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Initially, the (AES) home system was only available for rent to commercial establishments, such as hotel chains, bars and restaurants, and other venues. When customer response indicated that some gamers were willing to buy a $650 console, SNK expanded sales and marketing into the home console market. The Neo Geo console was officially launched on 31 January, 1990 in Osaka, Japan.[4]Compared to other contemporary home consoles, Neo Geo's graphics and sound were largely superior. The MVS was one of the most powerful arcade units at the time. Furthermore, since the AES was identical to its arcade counterpart, the MVS, arcade titles released for the home market were perfect translations. Although its high price tag kept it out of the mainstream gaming market, a strong game lineup likely contributed to the cult status of the Neo Geo, enabling it to outlast the more popular Sega Mega Drive/Genesis.

In the United States, the console was planned to debut at $599 USD and included two joystick controllers and a game, either Baseball Stars Professional or NAM-1975. However, the price was raised and its American launch debuted at $649.99. This package was known as the "Gold System." Later, the "Gold System" was bundled with Magician Lord and Fatal Fury. The system was also released in a "Silver System" package for $399.99, which included one joystick controller and did not include a game. Other games were priced at about $200 (and up). With these "premium" prices, though, most gamers weren't able to afford the system, so the console was only accessible to a niche market.

The home system featured two CPUs: the 16-bit Motorola 68000 main processor running at 12 MHz and the 8-bit Zilog Z80 coprocessor running at 4 MHz. A custom video chipset allowed the system to display 4,096 colors and 380 individual sprites onscreen simultaneously, while the onboard Yamaha YM2610 sound chip gave the system 15 channels of sound with seven channels reserved specifically for digital sound effects. When realtime 3D graphics stormed the arcade industry, the Neo Geo's hardware was unable to follow along. The longevity of Neo Geo games kept it alive in arcades, particularly in Japan, where the newest installment of its flagship franchise, The King of Fighters, caused a stir with every new release.[citation needed]

The last official game by SNK for the Neo Geo system, Samurai Shodown V Special, was released in 2004. SNK decided to abandon the video game hardware business due to the rampant piracy of game-cartridges, which SNK believed was partially responsible for its bankruptcy in 2001. SNK ceased to manufacture home consoles by the end of 1997, but continued to release games for both arcade and home for another 8 years

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