The story
Color Dreams was based in Brea, California, and was started by Daniel Lawton, a self-educated computer programmer and vocal opponent of Nintendo's licensing policy. Founded in 1988, Color Dreams was one of the largest producers of unlicensed games for the NES, but, due to pressure from Nintendo, it faced many difficulties getting retailers to stock its games. Although Color Dreams violated no laws in opting out of the Nintendo licensing system with its workaround of Nintendo's 10NES lockout chip, Nintendo was displeased that it was receiving no revenue from Color Dreams games, and wanted to prevent other companies from following suit. Nintendo threatened to cease selling games to retailers that sold unlicensed NES games.
Because retailers could not afford to stop doing business with Nintendo, unlicensed companies were at a disadvantage. Color Dreams had great difficulty accessing the retail market, and worked outside of mainstream NES distribution channels. Also, many of its games were reported to have problems getting to run properly, occasionally even requiring instructions on the cartridge, and were criticized for their lack of quality and gameplay. The problems with running Color Dreams games stemmed from physical changes in later models of the NES; long-time Color Dreams employee Vance Kozik (best known as the programmer of Menace Beach) recalled having customers who called Color Dreams and read off the serial number of their NES unit so that they could send them a compatible cartridge. The quality issues with the games were in part due to the reverse engineering required to develop unlicensed NES games, which effectively forced the company's programmers to work within stricter technical limitations than licensed NES developers had, such as fewer sprites displayed on-screen.
In 1990, Color Dreams began to consider producing games with biblical themes. At the time, there were few religious video games for console systems. Officials at Color Dreams saw a market for them and that many stores that would be most interested in retailing Christian games. Christian bookstores were likely not to sell video games at all, and thus not vulnerable to pressure from Nintendo. Christian bookstores sold much more than books, like religious movies, Contemporary Christian music, and other goods, but not video games. To convince these stores to sell religious games, Color Dreams formed Wisdom Tree and promoted this new genre of video games. Wisdom Tree sent Christian bookstores 3-foot Bible Adventures displays, and VHS cassettes showing gameplay. These promotional videos made the case to Christian bookstores using lines like: "This game promotes Bible literacy and teaches children about the Bible while they play a 'fun and exciting' Super Mario Bros. style video game." Ultimately, these efforts proved successful, and Color Dreams gained a new distribution channel for its games, and launched a new genre of video games, without direct competition. Kozik later commented, "No one knew it was going to take off, but it took off like crazy."
Nintendo never threatened any legal action against Wisdom Tree, and probably feared a public relations backlash from parents and religious groups.
Color Dreams also published games with the Bunch Games label. In 1996, its StarDot Technologies division started selling digital security cameras.
From Wikipedia’s article on Wisdom Tree, shared under CC BY-SA 4.0.4