Feb
11th

Sega cuts 400 jobs; play doom and gloom theme

Files under News | Posted by Justin

sega_sammy.pngSega is one of the great tragedies of gaming. Just a console generation ago the Dreamcast was flying high with high quality arcade ports and original titles. Now, just one generation later we see what may be the end to one of the great names in gaming as they are hit with 400 layoffs.

The downfall began with the death of the Dreamcast. At the same time, Sega announced their move full-time to third party developer. While many assumed this would turn them into a powerhouse on the level of Electronic Arts, it instead quickly ended them up in the red and in a merger with Sammy. That new combined company has done little to rescue Sega’s profits and may have contributed to the decline of their game quality. The Sega we see today is sadly a mere shell of its former glory.

While financial losses of $210 million for the past nine months are sad to hear about, they aren’t too shocking when one looks over Sega’s game portfolio for the same period. A terrible new Sonic title has left that franchise all but dry to the bone and most other franchises have long been abandoned. One must wonder how they even managed to mess up Phantasy Star with the newest Universe installment in that franchise.

The truth is that for many it simply doesn’t seem like the old Sega is there anymore and maybe they’re not. Companies do evolve and change over time. Still, just a few short years ago, would anyone have expected Sega to be the new Atari?


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