EA In Talks For Sega Partnership

Thanks to an anonymous reader for pointing out a Reuters report (via Yahoo News) that Sega have received an offer from Electronic Arts to form a North American sales alliance. The information, which comes from new Sega boss Hisao Oguchi, is scant on the actual details, but could be anything from a partial buy-out to simply a publishing alliance, with Oguchi saying "We have been badly beaten in the U.S. consumer video game market... If we can't resolve this on our own, then it's better to join hands with someone." Sega are still considering the deal, which could easily go the way of Sammy and Namco's failed discussions, and also denied rumors that Microsoft are interested in taking a stake in the company.

Comments

They need to cut loose from Sega America

[Gizzmonic]

Sega America is the largest source of problems for Sega Japan. In the early to mid-nineties, SoA's CEO Bernie Stolar's "it's a different market" idea kept most of the Saturn's best games from reaching US shores.

During the Dreamcast era, SoA CEO Peter Moore played (mostly) the same fiddle. Sports titles received close to 100% of advertising money (most of the rest went to the flop called Space Channel 5). He let the DC fold with a whimper as soon as the PS2 was announced. Post-DC, his advertising spending spree cost SEGA millions in losses (I don't remember seeing a football game commercial break without a commercial for NFL2k3).

Sega of America has never made a good game (besides Toe Jam and Earl). Their marketing has hurt Sega a great deal. Working with EA, a company that understands the US market, would be great for both parties.