task of retrofitting the code into an 8k cartridge proved too difficult. Atari turned to Shepardson Microsystems to help with the port, but after struggling with it themselves, they proposed developing a new BASIC instead of using Microsoft BASIC. Atari contracted with SMI not only for Atari BASIC, but the Atari Disk Operating System as well. SMI had their BASIC finished before the December 28, 1978 delivery of the contract, which included a $1000 bonus for early completion. In early 1981, SMI concluded that their BASIC and DOS products were not viable and permitted them, along with the Atari Assembler Editor, to be purchased by Bill Wilkinson and Mike Peters, who formed Optimized Systems Software. The new company enhanced the programs and sold them as third-party applications. References Wilkinson, Bill (1983). The Atari BASIC Source Book. Compute! Books. . Further reading Terdiman, Daniel, "Public at last: Apple II DOS code that launched an empire", CNET, November 12, 2013 External links Apple Computer The Early Days A Personal Perspective manuals The untold story behind Apple's $13,000 operating system Defunct software companies of the United States Apple II family Atari 8-bit family