| 43rd | Top mascots |
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]
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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.
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]
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.
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.
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.
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.
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.
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.
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]
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.
In alphabetical order
Sega has had a long history of different slogans and ad campaigns.
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.
<ref> tag; no text was provided for refs named Hajime_1986_Satomi; see Help:Cite error.
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From the first letters of service games, the company's earliest products being aimed at American servicemen on military bases.
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Sega
| Sega | |
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| 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.
This category has the following 30 subcategories, out of 32 total.
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| Sega Corporation 株式会社セガ |
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| 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.
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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.
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]
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]
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 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]
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.
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.
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.
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]
Corporate Division
American
Australian
European
Japanese
Video Game Hardware Division
Video Game Software Division
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 |
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 |
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 |
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Sega has had a long history of different slogans and ad campaigns.
Arcade
Sega Master System
Mega Drive/Genesis
Saturn
Dreamcast
Post Dreamcast years (2002 - 2003)
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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. |
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.
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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.
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 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 (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.
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