Cobra, Time Pilot, Track & Field, Video Hustler, and Xevious. The Brazilian subsidiary closed in 1985. Several factors contributed to the decision: the death of Michael Kogan on a United States business trip in early 1984, a less supportive attitude toward overseas subsidiaries among personnel who assumed greater control of the Japanese parent, and a worldwide decline in pinball as video arcade games became more popular. Taito of Brazil was liquidated, with its debts reportedly settled without the company requiring bankruptcy proceedings. Kyocera acquired the remaining Taito Corporation business in Japan in 1986, after the Brazilian operation had ended.

• 1986

  Kyocera acquires remaining Taito Corporation assets

  [1]Taito of Brazilen.wikipedia.org

  Kyocera purchases what remained of Taito Corporation in Japan after the Brazilian subsidiary’s liquidation.

• 1985

  Operations end

  [1]Taito of Brazilen.wikipedia.org

  Taito of Brazil closes and is liquidated as pinball declines and video arcade games become increasingly dominant.

• 1984

  Death of Taito founder Michael Kogan

  [1]Taito of Brazilen.wikipedia.org

  Michael Kogan dies during a business trip to the United States. The subsequent change in control and reduced enthusiasm for subsidiaries contributes to the Brazilian operation’s later closure.

• 1978

  Facilities expanded for solid-state production

  [1]Taito of Brazilen.wikipedia.org

  Following financial support from the Japanese parent, Taito of Brazil builds facilities to accommodate the production of solid-state electronic games.

• 1976

  Pinball imports become prohibited

  [1]Taito of Brazilen.wikipedia.org

  Rules associated with CAPRE make the importation of pinball machines illegal, increasing pressure on Brazilian manufacturers to produce or adapt machines locally.

• 1972

  Renamed Taito of Brazil

  [1]Taito of Brazilen.wikipedia.org

  The Brazilian subsidiary adopts the Taito of Brazil name and operates in connection with Taito Corporation of Japan.

• 1968

  Business begins as Clover Electronic Amusement

  [1]Taito of Brazilen.wikipedia.org

  The São Paulo amusement-machine business that later became Taito of Brazil is established under the Clover Electronic Amusement name.

A Brazilian amusement-machine manufacturer focused on locally assembling and adapting pinball and arcade products for a protected domestic market where imported machines and components were increasingly restricted.

• Solid-state pinball

  Cosmic

  Taito of Brazil’s most commercially successful pinball machine according to the available reference. Cosmic closely followed the playfield and general design of Stern Electronics’ Galaxy, while representing the Brazilian subsidiary’s ability to reproduce contemporary solid-state pinball formats for the domestic market.

• Solid-state pinball

  Oba Oba

  A locally themed pinball machine whose playfield layout was based on Bally’s Playboy. Taito of Brazil changed the artwork and shifted the theme to Oba Oba, a club associated with Rio de Janeiro, illustrating the company’s practice of adapting foreign designs to Brazilian presentation and subject matter.

• Solid-state pinball

  Drakor

  A close Brazilian adaptation of Williams Electronics’ Gorgar. The title belongs to Taito of Brazil’s group of machines that reproduced recognizable foreign playfield concepts while using a different name and localized or altered presentation.

• Solid-state pinball

  Cavaleiro Negro

  A pinball machine similar to Williams Electronics’ Black Knight. Its Portuguese title means Black Knight, and it formed part of Taito of Brazil’s locally produced solid-state catalogue.

• Solid-state pinball

  Fire Action and Fire Action Deluxe

  Two machines derived from the Firepower family associated with Williams Electronics. Fire Action followed the general design of Firepower, while Fire Action Deluxe used a playfield layout associated with Firepower II and retained artwork linked to the earlier title.

• Solid-state pinball

  Space Shuttle

  A close adaptation of Williams Electronics’ Space Shuttle, produced under the Mecatronics label. It represents one of the later solid-state pinball designs associated with the Brazilian manufacturing ecosystem.

• Arcade video game

  Zig Zag

  A Taito of Brazil arcade adaptation associated with Namco’s Dig Dug. The company modified games to operate on available hardware and commonly changed software text, audio, or other presentation elements.

• Arcade video game

  Fantastic and Super Fantastic

  Two arcade adaptations associated with Galaga and Gaplus. They belong to the company’s broader set of localized arcade releases created during Brazil’s import restrictions.

• Arcade video game

  Star Crest

  An arcade adaptation associated with Nichibutsu’s Moon Cresta. The title is particularly relevant to Taito of Brazil’s hardware strategy because the company used a Moon Cresta-related board as the basis for multiple adaptations.

• Arcade video game

  Batalha Galactica

  A localized arcade title associated with Galaxian. Its Portuguese naming and adaptation reflect the company’s practice of presenting familiar international arcade concepts for the Brazilian market.

• Arcade video game

  Sandwich/X-salada

  A Taito of Brazil adaptation associated with BurgerTime. The alternative title X-salada references a Brazilian sandwich style and demonstrates the use of localized naming in the company’s arcade catalogue.

• 1985

  Close and liquidate the Brazilian subsidiaryStrategy

  Background

  The death of Michael Kogan, weaker support for overseas subsidiaries, and the decline of pinball amid the rise of video arcade games undermined the subsidiary’s prospects.

  Action taken

  Taito of Brazil ended operations and entered liquidation.

  Aftermath

  The company’s debts were reportedly honored without bankruptcy, and the Brazilian brand ceased to operate as a manufacturer.

  Source

• 1978

  Shift toward domestic solid-state productionStrategy

  Background

  Import taxation and restrictions on pinball machines made the earlier model of importing components and assembling foreign equipment increasingly difficult.

  Action taken

  With additional funding from Taito Corporation, the Brazilian operation expanded its facilities and began producing or adapting solid-state pinball machines locally.

  Aftermath

  The company developed a substantial catalogue of Brazilian versions of foreign pinball designs and continued operating in the domestic amusement market.

  Source

• 1976

  Responding to the prohibition on imported pinball machinesStrategy

  Background

  CAPRE-associated rules prohibited the importation of pinball machines, while pinball’s treatment as gambling equipment created additional regulatory barriers.

  Action taken

  Taito of Brazil and other Brazilian manufacturers relied more heavily on domestic production, adaptation, and imitation of foreign machine designs.

  Aftermath

  The restrictions encouraged a distinctive Brazilian market of locally made pinball and arcade machines, but also limited access to original imported products.

  Source

• 1986

  Kyocera acquires the remaining Taito Corporation business[1]Taito of Brazilen.wikipedia.org

  M&A

  Kyocera purchased what remained of Taito Corporation in Japan after the Brazilian subsidiary had already closed.

• 1985

  Taito of Brazil closes and is liquidated[1]Taito of Brazilen.wikipedia.org

  Bankruptcy · Leadership change · Other

  Taito of Brazil ceased operations and was liquidated after declining pinball demand, management changes affecting the parent company, and the growing dominance of video arcade games. The available reference states that the company honored its debts without entering bankruptcy.

1. 1Taito of Brazilen.wikipedia.org