A couple more failures can spell Sega’s doom
Back in the 8-bit and 16-bit era, Sega was a prominent name just beside Nintendo. Some of us grew up with Sonic and other arcade hits under Sega’s banner. Unfortunately, the gaming giant took massive damage when Sony‘s PlayStation 2 left the Dreamcast in the dust. After learning some important things, the company is now aiming to be in the top five third-party publishers.
Sega isn’t an old horse just yet, with hot titles such as the NiGHTS Journey of Dreams and the Condemned series. According to the report on Business Week, they’re also aggressively pushing for movie licenses to develop tie-in games. Another strategy is to work hand-in-hand with other development companies.
That may sound good and all, but the company that used to ride our favorite hedgehog’s fame isn’t doing too well. Current Sega of America President Simon Jeffery admitted, “It only takes a couple of US$ 20 million games to fail at market, and we’re out of business.”
Due to next-gen development costs, that much money is just enough to make a solid game. Looks like Sega needs to be very careful in choosing which to invest on, or Sonic and his friends won’t be seeing the light of day again.
Via Business Week
Back in the 8-bit and 16-bit era, Sega was a prominent name just beside Nintendo. Some of us grew up with Sonic and other arcade hits under Sega’s banner. Unfortunately, the gaming giant took massive damage when Sony‘s PlayStation 2 left the Dreamcast in the dust. After learning some important things, the company is now aiming to be in the top five third-party publishers.
Sega isn’t an old horse just yet, with hot titles such as the NiGHTS Journey of Dreams and the Condemned series. According to the report on Business Week, they’re also aggressively pushing for movie licenses to develop tie-in games. Another strategy is to work hand-in-hand with other development companies.
That may sound good and all, but the company that used to ride our favorite hedgehog’s fame isn’t doing too well. Current Sega of America President Simon Jeffery admitted, “It only takes a couple of US$ 20 million games to fail at market, and we’re out of business.”
Due to next-gen development costs, that much money is just enough to make a solid game. Looks like Sega needs to be very careful in choosing which to invest on, or Sonic and his friends won’t be seeing the light of day again.
Via Business Week
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