They were actually purchased by Time Warner Interactive (ironically when they purchased Atari Games from Time Warner in the late 90s it was called Time Warner Interactive!); it remains to be seen what their intent is regarding the classic IP, but the fact that TWI is in the video game console business is certainly encouraging.
Compare that with the new Atari, Inc. (formerly Infogrames USA -- the old European HQ is now a Bandai Namco subsidary and will apparently be used for distributing Bandai Namco console games in Europe, which is a good thing) whose CEO has publicly referred to consoles as a thing of the past and intends to focus more on gaming via the Web. We'll have to hope they either change their mind and at least support things like the Virtual Console (currently I think some classic Atari games are on Xbox Live Arcade, but I don't know if Atari themselves are the publisher), or someone else licenses games from them and does a good job of translating them (as has happened with multiple classic Atari collections on the PC -- although the 80-title collection apparently had poor arcade ports).
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Topic: Midway and the VC
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