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Sega Corporation
株式会社セガ
Type Subsidiary of Sega Sammy Holdings
Founded Standard Games (1940);[1] Service Games (May 1952)[2]
Headquarters Ōta, Tokyo, Japan
International Offices:
San Francisco, California, USA
Brentford, London, UK
Sydney, New South Wales, Australia
, Jongno, Seoul, Korea
Key people Hajime Satomi, CEO of Sega Corp.
Hisao Oguchi, President of Sega Corp.
Naoya Tsurumi, Head of Sega's Entertainment Business
Mike Hayes, President and CEO of Sega West
Yu Suzuki
Kazunobu Takita, President of Sega Publishing Korea
Industry Video games
former video game console manufacturer
Products
Football Manager series
Hedgehog Engine
Sonic the Hedgehog series
Total War series
Virtua Fighter series
Shenmue series
The House of the Dead series
Phantasy Star series
Panzer Dragoon series
(See complete software listing.)
SG-1000
Master System
Mega Drive/Genesis(32x, CD)
Game Gear
Nomad
Pico
Saturn
Dreamcast
Revenue US$1.64 billion
Employees 3,127 (2009)
Website Sega Corporation (Japan)
Sega of America
Sega Europe
PlaySega

Sega Corporation (株式会社セガ Kabushiki-kaisha Sega?) is a Japanese multinational video game software and hardware development company, and a home computer and console manufacturer headquartered in Ōta, Tokyo, Japan. The company had success with both arcades and home consoles, but on January 31, 2001, officially left the consumer console business and began concentrating on software development for multiple third-party platforms..[3]

Sega's main offices, as well as the main offices of its domestic division, Sega Corporation (Japan), are located in Ōta, Tokyo, Japan. Sega's European division, Sega Europe Ltd., is headquartered in the Brentford area of London. Sega's North American division, Sega of America Inc., is headquartered in San Francisco, California; having moved there from Redwood City, California in 1999.[4][5] Sega Australia's headquarters are located in Sydney, New South Wales. Sega Publishing Korea's headquarters are located in Jongno, Seoul, Korea. The company also has offices in France, Germany, The Netherlands, Spain and Italy.

On November 1, 2000, Sega changed its company name from Sega Enterprises, Ltd to Sega Corporation.[6]

Building One of Sega's Tokyo offices
Building Two of Sega's Tokyo offices
Building Three of Sega's Tokyo offices

Contents

History

Origins and entry into the video game market (1945–1989)

Sega was founded in 1940 as Standard Games (later Service Games) in Honolulu, Hawaii, United States,[7] by Marty Bromely, Irving Bromberg, and James Humpert to provide coin-operated amusements for American servicemen on military bases. Bromely suggested that the company move to Tokyo, Japan in 1951 and in May 1952 "SErvice GAmes of Japan" was registered.

In 1954, another American businessman, David Rosen, moved to Tokyo and established the company Rosen Enterprises, Inc., in Japan to export art. When the company imported coin-operated instant photo booths, it stumbled on a surprise hit: The booths were very popular in Japan. Business was booming, and Rosen Enterprises expanded by importing coin-operated electro-mechanical games.

Rosen Enterprises and Service Games merged in 1965 to create Sega Enterprises. Within a year, the new company released a submarine-simulator game called Periscope[8] that became a smash-hit worldwide.

In 1969, Gulf+Western purchased Sega, and Rosen was allowed to remain CEO of the Sega division. Under Rosen's leadership, Sega continued to grow and prosper. In 1976, they released a large screen TV, Sega-Vision (not to be confused with their portable media player, Sega Vision).

In the video game arcades, Sega was known for games such as Zaxxon, the first game to employ axonometric projection, and Hang-On, the world's first full-body-experience video game.[9]

Sega's revenues would hit $214 million by 1982 and in 1983,[7] Sega would release its first video game console, the SG-1000, the first 3D arcade video game, SubRoc-3D, which used a special periscope viewer to deliver individual images to each eye, and the first laserdisc arcade game, Astron Belt.

In the same year, Sega was one of the victims of the video game crash. Hemorrhaging money, Gulf+Western sold the U.S. assets of Sega to famous pinball manufacturer Bally Manufacturing Corporation. The Japanese assets of Sega were purchased for $38 million by a group of investors led by Rosen and Hayao Nakayama, a Japanese businessman who owned Esco Boueki (Esco Trading) an arcade game distribution company[10] that had been acquired by Rosen in 1979. Nakayama became the new CEO of Sega, and Rosen became head of its subsidiary in the United States.

In 1984, the multibillion dollar Japanese conglomerate CSK bought Sega, renamed it to Sega Enterprises Ltd., headquartered it in Japan, and two years later, shares of its stock were being traded on the Tokyo Stock Exchange. David Rosen's friend, Isao Okawa, the chairman of CSK, became chairman of Sega.

In 1986, Sega of America was poised to take advantage of the resurgent video game market in the United States.

Sega would also release the Sega Master System and the first Alex Kidd game, who would be Sega's unofficial mascot until 1991 when Sonic the Hedgehog took over. While the Master System was technically superior to the NES,[11] it failed to capture market share in North America and Japan due to highly aggressive strategies by Nintendo and ineffective marketing by Tonka in the United States. However, it did dominate the European and Brazilian markets until Sega discontinued the system in Europe in 1996, and in Brazil in 2000.

Sega as a major console manufacturer (1989–2001)

Sega Mega Drive/Genesis

Mega Drive/Genesis, European/Australian (PAL) version.
Sonic the Hedgehog has been Sega's mascot since his introduction in 1991.

With the introduction of the Mega Drive/Genesis, Sega of America launched an anti-Nintendo campaign to carry the momentum to the new generation of games, with its slogan "Genesis does what Nintendon't." This was initially implemented by Sega of America President Michael Katz.[12] When Nintendo launched its Super Nintendo Entertainment System in 1991, Sega changed its slogan to "Welcome to the next level."

The same year, Sega of America's leadership passed from Michael Katz to Tom Kalinske, who further escalated the "console war" that was developing.[13] As a preepmtive strike against the release of the Super Nintendo, Sega re-branded itself with a new game and mascot, Sonic the Hedgehog. With his hip attitude and style, he was marketed to seem "cooler" than Mario, Nintendo's mascot.[14] This shift led to a wider success for the Genesis and would eventually propel Sega to 65% of the market in North America for a brief time.[15] Simultaneously, after much previous delay, Sega released the moderately successful Sega CD as an add-on feature, allowing for extra storage in games due to their CD-ROM format, giving developers the ability to make longer, more sophisticated games, the most popular of which was Sega’s own Sonic CD.[16] Sonic the Hedgehog 2 was also released at this time, and became the most successful game Sega ever made,[17] selling six million copies as of June 2006.[17]

Despite their massive advances in the arcades, Sega’s share of the home market plummeted to 35% by 1994.[15] That year, Sega released the Sega 32X in an attempt to upgrade the Mega Drive/Genesis to the standards of more advanced systems. It sold well initially, but had problems with lack of software and hype about the upcoming Sega Saturn and Sony's PlayStation.[18] Within a year, it was in the bargain bins of many stores.[19] Also in 1994, Sega launched the Sega Channel, a subscription gaming service delivered by local cable companies affiliated with Time-Warner Cable or TCI through which subscribers received a special cartridge adapter that connected to the cable connection. At its peak, the Sega Channel had approximately 250,000 subscribers.[20]

Sega versus Accolade

In 1992, Sega lost the Sega v. Accolade case, which involved independently produced software for the Sega Mega Drive/Genesis console. Accolade had copied a small amount of Sega's code to achieve compatibility with the Sega Genesis platform. The verdict set a precedent that copyrights do not extend to non-expressive content in software that a system requires to be present to run the software.[21] The case in question stems from the nature of the console video game market. Hardware companies often sell their systems at or below cost, and rely on other revenue streams such as in this case, game licensing. Sega was attempting to "lock out" game companies from making Mega Drive/Genesis games unless they paid Sega a fee (something its competition has done in the past). Their strategy was to make the hardware reject any cartridge that did not include a Sega trademark. If an unlicensed company included this trademark in their game, Sega could sue the company for trademark infringement. Though Sega lost this lawsuit, all later Sega systems seemed to incorporate a similar hardware requirement.

Sega Saturn

A "Round Button" Sega Saturn

On May 11, 1995, Sega released the Sega Saturn (with Virtua Fighter) in the American market, which utilized a 32-bit processor and preceded both the PlayStation and the Nintendo 64. However, poor sales in the West (including the traditional stronghold markets in Europe) led to the console being abandoned.[14] Notable titles include several titles exclusive to the Japanese market, like Radiant Silvergun and Sakura Taisen, involving fighting games like Last Bronx, rail shooters, such as Panzer Dragoon and The House of the Dead and a few well regarded RPGs; Panzer Dragoon Saga, Grandia, and Shining Force 3.

In 1997, Sega entered into a short-lived merger with Bandai. However it was later called off, citing "cultural differences" between the two companies.[22] Entertainment fun center GameWorks was founded in 1997 as well as the now defunct Sega World theme parks.

