Atari is believed to have hired Walsh Trott Chick Smith to promote its 64-bit superconsole Jaguar game.
But the two parties are still haggling over budgets for what could be a pan-European programme expected to be worth more than 3m.
The games company says it will make no announcement until early September when it will formally appoint two agencies – the second one will handle some creative adaptations in Europe – and further marketing initiatives to coincide with the start of the Christmas season.
Atari is planning to release 70 new UK titles for the Jaguar to compete with its main rivals Sony and Sega. The Sony Playstation launches in September and Sega is already in the market with its Saturn game.
“We have seen a selection of agencies and a decision has been taken but there will be no announcement until early September,” says an Atari spokesman. The final pitch list also included Collett Dickenson Pearce, D’Arcy Masius Benton & Bowles and the Leith Agency.