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Sega’s Console Push Appears to Be a Flop

Sega’s Console Push Appears to Be a Flop

Last year, Sega’s leaders said they were going to make a push toward consoles in order to revitalize their business. They spent $210 million on game development and $79 million on advertisement, in the hopes that could catapult them back into the console business. But even after spending so much money, Sega is expected to sell about 5.4 million units among all its properties, a figure that many single titles by other companies surpass.

A good chunk of these sales will be the result of the success of Alien: Isolation , which has seen 1.76 million sales so far. But while Alien: Isolation was such a hit, Sega’s flagship titles were even more impressive failures. Sonic Boom , my personally most loathed game of last year, was the biggest flop, with combined Wii U and 3DS sales coming in at only 490,000 units.

Sega is currently reorganizing its business, aiming to push toward PC and Mobile games rather than console games. This restructure could cost as many as 300 people their jobs, and will cost the company $125 million. Sega expects to lost $110 million in the restructure.

It looks like the old glory days of Sonic are over.

Source: Gamespot

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