Dreamcast

Japanese/American Sega Dreamcast and European Controller with VMU. Notice the different color swirls

In September 1999 (the date 9/9/99 featured heavily in U.S. promotion), Sega launched the Dreamcast game console in North America. The Dreamcast was competitively priced, partly due to the use of off-the-shelf components, but it also featured technology that allowed for more technically impressive games than its direct competitors, the Nintendo 64 and PlayStation. An analog 56k modem was also included, allowing gamers to play multi-player games online on a home console for the first time, featuring titles such as the action-puzzle title Chu Chu Rocket, Phantasy Star Online, the first console-based MMORPG, and the innovative Alien Front Online, the first console game with online voice chat. The Dreamcast's launch in Japan was a failure. Launching with a small library of software and in the shadow of the upcoming PS2, the system would not gain great success, despite several successful games in the region. The Western launch a year later was accompanied by a large amount of both 1st party and 3rd party software and an aggressive marketing campaign. It was extremely successful and earned the distinction of "most successful hardware launch in history," selling a then-unprecedented 500,000 consoles in its first week in North America.[23] Sega was able to hold onto this momentum in the US almost until the launch of Sony's PlayStation 2. The Dreamcast is home to several innovative and critically acclaimed games of the time, including one of the first cel-shaded titles, Jet Set Radio; Seaman, a game involving communication with a fish-type creature via microphone; a rhythm game involving the use of maracas, Samba de Amigo; and Shenmue, an adventure game of vast scope with freeform gameplay and a striking attempt at creating a detailed in-game city. Despite receiving critical acclaim, these titles failed to garner much public attention in the face of the upcoming PlayStation 2 launch.

Faced with debt and competition from Sony, Nintendo, and Microsoft, Sega officially discontinued the Dreamcast hardware in 2001. The final game Sega released for it was NHL 2K2.

Shift to a software manufacturer (2001–2005)

On January 23, 2001 a story ran in Nihon Keizai Shimbun that said Sega was going to cease production of the Dreamcast and develop software for other platforms.[24] After the initial denial, Sega Japan then put out a press release confirming they were considering producing software for PlayStation 2 and Game Boy Advance as part of their "New Management Policy".[25][26] Then on January 31, 2001, Sega of America officially announced they were becoming a third-party software publisher.[3]

The company has since developed primarily into a platform-neutral software company, known as a "third-party publisher", that creates games that will launch on a variety of game consoles produced by other companies, many of them former rivals, the first of which was a port of Chu Chu Rocket to Nintendo's Game Boy Advance.

Arcade units are still being produced, first under the Sega NAOMI name, and then with subsequent releases of the Sega NAOMI 2, Sega HIKARU, Sega Chihiro, Triforce (in collaboration with Nintendo and Namco) and the Sega Lindbergh.

This chart points out their financial trouble in the 1998-2002 time periods. This financial data comes from their Annual Reports.[27][28][29][30]

By March 31, 2002, Sega had five consecutive fiscal years of net losses.[31] To help with Sega's debt, CSK founder Isao Okawa, before his death in 2001, gave the company a $695.7 million private donation,[32] and also talked to Microsoft about a sale or a merger with their Xbox division, but those talks failed.[33] On February 13, 2003, Sega announced plans to merge with Sammy, but plans fell through. Discussions also took place with Namco, Bandai, Electronic Arts and again with Microsoft.

With this shift to software development, this affected Sega's Australian operations. Sega Ozisoft ceased to operate in its current form with Sega Enterprises selling its share in Sega Ozisoft and was bought over by Infogrames in 2002. This led to Infogrames having an Australian presence for the first time but decided to change the company name for its Australian operations to GameNation. Sega then went to find an Australian distributor, and made a deal with THQ Asia Pacific, who at the time until 2006 had deals with Capcom. In 2003 GameNation was changed to Atari Australia and then challenged THQ Asia Pacific to the distribution rights to Sega's IP's in Australia but failed. In early 2008 Sega Corporation announced that Sega would re-establish an Australian presence, effectively ending THQ's distribution of Sega's products in Australia and would be a subsidiary of Sega of Europe, rather than being a separate local subsidiary like Atari Australia, Nintendo Australia and THQ Asia Pacific.

In August 2003, Sammy bought the outstanding 22% of shares that CSK had,[34] and Sammy chairman Hajime Satomi became CEO of Sega. With the Sammy chairman at the helm of Sega, it has been stated that Sega's activity will focus on its profit-making arcade business rather than its loss-making home software development. In late December, Sega released Sonic Heroes selling over 2 million copies. It was the first Sonic game to be on both the Xbox and the PlayStation 2.

During the middle of 2004, Sammy bought a controlling share in Sega Corporation at a cost of $1.1 billion, creating the new company Sega Sammy Holdings, one of the biggest game manufacturing companies in the world. With the merger, Sega reabsorbed its second party studios and began to reorganize them. Tetsuya Mizuguchi, father of Sega Rally and Space Channel 5, cited the changes in the corporate culture after the Sega-Sammy merger.[35]

On January 25, 2005, Sega's Visual Concepts, a studio Sega dubbed a "1.5" developer, was shut down by Take-Two Interactive. Sega used the parlance "1.5" as a mid-point of sorts between first-party and second-party developer status: that is, a wholly owned studio that would otherwise be known as a first-party developer, but was outside of internal development teams. Visual Concepts was known for many Sega Sports games including the ESPN NFL Football series, formerly NFL2K. The sale also came with Visual Concept's wholly-owned subsidiary Kush Games. Take Two subsequently announced the start of the publishing label 2K Games because of this purchase.

Current status (2006–present)

By the end of 2005, Sega experienced strong earnings growth across multiple divisions. Contributing to the company's success were strong pachinko sales,[36] and sales of software titles Ryu Ga Gotoku (known as Yakuza outside of Asia), Mushiking, and Sonic the Hedgehog.

In an effort to appeal to western tastes, they partnered with Obsidian Entertainment to develop a new RPG for the PlayStation 3, Xbox 360, and PC based on the Aliens Franchise.[37] The partnership was the latest in a series of collaborations with western video game studios, including Monolith Productions (Condemned: Criminal Origins), Bizarre Creations (The Club), and Silicon Knights (who have yet to announce their project with Sega).

That desire to have a more Western appeal for Sega was shortly followed up by Sega acquiring British developer Sports Interactive after a successful run of publishing Football Manager 2005 and 2006, in which they managed to sell 1.5 million copies,[38] the deal was said to be worth in the region of £30 million ($52 million) by Miles Jacobson, Sports Interactive’s Managing Director.[39] This was, however, not the only developer Sega acquired, as they also purchased American developer Secret Level. Although the terms of the deal were not disclosed,[40] Secret Level had begun work before being bought by Sega to “recreate a classic Sega franchise" for the PS3 and Xbox 360 in July 2005, which was revealed to be Golden Axe: Beast Rider later that year.

While Sega continued its expansion in the West, on May 8, 2006, it was announced Sega of Japan begun helping famed Sega developer and Sonic Team head Yuji Naka (known for being the main programmer for the original Sonic the Hedgehog games and Nights into Dreams...) to start up his own company titled "Prope" (Latin for "beside" and "near future")[41] in which Sega helped provide 10% startup capital[42] and have the option to publish games produced from the studio if they wished to.

Due to the continued success of Sega’s software sales, the company reported on May 17, 2006 a 31% rise in net profits from that of the previous year of the period ending March 31, 2006, being posted at ¥66.2 billion ($577 million), as well as an increase in operating profit growing by 13% from the previous year, being posted at ¥553.2 billion ($4.82 billion).[43] Notable titles to have helped Sega increase profits in the West, such as Shadow the Hedgehog (which sold over a million copies)[44] and Sonic Riders, whilst in Japan, games such as Yakuza, Mushiking and Brain Trainer Portable continued to have strong sales.

Although Sega seemed poised to continue increasing profits, the company reported a massive drop of 93% profits for the period ending June 30, 2006 compared to the same period the previous year. Net income for the company dropped from $98.3 million (a year earlier) to $7.12 million for this period as well as total sales dropping from $926.5 million to $809.1 million,[45] Sega reported that the decrease in profits was due to no significant big releases by its slot machine division.

Despite this, Sega reported in November a massive 52% rise in profits for the periods between April and September 2006, compared to the same period last year.[46] Software sales for the company had also increased with 5.75 million. Of those units, 1.76 million were sold in Japan, 1.59 million in Europe, 2.36 million in the US and 30,000 in other regions.[47] a number of titles were said to have performed well, in particular Super Monkey Ball: Touch & Roll for the Nintendo DS and Football Manager 2006 for the Xbox 360 having sold well. While Sega performed better in 2006, they had slashed their forecasts for the year ending March 2007 by 20% with an anticipated profit of $536.7 million, down from the initial profits of $656.7 million.

On August 26, 2007, IGN Australia announced that Sega would re-establish itself in Australia, ending THQ Asia Pacific's distribution of Sega products in Australia. Sega Australia has a very close relationship with Nintendo Australia, despite Sega Ozisoft and NAL previously being rivals in the Australian gaming market. Sega Australia currently do not distribute in New Zealand, instead like most other Australian publishers, they opt to let retailers take care of the distribution e.g. EB Games Australia and Kmart.

Continuing to prepare more games for the Western market, Sega was able to bridge a partnership with New Line Cinema in September to develop a game for the movie tie-in game The Golden Compass [48] and also partnered themselves with Fox to develop two new games based on the Alien franchise.[49] Sega then assigned critically acclaimed developers Gearbox software to develop a first person shooter (Aliens: Colonial Marines) and Obsidian Entertainment to develop an RPG based on the popular film franchise for the PlayStation 3, Xbox 360, and PC. The latter was cancelled for undisclosed reasons by Sega. However Aliens: Colonial Marines is still in production by Gearbox and has an expected release date of 2010. Sega has also been publishing games from independent studios (such as Platinum Games), and is currently considering turning them into franchises.

