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Sega considers reviving classics like 'Crazy Taxi' and 'Jet Set Radio'
Sega is considering reviving multiple classic game franchises, including 'Crazy Taxi' and 'Jet Set Radio.'
Sega streamlines US, European operations after posting $86 million loss
Sega Sammy Holdings Inc. has announced that it will begin streamlining its American and European operations after posting an 7.1 billion Yen ($86 million dollar) extraordinary loss for the 2011 year. The move is expected to create a "smaller company positioned for sustained profitability" with the company planning a shift to a new "digital content" strategy. It'll cancel work on new, forthcoming titles and just concentrate on key earners like the Sonic, Football Manager and Total War franchises. There's no official word on if it'll involve job losses, but the company is setting aside 4.9 billion yen ($59.7 million) of that loss figure in order to cover the costs of the corporate reorganization. In the meantime, we're off to pour one out for one of our childhood staples.
Sega dissolves Korean subsidiary, nixing $330m Yokohama arcade complex
Aside from planning to axe 400 jobs as part of Sega Sammy's most recent "turnaround efforts," the outfit will also be closing the doors to its Korean subsidiary. Currently, Sega Korea is "handling the domestic distribution and sales of video game software, as well as the operation / sales of amusement facilities and machines," and reportedly, the closure will be executed in the name of "global business optimization." As it stands, there's no set date for the branch's dissolution, but just in case your smile wasn't turned upside-down already, the company also stated that it would discontinue the development of a ginormous $330m arcade complex slated for construction in Yokohama, Japan -- if you couldn't guess, that one's being shuttered so the firm can "focus its efforts on its core business to improve its performance" in short order. Seriously though, what the hell kind of company would spend $330m on arcade, anyway?[Via Joystiq, image courtesy of USMC]
Namco blames Wii for arcade closures in Japan
Namco Bandai is shuttering between 50 and 60 arcades in Japan, and it's laying the blame squarely on Nintendo's shoulders. "A lot of the types of games that people played at an arcade can now be done at home," said company spokesman Yuji Machida. Namco figures that Japanese kids are saving up their pocket money to buy the latest and greatest Wii game or accessory, which is clearly unacceptable. Sega Sammy also has plans to close about 100 of its arcades, but there's no word of finger pointing from that camp. While we're certain the Wii's popularity has a little something to do with it, perhaps Japanese gamers are just beginning to learn something their American counterparts got down years ago: why leave the couch? Ever?[Via Joystiq]
Sega believes in the eventual success of the PS3
In a recent interview with Reuters, Sega Sammy VP of Marketing Scott Steinberg spoke about the Wii and his hypothesis that the PS3 will emerge victorious. He admitted to being "a little concerned about the creative depth of the Wii pool ... The Wii will start to look really dated in a couple years when developers get more value from the 360 and learn more and more about the PlayStation 3." It is a good question -- how much more will developers get out of the Wiimote in five years that isn't derivative of something else that's already been done? The same could be said of the Sixaxis. However, Steinberg insists that "We know the PS3 pool is pretty deep. There's a lot to exploit there." Which is also rooted in truth. As Factor 5 said, the potential is limitless. It will just take some exploratory surgery time, so to speak. Steinberg also predicts the PlayStation 3 growing into the ultimate winner this console generation due not only to graphical prowess and hidden potential, but the inclusion of Blu-ray will be a great addition in the coming years. Time to sound off your own thoughts to his words. Can the PS3 really last the 10 years claimed by Sony?[via Gamasutra]
Sega: Wii hype may soon wear off
Et tu, hedgehog?Sonic and Mario may be friendly enough to co-star in the Olympics, but there are some dissenters in the upper ranks of Sega who think Nintendo's console reign will soon end."I am a little concerned about the creative depth of the Wii pool. I'm not sure if they will top out in 2008 or 2007," said Scott Steinberg, VP of marketing for the U.S. unit of Sega Sammy Holdings Inc., in an interview with Reuters. "The Wii will start to look really dated in a couple years when developers get more value from the 360 and learn more and more about the PlayStation 3." Steinberg seems to be equating creativity to graphical horsepower, a notion that runs counterintuitive to Nintendo's party line. "How much value can developers and creative folks get out of this wrist motion two years from now, or 5 years from now, or 10 years from now? ... How can they design products that aren't too derivative of what's already out there?" he said. Those are strong words, though we aren't sure what parallel dimension he lives in where the PS3 and Xbox 360 are immune to a multitude of derivative titles, themselves. To be sure, Steinberg does not oversee any of the development and production decisions -- he's a marketing guy. However, with Nintendo currently riding high on sales charts and a once-unimaginable friendship existing between the two companies, is Steinberg being short-sighted or prophetic?[Update: Responding to some of the negative reaction to his comments, Scott Steinberg has shared additional remarks with Reuters Blogs. His new comments can be viewed after the break.]
