The beginning scene of the game was changed drastically and this revision also changed the entire story.
Originally you would’ve been looking through the eyes of a senior (around John’s age at that time) on the night of the school dance. This senior’s name was Lewis. After heartbreaking revelations he had discovered and being pushed to the edge he would’ve gotten his revenge by setting the school on fire by releasing the gas valves around the school and setting the whole place to flames by shooting a gas tank.
Similar to the story of Freddy Krueger, even though he had also been set on fire, in his last moments he would’ve been greeted by a strange entity that would grant him an eternal life along with the ability to manipulate human beings and create monsters. Puppet Master would’ve originally been human.
Of course in the final version, Puppet Master is “not of this world.”