Sega has also designed an online flash game site dubbed "PlaySEGA," which includes both original games and ports of classic games, with retro Sonic games being promised in the long run.[50] Users of this site earn various amounts of "PlaySEGA Rings," which they can use to customize and house their avatar or enter weekly cash drawings.

On February 10, 2009, Sega approved a patent for two controller designs, one that looks similar to the Sega Saturn 3D pad with a added touch screen device and one that looks similar to the Mega Drive/Genesis 6-button pad.[51] Sega also approved a patent for USB Flash Memory cards and Hard drive on July 7, 2009.[52] Because of these patents, rumors have been spreading that Sega is going to release a new home console based on Ring hardware in 2010 or 2011. There have also been rumors about a "Dreamcast 2" and the "Sega Phoenix". Sega announced that it has hired a company for a licensed console called "Sega Zone". It's an updated Zone 40(available in Europe)with 20 classic Sega titles and 30 other games. Sixteen of those games will be motion-controlled. The system will not run additional games that do not come with the system. It's a plug in and play interface. The package will come with two controllers that are similar to the Wii Remote. It's will be released in the Summer and will be priced at £50 (about $80 US). This is an official Sega licensed product, and not a console that has been officially designed by Sega, nor is it rumored Ringedge console.

In September 2009, evidence was uncovered[53] that suggests Sega is expanding into the online gambling sector with the launch of an online casino and poker room in October 2009.

Software studios

Currently, the Consumer R&D Division focuses on development of game software for consoles, handhelds and mobiles. The division is headed by Toshihiro Nagoshi [54] The Amusement R&D Division focuses on the development of game software for arcade and slot machines. The division is headed by Hiroshi Yagi.[55]

Hardware teams

Hideki Sato is the primary man responsible for every Sega Arcade and Home Consumer System ever made. The Sega Saturn was designed by Away Team.

Recognized company personnel

In alphabetical order

Corporate personnel

American

  • Charles Bellfield: Former vice president of strategy and corporate affairs
  • Simon Jeffery: Recruited from Lucas Arts, Simon Jeffery President SOA (2003–2009)
  • Tom Kalinske: President SOA (1991–1996), Former Board Member (1990s)
  • Michael Katz: President SOA (1989–1991)
  • Peter Moore: Vice President (199X–1999) President SOA (1999–2003)
  • David Rosen: Co-Founder, Board Member
  • Scott Steinberg: Vice president of marketing SOA (2003–2007)
  • Bernie Stolar: Recruited from Sony, President SOA (1996–1999)
  • Bruce Lowry: President SOA (1986–1988)[56]

Australian

  • Jonathan Clavin: Former Sega President of Australian Intercontinental Operations (1987–2001)
  • Darren MacBeth: Managing Director of Sega Australia's operations.[57]
  • Vispi Bhopti: PR for Sega Australia Pty Ltd and former Nintendo Australia PR.[57]

European

  • Mike Hayes: President Sega West (2009–present)[58]
  • Robert Deith: Former Chairman of Board, Former CEO Sega Europe
  • James P. Hopwood: Past Chair of Board
  • William S. Polchinski: Former Senior Assistant Chairman of Sales and Marketing Division (1999–2004)

Japanese

  • Hayao Nakayama: Co-Founder, President SOJ (1984–1998)
  • Shoichiro Irimajiri: President SOJ (1998–2000)
  • Isao Okawa: President SOJ (2000–2001) (died shortly after Dreamcast was discontinued, forgave the debts Sega owed him and gave the company his $695 million worth of Sega and CSK stock to Sega Corporation.)[59]
  • Hisao Oguchi: President SOJ (2001–2004)

Korean

  • Yasutaka Sato: President SPK (2005–2008)
  • Kazunobu Takita: President SPK (2008–present)

Research & Development

Hardware Division

  • Hideki Sato Head of Sega Away Team (1985–2001) (also called Sega Hardware Team R&D)

Video Game Software Division

  • Toshihiro Nagoshi: H NE R&D 1 also known as CS1 Team.
  • Mie Kumagai: Head of AM R&D 3, only studio with a female HOD.
  • Yuji Naka: Co-creator of company mascot, owner of development studio Prope.
  • Yu Suzuki: Head of New Entertainment R&D 2 (also called DigitalRex).

Advertisement campaigns

Sega has had a long history of different slogans and ad campaigns.

Arcade

  • The Arcade Experts. (early 80s)

Sega Master System

  • The challenge will always be there.
  • Major fun and games!
  • Now, there are no limits.
  • Hot hits today! More hits on the way!
  • Do me a favor, plug me into a Sega (talking TV).

Mega Drive/Genesis

  • Genesis does what Nintendon't!
  • Blast Processing
  • The name "Sega!" being composed by a "choir".
  • Welcome To The Next Level. (Also used for the Game Gear. Referenced in Shadow The Hedgehog)
  • To be this good takes AGES, To be this good takes Sega.
  • Siga Sega! ("Follow Sega!", used in Brazil during the early 90s)
  • Sega, c'est plus fort que toi ! ('Sega, it's stronger than you!', cult French TV slogan, early 90s)
  • 16 bit arcade graphics!
  • Cyber Razor Cut
  • La Ley del Más Fuerte (The Law of the Strongest, Spanish slogan from 1993–94)
  • The more you play with it, the harder it gets.[60]
  • Pirate TV (Britain)
  • Canal Pirata Sega (Spain)
  • Sega,é mais forte que tu (Sega, It's stronger than you, Portugal, early 90s)

Saturn

  • A little bit too real (early print ad in the US)
  • Welcome to the Real World - Sega Saturn. (Early UK TV slogan)
  • Segata Sanshiro: "Sega Saturn Shiro!" ("Play Sega Saturn!")
  • When you have Sega Saturn, nothing else matters.
  • The Game is Never Over (also used in last European Mega Drive commercials.)
  • Peligrosamente real (Dangerously Real. 1st Spanish slogan)
  • Contraprográmate (De-Program-Yourself, Spain, 1997)
  • The Plaything ad.
  • The Theater of the eye (mid-90s US ad.)
  • Nous ne sommes pas sur la même planète ('We are not on the same planet', French slogan in the mid 90s)
  • Perigosamente Real (Dangerously Real, Portugal.)

Dreamcast

  • It's Thinking. (tagline used in US launch)
  • Up to 6 billion players. (tagline used in Europe launch)

Post Dreamcast years (2002–2003)

  • The return of the "Sega!" choir.

Seal of Quality

The Sega Seal of Quality.

The Sega Seal of Quality was an icon placed on the packaging of all video games that had Sega's official approval to be played on a Sega console system. As was the case with the Nintendo Seal of Quality, the intention behind the "seal" was to avoid the mistakes that led to the Video Game Crash of 1983 by ensuring that games were compatible with the intended Sega console system, and to censor content that Sega felt was inappropriate for their image.

The Sega Seal of Quality was an icon that Sega put on its own video games along with certain video games published by a third party software developer. As was the case with the Nintendo Seal of Quality, the Sega seal appeared on a video game's box and marketing as a means of informing the consumer that Sega had previewed the game before its release to ensure that the game was fully compatible for its intended home console system, and had met a certain level of Sega's standard of quality (in terms of graphics, sound, challenge and possible offensive content). However, the Sega Seal of Quality was otherwise very different than the Nintendo Seal of Quality.

In a 1993 magazine advertisement,[61] Sega described the meaning of their Seal of Quality as follows:

The Sega Seal of Quality. With it, you're assured a game has passed the most rigorous battery of quality control and playability tests ever devised, and that it pushes the limits on the fun meter. What's more, the Seal guarantees the game, when used properly and not as a door stop, will not damage a Sega Genesis, Sega CD or color portable Game Gear. Without the Seal? Well, about the only thing we can guarantee is that you could be setting yourself up for a big, big headache. If that happens, don't come crying to us.

Sega never required a third party software developer to earn the official Sega Seal of Quality as a precondition for publication, although most developers chose to do so. Furthermore, a game could earn the seal even if it contained certain themes that its major competitor, Nintendo, would have prohibited: blood, scantily clad female villains, and graphic violence. Hence, the Sega Seal of Quality was given out to Sega Genesis games that depicted blood (Splatterhouse 2, Techno Cop), and scantily clad females (Streets of Rage, Final Fight CD).

Video games released on a Sega home console system were still censored for other taboo or controversial depictions, i.e. profanity, nudity, prostitution, homosexuality. However, this was done by the software developer and not as a requirement issued by Sega to the developer.

In 1993 Sega of America permitted Acclaim to keep the graphic violence and gore in its port of Midway's popular arcade game titled Mortal Kombat. As this game and other games sparked a national controversy over the violent content in video games, Sega created the Videogame Rating Council to give a descriptive rating to every game sold on a Sega home console system in the United States. This rating, along with the seal, would appear on the game's box and marketing. Some Sega CD games such as Rise of the Dragon, Snatcher, and Eternal Champions took advantage of the rating system to depict or make reference to taboo subject matter. However, the video game controversy of the early 1990s, along with the fact that Sega of America was never entirely clear on how the rating system operated, meant that few companies took advantage of the rating system to market video games to an older audience.

