Dendy
Dendy is a series of home video game consoles that were unofficial hardware clones of Nintendo's third-generation Famicom system. Produced from late 1992, Dendy consoles were manufactured in Taiwan using Chinese components on behalf of the Russian company Steepler. These consoles were primarily sold in Russia. Over time, production expanded to include assembly at the Chinese Subor factory and the Russian Tensor factory in Dubna, Moscow Oblast. The Dendy consoles were based on Japanese hardware designs and cartridge formats, which differed slightly from their American counterparts.
The Dendy product line was divided into two categories: the main Classic series and the budget-oriented Junior series. These categories differed in design, quality, and price. The Classic models were replicas of the Micro Genius consoles produced by Taiwan's TXC Corporation and were manufactured in the same factory. The Junior models, developed specifically for Steepler, employed a cost-effective design based on a system-on-a-chip architecture. Steepler also planned to release a Pro version featuring one wired and one wireless gamepad. However, this model was only produced in a single, limited batch.
Because the Famicom and Nintendo Entertainment System were never officially sold in post-Soviet states, the Dendy achieved great popularity in the region. Its marketing strategy included television shows and video game publications. The brand name "Dendy" became genericized in Russia, referring not only to other Famicom hardware clones, colloquially called Famiclones, but also to various gaming consoles. Production of the original Dendy ceased in 1998 following Steepler's bankruptcy. By then, sales estimates ranged from 1.5 to 6 million units. The Dendy is regarded as the catalyst for the video game and console market in Russia.
History
Beginning
In 1992, Russian entrepreneur Viktor Savyuk approached Steepler, a company primarily focused on distributing Hewlett-Packard products and localizing the Windows 3.x operating system using the CyrWin package. Savyuk proposed the development and sale of television game consoles and interchangeable game cartridges under the Dendy brand. The company's founders, who were also doing in system integration, recognized the potential for expansion into the gaming industry. As a result, Steepler established a "Video Games Department" in September 1992, with Savyuk joining the newly formed division.While searching for potential partners, Steepler did not pursue selling Nintendo's original Famicom, as Nintendo showed no interest in the Commonwealth of Independent States market and their consoles were three times more expensive than bootleg clones. Instead, Savyuk established connections with Taiwanese manufacturers, eventually leading to Steepler's deal with TXC Corporation, which produced Famiclones sold under the Micro Genius brand. The first console sold by Steepler under the Dendy brand was the Micro Genius IQ-501 model, marketed as the Dendy Classic. When choosing the brand name, Savyuk selected the English word for Dandy, referring to a man who pays meticulous attention to aesthetic appearance, behavior, and refined speech. The letter "a" was replaced with "e" for easier reading in Russian. The logo was set in Cooper Black font in red.
Russian artist Ivan Maximov designed the mascot for the Dendy console, which featured a small elephant. The console was promoted through a television advertisement in Russia with the "Dendy, Dendy, we all love Dendy! Dendy — everybody plays!" slogan. The musical group "Neschastny Sluchay" played a significant role in the commercial's creation. Keyboardist Sergey Chekryzhov composed the music, while guitarist Andrey Guvakov developed the slogan. The group also contributed to the commercial's animation. The advertisement was broadcast through Video International company two weeks before the product launch.
The Dendy console was first released on 17 December 1992, with a retail price of 39,000 rubles. However, a technical oversight during the market launch resulted in the first batch of consoles using the PAL-I video standard, which was incompatible with the SECAM-DK standard used by most televisions in the Soviet Union. Consequently, the entire initial shipment required repair and video standard conversion in Moscow. The first branded stores opened in Moscow on Petrovka Street, Krasnaya Presnya, and in the underground passage connecting the Teatralnaya metro station to Red Square near GUM department store. By February 1993, sales had reached up to 3,000 units per month. Game sales also proved profitable, prompting Steepler managers to travel to various regions to seek out local dealers and purchase advertising.
Demand for Dendy consoles proved exceptionally high. By April 1993, Steepler had established four regional dealerships and achieved a turnover of 500 million rubles. By autumn of 1993, daily sales reached up to 4,000 units. A consumer demand survey revealed that Dendy ranked third in the "home electronics" category, behind only refrigerators and televisions. The Dendy brand name became genericized, often used to refer to other Famicom hardware clones and even different gaming consoles. Steepler had effectively cornered a largely untapped market, as major global video game and console manufacturers showed little interest in Russia at the time. The company's main competition came from the "grey" import market of similar Chinese-made products. By the end of 1994, Steepler's annual turnover had reached 75-80 million US dollars. Eventually, the company suspended its advertising campaign due to demand exceeding supply.
