This is the last of the line of dedicated video game consoles that Magnavox produced commercially: the Odyssey 4000 game console. It was released in 1977 and used a new Texas Instruments Ball and Paddle chip, the AY-3-8600.

The AY-3-8600 chip allowed the Odyssey a total of siz different games:

1. Tennis
2. Hockey
3. Soccer
4. Basketball
5. Smash
6. Gridball
7. Practice Mode

The practice mode for solo-play was available in variants for basketball and Smash.

THe Odyssey 4000 has a skill switch that allows for three levels: novice, semi-pro and pro. Additional settings allow for automatic serving and variable ball speeds.

The Odyssey 4000 also has detachable controllers and an extra AY-3-8615 chip for display in color rather than the black and white of previous models.

Odyssey 5000

Magnavox had plans for a new Odyssey 5000. It would have been built around two chips, National Semiconductor's MM571068 and Signetics' MUGS-1, and would have had a total of seven games (Tennis, Hockey, Volleyball, Basketball, Knockout, Tank, and Helicopter). Planned variations on these games would have created twenty-four different gaming experiences. The unit would have allowed up to four players and included a Practice mode for solo play against the computer. However, the console never was released to the public and only ever has existed as a prototype. However, it forms the basis of the next generation of Magnavox Odyssey home console, the Magnavox Odyssey 2.