The Videogame Rating Council was phased out in 1994 with the adoption of the industry wide Entertainment Software Ratings Board. Sega gradually shifted the scope of their seal of quality to focus less on content and more on assuring consumers that a game was fully compatible with its intended home console system. The Seal was dropped in 2001, at the height of the Dreamcast's lifecycle.

See also


References

  1. ^ SEGA Corporation Company Profile, Information, Business Description, History, Background Information on SEGA Corporation
  2. ^ Kent, Steven. "The Seeds of Competition". The Ultimate History of Video Games: From Pong to Pokémon and Beyond- The Story That Touched Our Lives and Changed the World (First ed.). Roseville, California: Prima Publishing. p. 305. ISBN 0-7615-3643-4. "Service Games began in 1952" 
  3. ^ a b Shahed Ahmed (Jan-31-2001). "Sega announces drastic restructuring". GameSpot. http://www.gamespot.com/news/2680518.html. 
  4. ^ "Corporate." Sega. Retrieved on January 13, 2009.
  5. ^ Angwin, Julie and Laura Evenson. "Sega Expected to Move HQ To S.F. From Redwood City." San Francisco Chronicle. Thursday June 11, 1998. Retrieved on January 13, 2009.
  6. ^ "Sega Enterprises, Ltd. Changes Company Name". November 1st, 2000 - Sega Corporation.
  7. ^ a b http://www2.sega.com/corporate/corporatehist.php - Sega Of America
  8. ^ periscope gun game, sega enterprises, ltd. (1968)
  9. ^ GameCenter CX - 2nd Season, Episode 13
  10. ^ "Sega Takes Aim at Disney's World (Page 4 of 4)" The New York Times by Andrew Pollack: Sunday, July 4, 1993
  11. ^ Sega Master System (SMS) - 1986-1989 - Classic Gaming
  12. ^ Ken Horowitz (2006-04-28). "Interview: Michael Katz". Sega-16.com. http://www.sega-16.com/feature_page.php?id=103&title=Interview:%20Michael%20Katz. Retrieved 2009-03-28. 
  13. ^ Ken Horowitz (2005-02-18). "Tom Kalinske: American Samurai". Sega-16.com. http://www.sega-16.com/feature_page.php?id=245&title=Tom%20Kalinske:%20American%20Samurai. Retrieved 2009-03-28. 
  14. ^ a b The 1990's
  15. ^ a b Download Sega Genesis Roms - Starting with S
  16. ^ Top Sega CD Games - Best Sega CD Video Games - Best Sega CD Games - Top Sega CD Video Games
  17. ^ a b Gamasutra - Feature - "A Detailed Cross-Examination of Yesterday and Today's Best-Selling Platform Games"
  18. ^ A History of Home Video Games from Atari to Xbox, Playstation and Wii
  19. ^ PlanetDreamcast: About - Sega History
  20. ^ The SEGA Channel - Retro Feature at IGN
  21. ^ Reverse Engineering
  22. ^ Sega, Bandai Merger Canceled - News at GameSpot
  23. ^ Vidgame.net: Sega Dreamcast (archive.org)
  24. ^ Brandon Justice (2001-01-23). "Sega Sinks Console Efforts?". IGN. http://dreamcast.ign.com/articles/090/090435p1.html. 
  25. ^ "弊社ドリームキャスト事業に関する一部の報道について". Sega. 2001-01-24. http://sega.jp/corp/release/2001/0124/. 
  26. ^ Anoop Gantayat (2001-01-23). "Sega Confirms PS2 and Game Boy Advance Negotiations". IGN. http://dreamcast.ign.com/articles/090/090442p1.html. 
  27. ^ "Sega Enterprises, Ltd. Annual Report 1998" (PDF). Sega via Internet Archive. Archived from the original on 2002-06-17. http://web.archive.org/web/20020617182247/http://sega.jp/IR/en/ar/ar1998/ar98.pdf. 
  28. ^ "Sega Corporation Annual Report 2000" (PDF). Sega via Sega Sammy Holdings. http://www.segasammy.co.jp/english/ir/pdf/ir/kako/sega_AR_all_2000.pdf. Retrieved 2010-03-12. 
  29. ^ "Sega Corporation Annual Report 2002" (PDF). Sega via Sega Sammy Holdings. http://www.segasammy.co.jp/english/ir/pdf/ir/kako/sega_AR_all_2002.pdf. Retrieved 2010-03-12. 
  30. ^ "Sega Corporation Annual Report 2004" (PDF). Sega via Sega Sammy Holdings. http://www.segasammy.co.jp/english/ir/pdf/ir/kako/sega_AR_all_2004.pdf. Retrieved 2010-03-12. 
  31. ^ "Analysts say Sega taking its toll on CSK's bottom line" Taipei Times via BLOOMBERG, Tokyo - Thursday, Mar 13, 2003, Page 12
  32. ^ "Late Sega exec leaves legacy, new leadership" Tokyo, Japan CNN By Kristie Lu Stout - March 19, 2001
  33. ^ "Microsoft Explores A New Territory: Fun (Page 2 of 5)" The New York Times By Chris Gaither - November 4, 2001
  34. ^ Sammy merging with Sega - News at GameSpot
  35. ^ Kikizo Staff. Tetsuya Mizuguchi Interview 2005. October 13, 2005. Retrieved August 13, 2008.
  36. ^ http://www.segasammy.co.jp/english/pdf/release/Notice070206-Adjustment%20_2_.pdf
  37. ^ SEGA signs Obsidian for next-generation RPG // GamesIndustry.biz
  38. ^ SEGA acquires Sports Interactive // GamesIndustry.biz
  39. ^ Sega deal is worth "circa GBP 30m" - Sports Interactive boss // GamesIndustry.biz
  40. ^ SEGA establishes new internal development arm in US // GamesIndustry.biz
  41. ^ 株式会社プロペ 公式サイト
  42. ^ Sonic creator sets up new studio with help from SEGA // GamesIndustry.biz
  43. ^ http://www.segasammy.co.jp/english/pdf/release/tanshin_english_final.pdf
  44. ^ Sega Sammy reports 31 per cent rise in profits // GamesIndustry.biz
  45. ^ http://www.segasammy.co.jp/english/pdf/release/200703_1q_e.pdf
  46. ^ http://www.segasammy.co.jp/english/pdf/release/200609tanshin_englishver_1110.pdf
  47. ^ Sega Sammy sees 52 per cent profits rise // GamesIndustry.biz
  48. ^ http://web.archive.org/web/20061109161314/http://www.sega-europe.com/en/NewsStory/1293.htm
  49. ^ ALIENS
  50. ^ PlaySEGA
  51. ^ "Controller and expansion unit for controller". http://www.patentgenius.com/patent/7488254.html. 
  52. ^ {{cite web|url=http://www.patentgenius.com/patent/7556197.html |title=Card stack reader, card thereof, card case, method for manufacturing card, game machine using the same, computer-readable storage medium on which game program is recorded}}
  53. ^ Sega online casino and poker rumours confirmed
  54. ^ Satomi, Hajime (2009-03-31). "Sega Sammy Notice of Personnel and Organizational Changes". http://www.segasammy.co.jp/english/pdf/release/20090331_e_.pdf. 
  55. ^ Cite error: Invalid <ref> tag; no text was provided for refs named Hajime_1986_Satomi; see Help:Cite error.
  56. ^ Bruce Lowry - LinkedIn
  57. ^ a b IEAA Report on Sega Australia
  58. ^ Hayes set for global Sega role | Games Industry | MCV
  59. ^ Kent, Steven. "Three Horses and a Pony". The Ultimate History of Video Games: From Pong to Pokémon and Beyond- The Story That Touched Our Lives and Changed the World (First ed.). Roseville, California: Prima Publishing. p. 589. ISBN 0-7615-3643-4. "In his last days, Okawa forgave Sega's debts to him and returned all of his shared of Sega and CSK stock as a gift-in Sega's case, a $695 million gift that would help the company survive the transition of becoming a mulitplatform software manufacturer." 
  60. ^ Sega Mega Drive Advertisement
  61. ^ Fors Yard

External links


Wiktionary

Up to date as of January 15, 2010

Definition from Wiktionary, a free dictionary

Contents

English

Etymology

From the first letters of service games, the company's earliest products being aimed at American servicemen on military bases.

Proper noun

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Wikipedia has an article on:

Wikipedia

Singular
Sega

Plural
-

Sega

  1. (video games, trademark, corporation) A video game developer and publisher and manufacturer of arcade games and formerly of video game consoles.
  2. Any of various video game consoles manufactured by this company.
    • 2007, S Westwood, Suicide Junkie
      I would lay in bed for a few hours playing games on my Sega, getting totally absorbed in it as though it were all real and then I would sleep for the rest of the day.

Translations

Anagrams


Strategy wiki

Up to date as of January 23, 2010
(Redirected to Category:Sega article)

From StrategyWiki, the free strategy guide and walkthrough wiki

Sega
Sega's company logo.
Founded 1965 (merger of Service Games and Rosen Enterprises)
Located Ota, Tokyo, Japan
Website http://sega.com/

Founded in 1940, Sega started up as "Standard Games" in Hawaii as a business to provide coin-operated amusements for military bases. The company moved to Tokyo, Japan in 1952 as "Service Games of Japan". In 1954, Rosen Enterprises Inc. was established by another American businessman to export art, but found great success with coin-operated photobooths and expanded into coin-operated games.