Pachinko is really exciting!
Dude, we had no idea pachinko was so cool! We knew Japan was all into it, but we always thought it was some boring gambling thing. Turns out it's all a bunch of big people with huge chest muscles beating the crap out of each other in a post-apocalyptic wasteland! Man, when that guy punched the other guy like a hundred times really fast, that was some awesome pachinko! And then the other guy like exploded into a beam of yellow light! And the cool pachinko music was playing, and it totally got us pumped about pachinko!We know the graphics aren't totally next-gen (look at the cardboard hair), but it must be super tough to render realistic pachinko visuals! We are going to buy Jissen Pachinko/Pachislot Hisshouhou! Sammy's Collection Hokuto no Ken Wii RIGHT. NOW. We're totally ready for some pachinko mayhem! Watch the totally cool pachinko video after the break, and you'll feel the same way! PACHINKOOOOOO![Via Siliconera]
Finally, a pachinko game for the Wii
We might sound sarcastic, but we're happy to see different kinds of games come to the Wii. This latest title from Sega Sammy is a collection of pachinko and pachislot (pachinko plus slot machine) simulations, called (deep breath!) Jissen Pachinko/Pachislot Hisshouhou! Sammy's Collection Hokuto no Ken Wii (Fighting Pachinko/Pachislot Victory Way! Sammy's Collection Fist of the North Star Wii). It's based on the same popular Sega Sammy pachinko games that have been released on the DS, PS2, and PSP, and contains a bundle of pachinko and pachislot boards. And, of course, it carries the license of the classic, brutal Fist of the North Star manga and anime series.This one is interesting for the same reason a lot of Wii games are: Wiimote controls. Apparently, you can use the Wiimote steering-wheel style to control the speed of the dropping balls. We admire the novel Wiimote use! It also has online ranking, in case competition motivates your pachinko-playing.Jissen Pachinko/Pachislot Hisshouhou! Sammy's Collection Hokuto no Ken Wii (Fighting Pachinko/Pachislot Victory Way! Sammy's Collection Fist of the North Star Wii) comes out on May 24th in Japan, and probably never anywhere else. Any pachinko fans here? Do any of you import these kinds of things?
Sega Sammy shows increased profits ... without games
More good gaming biz news keeps rolling in, though this silver cloud comes with a gray lining. Sega Sammy (more commonly known as just Sega) announced a 52% increase in profits of $322 million for the first six months of the year, compared to $211 million last year. Before gamers stop and cheer, the profits aren't helped any by the actual video game division. Sega Sammy's game division was hampered by R&D costs resulting in a $57 million loss despite an increase in software sales. The full year forecast is also lower due to problems with the company's pachinko division. This just goes to show you how minimally actual video games impact the company. Video games only make up 14% of Sega Sammy's $2.4 billion in sales. Since they're pulling a loss, holding onto the game division may start looking like a bad idea. Will Sega be able to make a transition into the next-generation era, or will they start feeling the pressure? No other company is showing similar financial difficulties moving into 360 and PS3 development. No company can last forever, but let's hope Sega manages to stay in the game a bit longer ... we still have a soft spot for the Dreamcast.
