Hasbro is forming a Silicon Valley subsidiary.

The world’s largest toy maker, based in Pawtucket, R.I., will employ workers from Axlon Inc., a small concern founded three years ago by Atari inventor Nolan K. Bushnell. The new division will develop a secret new consumer electronics product and toys. The subsidiary springs from a $3-million agreement Hasbro made last year with Axlon, a publicly held concern in Sunnyvale. The pact gives Hasbro first option on choosing and marketing new products Axlon develops.