Sega Enterprises was officially formed in 1965 when Service Games and Rosen Enterprises merged; their first hit was a submarine simulator called "Periscope".

Over the next few decades Sega changed hands a couple of times, owned first by Gulf+Western, producing Frogger and Zaxxon. Gulf+Western then sold the US portion of Sega to the pinball business Bally Manufacturing after the videogame crash in 1983, while the Japanese business was bought by Rosen Enterprises founder David Rosen and Japanese businessman Hayao Nakayama. In 1984 the Japanese conglomerate CSK bought Sega and relocated its entire business to Japan under the name Sega Enterprises Ltd. The American subsidiary, Sega of America, was founded in 1986 to cash in on the growing videogame market there, launching the Sega Master System against Nintendo's NES.

The Sega Mega Drive (Genesis in the US) launched in 1989, accompanied by a new mascot in the shape of Sonic The Hedgehog, and a directly anti-Nintendo advertising campaign. This didn't pay off, and the company lost market share in the face of Nintendo's strong Super Nintendo lineup and the commercial failures of the 32X and Sega CD.

The Sega Saturn followed in 1994 (1995 in America), but despite strong Japanese sales the machine failed to gather momentum in America. Sega's last-ditch attempt to recapture part of the home console market was the Dreamcast in 1998/1999. Like the Saturn, the Dreamcast got off to a strong start but was ultimately devastated by Sony's PlayStation 2 before being discontinued in 2001 — a move which signaled the end of Sega's home console ambitions.

Sega is currently owned by Viacom and the Japanese conglomerate Sammy, under the official name Sega Sammy Holdings.


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Gaming

Up to date as of February 01, 2010

From Wikia Gaming, your source for walkthroughs, games, guides, and more!

Sega Corporation
株式会社セガ
SEGA Logo
Type Subsidiary of Sega Sammy
Founded Standard Games (1940)[1]; Service Games (May 1952[2])
Headquarters International:
Ōta, Tokyo, Japan
USA:
San Francisco, California, USA
Europe:
Chiswick, London, UK
Australia:
Sydney, New South Wales, AU
Products Sonic The Hedgehog, Total War, Virtua Fighter, Virtua Tennis, Shenmue, House of The Dead

Master System, Genesis/Mega Drive, Game Gear, Sega 32x, Sega CD, Nomad, Sega Pico, Saturn, Dreamcast

Parent Company Sega Sammy Holdings (October 1, 2004)
Website Sega Corporation (Japan)
Sega of America
Sega Europe
Sega Mobile
PlaySega

Sega Corporation (株式会社セガ, Kabushiki kaisha Sega) is a multinational video game software and hardware development company, and a home computer and console manufacturer headquartered in Ōta, Tokyo, Japan. The company had success with both arcades and home consoles, but on January 24, 2001, formally left the consumer console business and began concentrating on software development for multiple third-party platforms.[3]

Sega's main offices, as well as the main offices of its domestic division, Sega Corporation (Japan), are located in Ōta, Tokyo, Japan. Sega's European division, Sega Europe Ltd., is headquartered in the Chiswick area of London. Sega's North American division, Sega of America Inc., is headquartered in San Francisco, California; having moved there from Redwood City, California in 1999.[4][5] Sega Australia's headquarters are located in Sydney, New South Wales

Until 2000, Sega's official corporate name was Sega Enterprises Ltd.

Contents

History

Origins and entry into the video game market (1945–1989)

Sega was founded in 1940 as Standard Games (later Service Games) in Honolulu, Hawaii, United States,[6] by Martin Bromely, Irving Bromberg, and James Humpert to provide coin-operated amusements for American servicemen on military bases. Bromely suggested that the company move to Tokyo, Japan in 1951 and in May 1952 "SErvice GAmes of Japan" was registered.

In 1954, another American businessman, David Rosen, fell in love with Tokyo and established his own company, Rosen Enterprises, Inc., in Japan to export art. When the company imported coin-operated instant photo booths, it stumbled on a surprise hit: The booths were very popular in Japan. Business was booming, and Rosen Enterprises expanded by importing coin-operated electro-mechanical games.

Rosen Enterprises and Service Games merged in 1965 to make Sega Enterprises. Within a year, the new company released a submarine-simulator game called Periscope that became a smash-hit worldwide.

In 1969, Gulf+Western purchased Sega, and Rosen was allowed to remain CEO of the Sega division. Under Rosen's leadership, Sega continued to grow and prosper.

In the video game arcades, Sega was known for games such as Zaxxon and Out Run. Sega's revenues would hit $214 million by 1982 and in 1983, [7]Sega would release its first video game console, the SG-1000, the first 3D arcade video game, SubRoc-3D, which used a special periscope viewer to deliver individual images to each eye, and the first laserdisc arcade game, Astron Belt.

In the same year, Sega was hit hard by the American video game crash. Hemorrhaging money, Gulf+Western sold the U.S. assets of Sega to famous pinball manufacturer Bally Manufacturing Corporation. The Japanese assets of Sega were purchased for $38 million by a group of investors led by Rosen and Hayao Nakayama, a Japanese businessman who owned a distribution company that had been acquired by Rosen in 1979. Nakayama became the new CEO of Sega, and Rosen became head of its subsidiary in the United States.

In 1984, the multibillion dollar Japanese conglomerate CSK bought Sega, renamed it to Sega Enterprises Ltd., headquartered it in Japan, and two years later, shares of its stock were being traded on the okyo Stock Exchange]. David Rosen's friend, Isao Okawa, the chairman of CSK, became chairman of Sega.

In 1986, Sega of America was established to take advantage of the resurgent video game market in the United States.

Sega would also release the Sega Master System and the first Alex Kidd game, who would be Sega's mascot until 1991 when Sonic the Hedgehog took over. While the Master System was technically superior to the NES[8], it failed to capture market share in North America due to highly aggressive strategies by Nintendo and ineffective marketing by Tonka. However, it did dominate the European and Brazilian markets until Sega discontinued the system in Europe in 1996, and in Brazil in 2000.

Sega as a Major Console Manufacturer (1988-2001)

Sega Mega Drive/Genesis

Main articles: Sega Mega Drive and Sega Genesis
Sega Mega Drive, European/Australasian (PAL) version.
Sonic the Hedgehog has been Sega's mascot since his introduction in 1991.

With the introduction of the Sega Mega Drive (known as Sega Genesis in North America), and to carry the momentum to the new generation of games, Sega of America, led by Tom Kalinske, launched an anti-Nintendo campaign with it's slogan, "Genesis does what Nintendon't." When Nintendo launched its Super Nintendo Entertainment System, in 1991, Sega changed its slogan to "Welcome to the next level".

In 1991, in order to rival Nintendo to the punch of the upcoming Super Nintendo, Sega re-branded itself with a new game and mascot, Sonic the Hedgehog. With his hip attitude and style, he was marketed to seem "cooler" than Mario, Nintendo's mascot.[9] This shift led to a wider success for the Genesis and would eventually propel Sega to 65% of the market in North America for a brief time.[10] Simultaneously, after much previous delay, Sega released the moderately successful Sega CD as an add-on feature, allowing for extra storage in games due to their CD-ROM format, giving developers the ability to make longer, more sophisticated games, the most popular of which was Sega’s own Sonic CD.[11]

By 1994, Sega had released the Sega 32X in an attempt to upgrade the Mega Drive to the standards of more advanced systems. It sold well initially, but had problems with lack of software and hype about the upcoming Sega Saturn and Sony's Playstation. Within a year, it was in the bargain bins of many stores.[12]

Sega versus Accolade

In 1992, Sega lost the Sega v. Accolade case, which involved independently produced software for the Sega Mega Drive/Genesis console that copied a small amount of Sega's code. The verdict set a precedent that copyrights do not extend to non-expressive content in software that is required by another system to be present in order for that system to run the software [13]. The case in question stems from the nature of the console video game market. Hardware companies often sell their systems at or below cost, and rely on other revenue streams such as in this case, game licensing. Sega was attempting to "lock out" game companies from making Mega Drive/Genesis games unless they paid Sega a fee (something its competition was also doing). Their strategy was to make the hardware reject any cartridge that did not include a Sega trademark. If an unlicensed company included this trademark in their game, Sega could sue the company for trademark infringement. Though Sega lost this lawsuit, all later Sega systems seemed to incorporate a similar hardware requirement. Also worthy of note was the release of the successful Virtua Racing in the arcades and on the Genesis, among the first 3D games on the market, as well as the release of Sonic the Hedgehog 2, the most successful game Sega ever made,[14] selling six million copies as of June 2006.[14]

Arcade successes

The 1993 release of Virtua Fighter was widely hailed as one of the greatest achievements in Sega's history, by utilizing their newest arcade cabinet, the Sega Model 1, they managed to create graphics and gameplay that were, at the time, revolutionary, becoming a massive critical success. The game was a smash hit with consumers, spawning four direct sequels, several successful spinoffs, as well as the 3D Fighting genre. It is one of the video games on display at the Smithsonian.

Sega World Sydney, one of several indoor-theme parks operated by SEGA in the Nineties.

Sega followed that success in 1994 with Daytona USA. The success of Daytona USA would be unparalleled in the history of the arcades, becoming the most profitable game ever released in that medium. Other notable hits of the year would be Yu Suzuki's Virtua Cop and Star Wars Arcade.

