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SEGA Under Pressure?

Posted by Anthony Dickens

SEGA announce a huge impending loss and possible job cuts, what's happening at SEGA of Japan?

Across Sega Sammy Holdings as a whole - which includes Sammy's pachinko/pachislot machines, along with Sega's arcade machines and home video games - a downturn in revenue has led to the company revising its forecast for the financial year, with Sega now bracing for a USD$235,424,993 loss come March.

Ouch, that's gotta be painful. Kotaku have reported that the Japanese company are set to close 110 arcade centres, cut 500+ jobs and finally reduce research and development by around ~20%.

All said and done SEGA aren't out of the woods and really need to focus on the profitable side of their business, we just hope that includes developing on Wii - perhaps the cheapest platform to develop for.

SEGA's 2009 E3 line up should reveal all.

[via kotaku.com]

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User Comments (9)

DamoAdmin

#1

Damo said:

I can't say for sure but I believe Sega's Western publishing arm is a little more profitable. so hopefully things will turn out ok on a worldwide scale. It's a shame that the company is feeling the pinch, but then EVERYONE seems to be posting a loss these days. :(

coire

#2

coire said:

http://www.youtube.com/watch?v=xtrEN-YKLBM - Couldn't resist.

The first 4 games that come to mind when I think of SEGA at the moment are: The Conduit, House of The Dead: Overkill, Bayonetta and Madworld.

Of those 4 games, 3 are Wii Exclusive, 2 are being made by Western Developers and the two Japanese games are being made by the same developer, Platinium Games. Let's just hope that Sega's upcoming releases make a good dent in the sales charts, eh?

Wiiloveit

#4

Wiiloveit said:

Nice link, Coire :D

Here's hoping Sega's Wii games will sell - and don't forget Sonic and the Black Knight!

LinktotheFuture

#5

LinktotheFuture said:

I believe that Sega worked on the F-Zero for Gamecube. If so, they should work on one for the Wii, that would surely be a big seller.

DamoAdmin

#6

Damo said:

Nintendo got Sega to make F-Zero, that is true, but I would imagine it would be Nintendo's call to employ them again in the future, rather than Sega's.

In fact, I bet Sega would make a new F-Zero tomorrow if they were allowed to! :)

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