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SEGA to Close Offices Throughout Europe and Australia

Looks like many of SEGA’s financial woes have finally caught up with them as the gaming company has begun closing its offices in Spain, France, Germany, Benelux, and Australia. Sega UK still remains, but the one-time dominant corp has all but wrapped up development business on two continents. SEGA Europes COO assures that the company will be fine moving forward with a new strategy and marketplace.

“The company will benefit from a clear focus and realigned strategy for our digital business and packaged goods and we are confident that this will lead to a successful future.”

Digital distribution has been huge for SEGA seeing many of their classics and moderns games put on just about every available service. Regarding packaged goods, SEGA will only be releasing franchises with definite market value like Sonic the Hedgehog, Aliens, Football Manager, and Total War. SEGA will continue with the Lodon 2012 Olympics brand as well.

SEGA once gave Nintendo a run for their money as the dominant gaming leader in the early 1990s, and after collapsing in the console market, they found a safe little niche as a third party developer in the previous generation of consoles.

However, this generation has taken its toll on SEGA financially, and the company has struggled to find an image for itself. On one end, the company turns to huge Marvel Superhero licenses and strip-mines its vast history for consistent cash flow at the cost of horrible reviews.

On the other end, SEGA has taken huge risks and released some core gamer IPs no other companies would dare touch in this day and age. Valkyria Chronicles, Platinum Games’ entire line-up, Yakuza, and Resonance of Fate have all found their audiences, but obviously these large gambles never paid off. It’s a shame that SEGA won’t be helping out these niche markets anymore. The Anarchy Reigns delay into 2013 now makes a lot more sense though.

SEGA should do well with this new image of a dominating digital distribution company. They have the name brands to back them up and set them apart from all the indie developers out there. However, could this finally put an end to the Shenmue 3 rumors once and for all?

[via Gamasutra]


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Ron Duwell

Ron has been living it up in Japan for the last decade, and he has no intention of leaving this technical wonderland any time soon. When he's not...Ron has been living it up in Japan for the last decade, and he has no intention of leaving this technical wonderland any time soon. When he's not...


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