In 1994 Sega acquired Data East's pinball and video game divisions[15], ending Data East's presence in America and re-entering the pinball market for the first times since 1978. Their video games division was folded into Sega's North American operations but the pinball division continued to operate out of Illinois. The pinball industry had already fallen on hard times and by 1997 Sega and WMS Industries (which sold pinball machines under the Bally and Williams labels) were the only two remaining pinball manufacturers in the world. In 1999, after only 5 years of making pinball machines Sega sold its pinball division to Gary Stern, who had been running the company since its founding as Data East Pinball in 1986.[16] Gary Stern turned the division into an independent company and named it Stern Pinball, Inc.

Despite their massive advances in the arcades, Sega’s share of the home market plummeted by 1994 to 35%.[10] In 1994, the Sega 32X was released; however, it never achieved commercial success in light of Sega's attention on the forthcoming Saturn.[17] Also in 1994, Sega launched the Sega Channel, a subscription gaming service delivered by local cable companies affiliated with Time-Warner Cable or TCI through which subscribers received a special cartridge adapter that connected to the cable connection. At its peak, the Sega Channel had approximately 250,000 subscribers.[18]

Sega Saturn

Main article: Sega Saturn

On May 11, 1995, Sega released the Sega Saturn (with Virtua Fighter) in the American market, which utilized a 32 bit processor and preceded both the PlayStation and the Nintendo 64. However, poor sales in the West (including the traditional stronghold markets in Europe) led to the console being abandoned.[9] Notable titles include several titles exclusive to the Japanese market, like Radiant Silvergun and Sakura Taisen, involving fighting games like Last Bronx, rail shooters, such as Panzer Dragoon and The House of the Dead and a few well regarded RPGs; Panzer Dragoon Saga, Grandia, and Shining Force 3.

In 1997, Sega entered into a short-lived merger with Bandai. However it was later called off, citing "cultural differences" between the two companies.[19] Entertainment fun center GameWorks, was founded in 1997 as well as the now defunct Sega World theme parks.

Dreamcast

Main article: Dreamcast
Sega Dreamcast.

On September 9th, 1999 (the date 9/9/99 featured heavily in U.S. promotion), Sega launched the Dreamcast game console in North America. The Dreamcast was not only competitive price wise, partly due to the use of off-the-shelf components, but it also featured technology that allowed for more technically impressive games than its direct competitors, the Nintendo 64 and Sony PlayStation. An analog 56k modem was also included, allowing gamers to play multi-player games online on a home console for the first time, featuring titles such as the action-puzzle title Chu Chu Rocket, Phantasy Star Online, the first console-based MMORPG, and the innovative Alien Front Online, the first console game with online voice chat.

The Dreamcast's launch in Japan caused a failure. Launching with a small library of generally uninteresting software and in the shadow of the upcoming PS2, the system would not gain great success, despite several successful games in the region. The Western launch a year later was accompanied by a large amount of both 1st party and 3rd party software and an aggressive marketing campaign. It was extremely successful and earned the distinction of "most successful hardware launch in history," selling a then-unprecedented 500,000 consoles in its first week in North America. [20] Sega was able to hold onto this momentum in the US almost until the launch of Sony's PlayStation 2. The Dreamcast is home to several innovative and critically acclaimed games of the time, including one of the first cel-shaded titles, Jet Set Radio; Seaman, a game involving communication with a fish-type creature via microphone; a rhythm game involving the use of maracas, Samba de Amigo; and Shenmue, an adventure game of vast scope with freeform gameplay and a striking attempt at creating a detailed in-game city. Despite receiving critical acclaim, these titles failed to garner much public attention in the face of the upcoming Playstation 2 launch.

Faced with debt and competition from Sony, Nintendo, and Microsoft, Sega officially discontinued the Dreamcast hardware in 2002. The final game Sega released for it was NHL 2K2.

Shift to a software manufacturer (2002-2005)

2002 would see a major shift in focus for Sega as it moved out of the console manufacturing business.[3]

The company has since developed primarily into a platform-agnostic software company, known as a "third-party publisher", that creates games that will launch on a variety of game consoles produced by other companies, many of them former rivals, the first of which was a port of Chu Chu Rocket to Nintendo's Game Boy Advance.

Arcade units are still being produced, first under the Sega NAOMI name, and then with subsequent releases of the Sega NAOMI 2, Sega HIKARU, Sega Chihiro, Triforce (in collaboration with Nintendo and Namco) and the Sega Lindbergh.

Despite several early hits as a third party vendor, including Virtua Fighter 4, Sonic Adventure 2 Battle and the new Super Monkey Ball series, Sega fell on hard times, and after the death of CSK founder Isao Okawa in 2001, who spent over US$40 million to help Sega, CSK put Sega on the auction block. The first potential buyer was Japan's Sammy who discussed a merger, but plans fell through. Discussions also took place with Namco, Bandai, Electronic Arts and Microsoft.

In August 2003, Sammy bought the outstanding 22% of shares that CSK had,[21] and Sammy chairman Hajime Satomi became CEO of Sega. With the Sammy chairman at the helm of Sega, it has been stated that Sega's activity will focus on its profit-making arcade business rather than its loss-making home software development. In late December, Sega launched the Sonic Heroes selling over 2 million copies. It was the first Sonic game to be on both the Xbox and the PlayStation 2.

During the middle of 2004, Sammy bought a controlling share in Sega Corporation at a cost of $1.1 billion, creating the new company Sega Sammy Holdings, one of the biggest game manufacturing companies in the world. With the merger, Sega reabsorbed its second party studios and began to reorganize them. Tetsuya Mizuguchi, father of Sega Rally and Space Channel 5, cited the changes in the corporate culture after the Sega-Sammy merger.[22]

On January 25, 2005, Sega sold Visual Concepts, a studio Sega dubbed a "1.5" developer, to Take-Two Interactive for $24 million. Sega used the parlance "1.5" as a mid-point of sorts between first-party and second-party developer status: that is, a wholly owned studio that would otherwise be known as a first-party developer, but was outside of internal development teams. Visual Concepts was known for many Sega Sports games including the ESPN NFL Football series, formerly NFL2K. The sale also came with Visual Concept's wholly-owned subsidiary Kush Games. Take Two subsequently announced the start of the publishing label 2K Games because of this purchase.

Success again (2006-present)

By the end of 2005, Sega experienced strong earnings growth across multiple divisions. Contributing to the company's success were strong pachinko sales[23], and sales of software titles Ryu Ga Gotoku (known as Yakuza outside of Japan), Mushiking, and Sonic the Hedgehog.

In an effort to appeal to western tastes, they partnered with Obsidian Entertainment to develop a new RPG for the PlayStation 3, Xbox 360, and PC based on the Aliens Franchise.[24] The partnership was the latest in a series of collaborations with western video game studios, including Monolith Productions (Condemned: Criminal Origins), Bizarre Creations (The Club), and Silicon Knights (who have yet to announce their project with Sega).

That desire to have a more Western appeal for Sega was shortly followed up by Sega acquiring British developer Sports Interactive after a successful run of publishing Football Manager 2005 and 2006, in which they managed to sell 1.5 million copies,[25] the deal was said to be worth in the region of £30 million ($52 million) by Miles Jacobson, Sports Interactive’s Managing Director.[26] This was, however, not the only developer Sega had acquired, they also purchased American developer Secret Level although the terms of the deal was not disclosed,[27] Secret Level had however begun work before being bought by Sega to “recreate a classic Sega franchise" for the PS3 and Xbox 360 July 2005, which was revealed to be Golden Axe later that year.

While Sega continued its expansion in the West, on May 8, 2006, it was announced Sega of Japan begun helping famed Sega developer and Sonic Team head Yuji Naka (known for being the main programmer for the original Sonic the Hedgehog games and Nights into Dreams...) to start up his own company titled "Prope" (Latin for "beside" and "near future")[28] in which Sega helped provide 10% startup capital[29] and have the option to publish games produced from the studio if they wished to.

Due to the continued success of Sega’s software sales, the company reported on May 17, 2006 a 31% rise in net profits from that of the previous year of the period ending March 31, 2006, being posted at ¥66.2 billion ($577 million), as well as an increase in operating profit growing by 13% from the previous year, being posted at ¥553.2 billion ($4.82 billion)[30] notable titles to have helped Sega increase profits in the West being that of Shadow the Hedgehog (which sold over a million copies)[31] and Sonic Riders, whilst in Japan, games such as Yakuza, Mushi King and Brain Trainer Portable continued to sell strong.

Although Sega seemed poised to continue increasing profits, the company reported a massive drop of 93% profits for the period ending June 30, 2006 compared to the same period last of year. Net income for the company dropped from $98.3 million (a year earlier) to $7.12 million for this period ending as well of total sells dropping from $926.5 million to $809.1 million [1], Sega reported that the decrease in profits was due to no significant big releases by its slot machine division.

Despite this, Sega reported in November a massive 52% rise in profits for the periods between April and September 2006, compared to the same period last year.[32] Software sales for the company had also increased with 5.75 million. Of those units, 1.76 million were sold in Japan, 1.59 million in Europe, 2.36 million in the US and 30,000 in other regions.[33] a number of titles were said to have performed well, in particular Super Monkey Ball: Touch & Roll for the Nintendo DS and Football Manager 2006 for the Xbox 360 having sold well. While Sega performed better in 2006, they had slashed their forecasts for the year ending March 2007 by 20% with an anticipated profit of $536.7 million, down from the initial profits of $656.7 million.

