Capcom was founded in 1979 in Osaka, Japan, by Kenzo Tsujimoto as Japan Capsule Computers Co., Ltd. - initially producing electromechanical amusement machines. In 1983, the company pivoted to electronic video games and renamed itself Capcom, a portmanteau of “Capsule Computers.”
Capcom’s first arcade game, Vulgus (1984), established the studio’s technical confidence. The following year, Ghosts ‘n Goblins (1985) became a breakout hit - designed by Tokuro Fujiwara, notorious for its punishing difficulty, and ported to the NES in 1986. Capcom had arrived.
Through the NES era, Capcom produced the Mega Man franchise (six mainline entries, 1987–1993), DuckTales, Chip ‘n Dale Rescue Rangers, and Bionic Commando. In the arcades, the CP System (CPS-1, 1988) delivered Final Fight and Street Fighter II, redefining both the brawler and the fighting game genres. The SNES brought Mega Man X and the home port of Street Fighter II.