Magazines and TV shows
Steepler's market research into print media led to a partnership with the publishers of Video-Ace Computer Games magazine. This collaboration gave rise to Video-Ace Dendy, the first wholly video-game-oriented Russian magazine, debuted in summer 1993 under the editorship of Valery Polyakov. Initially, the magazine functioned largely as a promotional vehicle for Steepler's product line, with the first seven issues focusing heavily on Dendy-related content. The magazine's scope was broadened through an agreement with French publisher Hachette Filipacchi-Press, which permitted the reprinting of articles from French gaming magazines Joypad and Joystick. As Steepler's product range expanded to include Sega Mega Drive and Super Nintendo Entertainment System consoles, the magazine's coverage grew to encompass these platforms as well.Following funding delays, the contract for publishing Video-Ace Dendy was terminated. Steepler then launched its own magazine, Dendy: Novaya Realnost'
Dendy: Novaya Realnost, a television program focused on video games, premiered on Channel 2x2 in September 1994. The show was produced by Steepler and hosted by Sergei Suponev, who had previously presented Star Hour and Call of the Jungles. Content featured games for Dendy, Mega Drive, and Super NES platforms. The initial run of 33 episodes garnered high ratings and significant popularity. After a brief hiatus, the show returned on ORT channel with a shortened title, Novaya Realnost'
Nintendo contract, competition, and downfall
In 1994, Dendy console sales reached 100,000-125,000 units per month, generating a monthly turnover of $5 million. By 1995, the company expanded its marketing efforts, hiring Russian singer Oleg Gazmanov and his son Rodion as brand ambassadors. Additionally, a short animated film titled The Adventures of Dendy the Elephant was produced by the Argus animation studio. Although a 13-episode series was planned, it never materialized. Savyuk later revealed that the company discovered a user loyalty rate exceeding 80%, rendering further advertising unnecessary. Steepler expanded its operations by establishing three new divisions: Steepler Graphic Center for computer graphics creation, Steepler Trading for computer hardware sales, and a programming education center. Shortly thereafter, Steepler underwent a reorganization, resulting in the separation of the Steepler Trading retail network into an independent company called Lamport.Steepler sought to establish a partnership with Nintendo, attempting to contact the company's European division through its regional office in Germany. Initially, Nintendo did not respond to these overtures. However, upon learning of the popularity of 8-bit console clones in Russia, Nintendo reached out to Steepler in spring 1994. The company invited Victor Savyuk to Seattle for a meeting with Nintendo of America executives Minoru Arakawa and Howard Lincoln. Following several days of negotiations, Steepler and Nintendo reached an agreement. Under its terms, Steepler ceased promoting Sega products and obtained exclusive distribution rights for Super Nintendo Entertainment System and Game Boy consoles in Commonwealth of Independent States and all post-Soviet states. The agreement also stipulated that Nintendo would refrain from pursuing legal action regarding Dendy sales.
In August 1994, Inkombank and Steepler announced plans to establish a joint venture called AOZT "Dendy". The agreement stipulated that Incombank would provide capital investment and receive 30% of the profits. Two operational units were established: one handling wholesale distribution with Inkombank's financial support, and another managing retail operations in Moscow. As part of this expansion, Steepler purchased shares in the Tensor factory located in Dubna. Initially, the facility produced consoles and cartridges using partially Taiwanese components. However, high production costs led to the plant's conversion into a warranty repair center for the gaming systems.
In late 1994, Steepler faced new competition from two companies: Lamport, which began producing its own console called Kenga, and Bitman, which imported Famicom, Mega Drive, and Game Boy clones from Taiwan. Kenga distinguished itself by offering a portable console called Ken-Boy. In 1996, Bitman secured an official agreement with Sega, allowing them to sell licensed Mega Drive 2, Mega CD 2, Mega Drive 32X, Game Gear, Sega Saturn, and the educational Sega Pico consoles. Both companies closed their game businesses a year and a half later; Kenga restructured its business to focus on children's goods stores, while Bitman was acquired by the R-Style retail chain.
In January 1995, sales dropped noticeably, and an investigation revealed that competitors had begun importing consoles from China, allowing them to undercut Dendy's prices. At this time, Dendy consoles were still manufactured in Taiwan. Concurrently, Chinese company Subor entered the market. Subor had previously approached Steepler for collaboration but was rejected. With support from the Chinese government, Subor established an office in Moscow and engaged in price dumping. Subsequently, Subor proposed that Steepler transfer production to Subor's factory, making the wholesale price $8–9 per unit as compared to the previous $12 at the Taiwanese factory. Steepler accepted these terms and placed an order for 80,000 Dendy consoles from Chinese factories. Additionally, Steepler secured exclusive distribution rights for Subor SB-225 and SB-225B consoles through its stores. These measures restored sales to previous levels. By November 1995, the Dendy company had established 10 regional subsidiaries and 80 dealers. Retail prices for consoles decreased to approximately $20.
By the mid-1990s, 16-bit consoles like Mega Drive and Super Nintendo were being superseded in Western markets by next-generation systems such as the original PlayStation. In Russia, the era of 8-bit consoles was also drawing to a close. Steepler had plans to diversify into consumer electronics, intending to market products like DVD players under the Dendy brand. However, these plans were derailed when Steepler won a tender to automate the State Duma. The company subsequently faced opposition from the Federal Agency of Government Communications and Information, as well as assassination attempts on its employees. As a result, Steepler lost its government contracts and filed for bankruptcy in 1996. The Dendy division survived as an independent entity, despite its working capital being tied up in Steepler's accounts. It faced significant challenges, initially relying on credit from suppliers. When this option was exhausted, Dendy was forced to sell only existing inventory for several months. The company ceased operations during the 1998 Russian financial crisis.
Estimates of Dendy console sales in Russia vary widely, ranging from 1.5 to 2 million units, with some sources suggesting figures as high as 6 million. The console has attained nostalgic status among Russians who grew up in the 1990s, comparable to the cultural significance of Nintendo and Sega consoles in the United States, Japan, and Europe during the same period. Dendy became synonymous with TV-connected gaming consoles in Russia. It is credited with establishing the video game and console market in the country and fostering the first generation of Russian gamers. The console's popularity led to the emergence of counterfeit Dendy clones produced by other manufacturers. As of 2021, Dendy consoles have become collectible items among enthusiasts and remain popular in Russian retrogaming communities.