Continuing to prepare more games for the Western market, Sega was able to bridge a partnership with New Line Cinema in September to develop a game for the movie tie-in game The Golden Compass [2] and also partnered themselves with Fox to develop two new games based on the Alien franchise.[34] Sega had then assigned critically acclaimed developers Gearbox software to develop a first person shooter and Obsidian Entertainment to develop an RPG based on the popular film franchise for the Playstation 3, Xbox 360, and PC. Sega has both titles in pre-production and one of them is set to be released in 2009.[35]

Recognized company personnel

  • In alphabetical order

Corporate Division

American

  • Charles Bellfield: Former vice president of strategy and corporate affairs
  • Simon Jeffery: Recruited from Lucas Arts, Simon Jeffery President SOA (2003 - )
  • Tom Kalinske: President SOA (1991 – 1996), Former Board Member (199X – 199?)
  • Michael Katz: President SOA (1989 - 1991)
  • Peter Moore: Vice President (199X – 1999) President SOA (1999 – 2003)
  • David Rosen: Co-Founder, Board Member
  • Scott Steinberg: Vice president of marketing SOA 2003 - 2007.
  • Bernie Stolar: Recruited from Sony, President SOA (1996 – 1999)

Australian

  • Jonathan Clavin: Former SEGA President of Australian Intercontinental Operations (1987-2001)
  • Dan MacBeth: Managing Director of Sega Australia's operations.
  • Vispi Bhopti: PR for SEGA Australia Pty Ltd and former Nintendo Australia PR.
  • Trevor Howell: Janitor

European

  • Robert Deith: Past Chair of Board
  • James P. Hopwood: Past Chair of Board
  • William S. Polchinski: Former Senior Assistant Chairman of Sales and Marketing Division (1999-2004)

Japanese

  • Hayao Nakayama: Co-Founder, President SOJ (1984-2001)
  • Isao Okawa: President SOJ 2000 - 2001 (died shortly after Dreamcast was discontinued, forgave the debts Sega owed him and gave the company his $695 million worth of Sega and CSK stock to Sega Corporation.)[36]
  • Shoichiro Irimajiri: President SOJ 1998 - 2000
  • Hidekazu Yukawa: aka Mr. Dreamcast, is the man on the Dreamcast boxes in Japan, and has an appearance in a promotional Dreamcast demo called What's Shenmue

Video Game Hardware Division

  • Hideki Sato Designer of all major hardware

Video Game Software Division

  • Toshihiro Nagoshi: Head of NE R&D 1.
  • Mie Kumagai : Head of AM R&D 3, only female studio head.
  • Yuji Naka: Co-creator of company mascot, owns independent studio, 10% funded by Sega.
  • Yu Suzuki: Head of AM Plus R&D (AKA NE R&D 2, DigitalRex).

In-house studios

Global Entertainment R&D Division, which was led by Yuji Naka until 2006, now head is by Hiroyuki Miyazaki. "GE" focuses on developing video games for home consoles, handheld consoles and mobile phones.

Department Members From Headed By Notable Titles
Global Entertainment R&D Dept. #1, Sonic Team Akinori Nishiyama Sonic the Hedgehog 2006, Sonic and the Secret Rings, Sonic Unleashed, Sonic and the Black Knight
Global Entertainment R&D Dept. #2, United Game Artists + Overworks Akira Nishino Feel the Magic: XY/XX, Sonic Riders, The Rub Rabbits!, Sonic Riders: Zero Gravity, Valkyria Chronicles, Seventh Dragon (production)
Global Entertainment R&D Dept. #3, Sonic Team Takao Miyoshi Phantasy Star Universe, Phantasy Star Zero
Sega Studio USA R&D Dept. (now defunct) Sonic Team USA Takashi Iizuka Shadow the Hedgehog, Nights: Journey of Dreams
Mobile Contents Development Dept. New Studio Kazunari Tsukamoto Brain Trainer Portable
Sega Studio China R&D Dept. (now defunct) Overworks Makoto Uchida Project Altered Beast

Amusement Software R&D Division which focuses on the development of games for arcade and slot machines. The division is headed by Yukio Sugino.

Department Members From Headed By Notable Titles
AM Software R&D Dept. #1 WOW Entertainment Atsushi Seimiya The House of the Dead 4, RAMBO, The House of the Dead EX
AM Software R&D Dept. #2 Sega-AM2 Hiroshi Kataoka Virtua Cop 3, Out Run 2, Virtua Fighter 5, After Burner Climax, Mahjong MJ4, R-Tuned
AM Software R&D Dept. #3 Hitmaker + Sega Rosso Mie Kumagai Sangokushi Taisen, Let's Go Jungle!, Virtua Tennis 3, Initial D Arcade Stage 4, Derby Owners Club 2008, Primeval Hunt
Family Entertainment R&D Dept. New Department Hiroshi Uemura Mushiking: King of the Beetles, Oshare Majo: Love and Berry, Dinosaur King
AM Plus R&D Dept. Digitalrex Yu Suzuki Psy-Phi, Sega Race TV

New Entertainment R&D Division which is led by Toshihiro Nagoshi. "NE" focuses on development of new content for both arcade and consumer markets.

Department Members From Headed By Notable Titles
New Entertainment R&D Dept. #1. Amusement Vision, Ltd. + Smilebit Toshihiro Nagoshi Yakuza series, Super Monkey Ball: Banana Blitz, Shining Force EXA (production), English of the Dead
Sports Design R&D Dept. Smilebit + Amusement Vision, Ltd. Takayuki Kawagoe Virtua Striker 4, Mario & Sonic at the Olympic Games, Let's Make a J-League Pro Soccer Club series, Let's Make a J-League Baseball Team series

Subsidiary studios

Sega began acquiring or founding subsidiary studios in 2005, and they have been the cornerstone of an internal shift within Sega to appeal to a more Western audience.

Department Division Year of purchase/founding Notable Titles
Secret Level Sega of America 2005 Golden Axe: Beast Rider, Iron Man
Sega Racing Studio Sega Europe 2005 (Dissolved in 2008) Sega Rally Revo
The Creative Assembly Sega Europe, Sega Australia 2005 Total War, Viking Battle for Asgard
Sports Interactive Sega Europe 2006 Football Manager series
Prope Sega Corporation (Japan) 2006 Let's Tap

Former Structure Prior to Sammy Merger

Sega of Japan's Studios

InHouse Name Name as Second Party Notable Titles
AM1 R&D WOW Entertainment House of the Dead series, Sega GT series, Dynamite Cop series
AM2 R&D (+ CRI) Sega-AM2 Virtua Fighter series, Virtua Cop series, Out Run series, Shenmue series, After Burner series
AM3 R&D Hitmaker Crazy Taxi series, Virtual On series, Derby Owner's Club series
AM4 R&D Amusement Vision Daytona USA series, Super Monkey Ball series, SpikeOut series, Virtua Striker series
AM5 R&D (AM Annex) Sega Rosso Sega Rally series, Initial D Arcade Stage series
AM6 R&D (CS1 R&D + PC Soft R&D) Smilebit Clockwork Knight series, Panzer Dragoon series, Victory Goal series, Jet Set Radio series, Let‘s Make a J-League Football Team series
AM7 R&D (CS2 R&D) Overworks Shinobi series, Streets of Rage series, Phantasy Star series, Sakura Taisen series, Skies of Arcadia
AM8 R&D (CS3 R&D) Sonic Team Sonic the Hedgehog series, Nights series, Phantasy Star Online series, Samba de Amigo, Chu Chu Rocket, Burning Rangers
AM9 R&D United Game Artists Space Channel 5 series, Rez
Digital Media[37] Wave Master Roomania

Sega of America's Studios'

Studio Notable Titles
Visual Concepts NFL 2K series, NBA 2K series, Floigan Bros, Ooga Booga, ToeJam & Earl III: Mission to Earth (with ToeJam & Earl Productions)
Sega Technical Institute Sonic The Hedgehog series (with Sonic Team), Sonic Spinball, Comix Zone, The Ooze, Die Hard Arcade (with Sega AM1)
Sega Interactive Eternal Champions series, Star Wars Arcade (with Sega AM1)
SegaSoft SegaSoft developed games for Heat.com, rather than traditional commercial games.
Multimedia Studio The Multimedia Studio concentrated on the development of music for various Sega efforts, and as such, is not a studio in the traditional sense.
Sonic Team USA Sonic Adventure 2, Sonic Heroes

Hardware

Arcade boards

  • Sega G80
  • Sega System 1
  • Sega System 2
  • Sega System E
  • Sega System 16
  • Sega X Board
  • Sega Y Board
  • Sega System 18
  • Sega System 24
  • Sega Mega-Tech
  • Sega Mega-Play
  • Sega System C-2
  • Sega System 32
  • Sega Model 1
  • Sega Model 2
  • Sega Titan Video
  • Sega Model 3
  • Sega NAOMI
  • Sega NAOMI 2
  • Sega HIKARU
  • Sega Chihiro
  • Triforce – in collaboration with Nintendo and Namco
  • Sega Lindbergh
  • Sega Europa-R

