Complex sentence: This was largely tolerated however, because the machine was not a capitalistic commercial venture, but a state-owned product found predominantly in FDGB holiday homes, youth hostels and non-profit clubs.
Split into simpler sentences: This was largely tolerated however, because the machine's purpose was not commercial. The game was not a capitalistic commercial venture, but a state-owned product found predominantly in FDGB holiday homes, youth hostels and non-profit clubs.