2. Panasonic 3DO was... just too damn expensive
The 3DO became an industry punchline when it withered away in the early '90s, but looking back now, Trip Hawkins and the rest of The 3DO Company knew what the future of gaming consoles would have in store. Its machine was CD-based from the start. It was one of the first true 32-bit consoles, one capable of generating impressive 3D graphics. Ports of PC and arcade classics like Alone in the Dark, Wolfenstein 3D, Myst, and Samurai Showdown gave it a more than respectable library. It drummed up lots of good press, and it had big money behind it.
On paper, the 3DO was like the PlayStation before the PlayStation even existed. Its focus on multimedia content--it could play select videos, movies and photos--foreshadowed the ‘do everything’ living room boxes we have today. Even its business model was forward-thinking, with a Steam Box setup in which multiple manufacturers would make their own 3DO machines. But at $700 in a crowded market, the 3DO was just obnoxiously expensive. And within two years, all of its future industry standards went to waste. Just like that, one bad decision turned a trailblazing piece of tech into a cautionary tale. Not cool.