Consoles

  • Sega SG-1000: Available in limited markets
  • Sega SG-1000 II: Updated version of the SG-1000, includes a keyboard
  • Sega Mark III: Available in limited markets (Japan/Australia/New Zealand)
  • Sega SC-3000: A computer version of the SG-1000
  • Sega SC-3000H: An updated version with more RAM and keyboard (the original keyboard was of the low-end membrane type).
  • Sega Master System: Essentially the SG-1000 Mark III only with a different name and a few minor adjustments
  • Sega Mega Drive: Known as the Sega Genesis in North America due to another company owning the Mega Drive trademark in that region.
  • Sega Mega-CD: Known simply as the Sega CD for the North American market, it allowed CD based games as well as Audio CDs to be played on the Mega Drive.
  • Sega 32X: Hardware update to the Mega Drive allowing 32 bit based games to be played
  • Sega Multi-Mega: a portable CD player with the functionalities of a Sega Mega Drive and Sega Mega CD. Following the Mega ... brands, its name was Multi-Mega in most of the world and Genesis CDX in North America.
  • Sega TeraDrive: A 16-bit PC with an integrated Mega Drive. Came with a Software Development Kit to allow creation of Mega Drive games. The system was only released in Japan.
  • Sega Neptune: A Sega Mega Drive/32X hybrid. It never passed the prototype stage. Only two empty cases are known to exist.
  • Sega Saturn: True 32-bit console
  • Sega Dreamcast: First 128 bit (sixth generation) console, also Sega's last console.
  • Sega Pico: an educational gaming system.
  • Sega Advanced Pico Beena: Successor of the Sega Pico
  • Amstrad Mega PC: Although not actually produced by Sega themselves, the Mega PC is Amstrad's version of the TeraDrive for European and Australian markets, thus includes electronics for Sega's Mega Drive console built-in.

Handhelds

  • Game Gear: Sega’s 8-bit handheld
  • Sega Nomad: Sega’s Mega Drive, in a portable unit
  • Sega VMU: Memory Card for Dreamcast, also able to download games
  • Sega Mega Jet: A Mega Drive unit only available on Japan Airlines flights

Advertisement campaigns

Sega has had a long history of different slogans and ad campaigns.

Arcade

  • The Arcade Experts. (early 80s)

Sega Master System

  • The challenge will always be there.
  • Major fun and games!
  • Now, there are no limits.
  • Hot hits today! More hits on the way!
  • Do me a favor, plug me into a Sega (talking TV).

Mega Drive/Genesis

  • Genesis does what Nintendon't!
  • Blast Processing
  • The name "Sega!" being composed by a "choir".
  • Welcome To The Next Level. (Also used for the Game Gear. Referenced in Shadow The Hedgehog)
  • To be this good takes AGES, To be this good takes SEGA.
  • Siga Sega! ("Follow Sega!", used in Brazil during the early 90's)
  • Sega, c'est plus fort que toi ! ('Sega, it's stronger than you!', cult French TV slogan, early 90s)
  • 16 bit arcade graphics!
  • La Ley del Más Fuerte (The Law of the Strongest, Spanish slogan from 1993-94)
  • The more you play with it, the harder it gets. [38]
  • Pirate TV (Britain)
  • Canal Pirata Sega (Spain)

Saturn

  • Welcome to the Real World - Sega Saturn. (Early UK TV slogan)
  • Play the Sega Saturn!! Segata Sanshiro
  • When you have Sega Saturn, nothing else matters.
  • The Game is Never Over (also used in last European Mega Drive commercials.)
  • Peligrosamente real (Dangerously Real. 1st Spanish slogan)
  • Contraprogramate (Go against the standars, Spain, 1996)
  • The Plaything ad.
  • The Theater of the eye (mid-90s US ad.)
  • Nous ne sommes pas sur la même planète ('We are not on the same planet', French slogan in the mid 90s)

Dreamcast

  • It's Thinking. (promotion for Dreamcast)
  • Up to 6 billion players. (early Dreamcast tagline)

Post Dreamcast years (2002 - 2003)

  • The return of the "Sega!" choir.

Franchises

See also

References

  1. http://www.referenceforbusiness.com/history/Ro-Sh/SEGA-Corporation.html
  2. Template:Cite book
  3. 3.0 3.1 Steven L. Kent (2004-02-18). PlayStation 2 Timeline. GameSpy 3. IGN. Retrieved on 2008-03-03.
  4. "Corporate." Sega. Retrieved on January 13, 2009.
  5. Angwin, Julie and Laura Evenson. "Sega Expected to Move HQ To S.F. From Redwood City." San Francisco Chronicle. Thursday June 11, 1998. Retrieved on January 13, 2009.
  6. Sega of America
  7. http://www2.sega.com/corporate/corporatehist.php?item=coporate_history
  8. http://classicgaming.gamespy.com/View.php?view=ConsoleMuseum.Detail&id=28&game=10
  9. 9.0 9.1 http://www.ce2.coos-bay.k12.or.us/Studentwebs/Danny/90s.htm
  10. 10.0 10.1 http://romhustler.net/roms/genesis/s
  11. Top Sega CD Games - Best Sega CD Video Games - Best Sega CD Games - Top Sega CD Video Games
  12. PlanetDreamcast: About - Sega History
  13. Reverse Engineering
  14. 14.0 14.1 Gamasutra - Feature - "A Detailed Cross-Examination of Yesterday and Today's Best-Selling Platform Games"
  15. http://query.nytimes.com/gst/fullpage.html?res=9A05E4DF1E39F934A1575BC0A962958260 New York Times article about Sega's acquisition of Data East Pinball
  16. Welcome to STERN Pinball
  17. http://www.thegameconsole.com/videogames94.htm
  18. http://retro.ign.com/articles/880/880968p1.html
  19. http://www.gamespot.com/news/2466444.html
  20. Vidgame.net: Sega Dreamcast
  21. http://www.gamespot.com/news/2004/05/18/news_6098677.html
  22. Kikizo Staff. Tetsuya Mizuguchi Interview 2005. October 13, 2005. Retrieved August 13, 2008.
  23. http://www.segasammy.co.jp/english/pdf/release/Notice070206-Adjustment%20_2_.pdf
  24. SEGA signs Obsidian for next-generation RPG // GamesIndustry.biz
  25. SEGA acquires Sports Interactive // GamesIndustry.biz
  26. Sega deal is worth "circa GBP 30m" - Sports Interactive boss // GamesIndustry.biz
  27. SEGA establishes new internal development arm in US // GamesIndustry.biz
  28. 株式会社プロペ 公式サイト
  29. Sonic creator sets up new studio with help from SEGA // GamesIndustry.biz
  30. http://www.segasammy.co.jp/english/pdf/release/tanshin_english_final.pdf
  31. Sega Sammy reports 31 per cent rise in profits // GamesIndustry.biz
  32. http://www.segasammy.co.jp/english/pdf/release/200609tanshin_englishver_1110.pdf
  33. Sega Sammy sees 52 per cent profits rise // GamesIndustry.biz
  34. ALIENS
  35. SEGA enlists heavyweight support for Alien games // GamesIndustry.biz
  36. Template:Cite book
  37. Sega Enterprises Company Information. Retrieved on 2008-04-06.
  38. Sega Mega Drive Advertisment
  • Sega financial report
  • Yahoo! Finance details for Sega Corporation
  • Yahoo! Finance details for Sega of America
  • Sega's entry into and growth in the American market is documented in Terry Sanders' film The Japan Project: Made in Japan.

External links

  • Sega of America's official website
  • Sega of Japan's official website
  • Sega of Europe's official website
  • Sega Sammy Holdings official website
  • SEGA4Ever : french retro gaming and collection website, for SEGA fans
Smallwikipedialogo.png This page uses content from Wikipedia. The original article was at Sega. The list of authors can be seen in the page history. As with Wikia Gaming, the text of Wikipedia is available under the Creative Commons Attribution-Share Alike 3.0 (unported) license. The content might also be available under the terms of the GNU Free Documentation License.

This article uses material from the "Sega" article on the Gaming wiki at Wikia and is licensed under the Creative Commons Attribution-Share Alike License.

Simple English

Sega (in Japanese: セガ) is a company that makes video games. In the past, they also made video game consoles. Their main office is in Tokyo, a city in Japan. They also have offices in other continents — for example, North America and Europe. Their most famous video games are the Sonic the Hedgehog series.

Contents

Consoles

Sega SG-1000 1983-1984

Sega SG-1000 II 1984-1985

Sega Mark III 1985-1989 / Sega Master System 1986-2000

Sega Mega Drive / Sega Genesis 1988-2002

The Sega Mega Drive (in Japanese: メガドライブ, Mega Doraibu) was a 16-bit video game console made by Sega. It was in market in Japan in (1988), and in Europe and the rest of the world in (1990). In North America, it was called Sega Genesis.

Sega Mega CD / Sega CD 1991-1995

This CD Addon let you play Optical Discs which could play movies and high quality audio. It wasnt well received but it still has a big fanbase

Sega 32X 1994-1996

Sega Saturn 1994-2000

Sega Saturn was released on November 22/10, 1997/1999 in Japan/France. It was the first Sega video game console with 3D graphics. Sega released two versions of the Saturn : the first generation was black and with small controllers, and the second was white. One of its most popular games was Sonic R.

Sega Dreamcast 1998-2001

Sega Dreamcast (Japanese: ドリームキャスト; originally called "Dural," and "Katana") is the fourth and last machine made by Sega that can play video games. It was sold before the PlayStation 2, GameCube, or Xbox came out. However, not many people bought it after the PlayStation 2 was released, so in the end Sega decided to stop making them.

Handhelds








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