Avatar Systems
| Company type | Private |
|---|---|
| Industry | Computer hardware |
| Founded | 1991 |
| Founder | John Bizjak, Dan Cautis |
| Defunct | 1998 |
| Headquarters | Milpitas, California , United States |
| Products | 2.5-inch removable cartridge hard drives |
Avatar Systems Corporation, later operating under the name Avatar Peripherals, was a U.S.-based computer hardware manufacturer located in Milpitas, California. The company functioned from 1991 until 1998, focusing on the development of 2.5-inch removable cartridge hard drives. Initially, Avatar catered to computer system manufacturers as an OEM before transitioning to direct sales to end users.
Establishment and initial offerings (1991–1994)
Established in 1991 by John Bizjak and Dan Cautis, Avatar Systems entered the removable cartridge hard drive market, competing with companies such as SyQuest Technology. Their products incorporated removable platters integrated with read–write heads, enabling straightforward cartridge swapping and enhanced data security. Unlike other removable storage options available at that time, Avatar’s drives capitalized on storage density improvements and seek performance comparable to conventional Winchester drives. Leveraging their technical background, the founders chose the 2.5-inch format as the ideal size for their devices.
The company’s debut product, the Remington ASR-80, provided 85 MB of storage capacity. Each cartridge measured and contained a single glass-ceramic platter coated with a magnetic layer. To mitigate contamination risks, Avatar implemented dual-stage filtration and a "purge cycle" during spin-up, accelerating rapidly to 3600 RPM before stabilizing at operational speed.
Avatar initially concentrated on OEM collaborations; early customers included NCR Corporation, which incorporated the ASR-80 into premium workstations, and Dauphin Technology, which marketed the drive under the name DynaDrive for its Dauphin 550 laptop. In March 1993, the product lineup expanded with the Magnum ASR-80M model, which combined the ASR-80 drive with a standard 1.44-MB 3.5-inch floppy disk drive.
This early approach relied heavily on strategic OEM partnerships to build a foothold in the competitive portable storage market.
Challenges and recovery (1994–1997)
The initial release of Avatar’s drives was characterized by limited media attention. Despite receiving $25 million in funding from Thai financial institutions, by early 1994 their customer base was limited to Olivetti. Shipments were minimal, with only 35 units dispatched in early 1994, although the company planned to reach 20,000 units by year-end from a newly established 60,000-square-foot manufacturing facility in Thailand designed for an annual capacity of 50,000 units. In March 1994, Hewlett-Packard and QMS joined as customers.
By mid-1994, sales growth had stagnated and follow-up products failed to materialize. Around May or June, the founders halted operations temporarily to bring in new leadership. In October of that year, Robert Martell—a former Seagate executive—was appointed CEO; he reduced staff from 90 to 40 employees and recruited additional ex-Seagate managers to overhaul product development strategies. Throughout most of 1995, Avatar generated no revenue while focusing on next-generation drive development.
In November 1995, preliminary licensing agreements were announced with Apple, Intergraph, and Acer. By January 1996, Avatar secured a design win with Acer for their new removable cartridge hard drive offering 130 MB capacity, marketed as the HARDiskette and featured in select Acer laptops. In May 1996, a supply contract was signed with laptop manufacturer Mitsuba for this same drive. By January 1997, an enhanced HARDiskette model with 210 MB capacity had been delivered.
Shark 250 and bankruptcy (1997–1998)
In March 1997, Avatar introduced the Shark 250, an external removable hard drive system equipped with a 250-MB HARDiskette. The device featured a distinctive dual-tone gray enclosure and a motorized cartridge ejection mechanism. It utilized a parallel cable connection and uniquely drew power directly from an open PS/2 port, incorporating passthrough connectors for both parallel printers and PS/2 peripherals. Additionally, an internal variant known as the AR-3210NS was offered for certain laptop models.
The Shark 250 received favorable evaluations for its speed and user-friendliness, with PC Magazine rating it better than floptical drives, though slightly trailing SyQuest’s EZFlyer in performance. Windows Magazine commended its robust construction but highlighted drawbacks linked to the parallel interface. To enhance laptop compatibility, Avatar subsequently released a PC Card adapter that enabled faster data transfer rates. Despite these strengths, a significant design issue was identified: transporting the drive while a cartridge remained inserted posed a severe risk of damaging the head assembly.
In October 1998, Avatar filed for Chapter 7 bankruptcy, disappointing customers who were unable to claim a previously advertised $50 rebate. This bankruptcy represented a major obstacle to the company’s financial stability and growth prospects, despite earlier product successes.
External links
- Video on the Shark 250 by This Does Not Compute on YouTube
- Official website (archived)
- Definition of Shark disk at PCMag
- Articles with short description
- 1991 establishments in California
- 1998 disestablishments in California
- American companies established in 1991
- American companies disestablished in 1998
- Computer companies established in 1991
- Computer companies disestablished in 1998
- Computer storage companies
- Defunct computer companies of the United States
- Defunct computer companies based in California
- Defunct computer hardware companies
- 5
- Companies of the United States by year of establishment