Sammy Finally To Purchase Sega

roadies writes "USAToday/Reuters has a story indicating that Japanese videogame/slot machine company Sammy is finally going to acquire Sega, following 'an unsuccessful attempt last year'." Gamesindustry.biz notes regarding the stock deal, worth $1.4 billion: "[Sammy president] Satomi-san, who will be president of the new merged company, has previously expressed his desire to see Sega focusing increasingly on the arcade market, and hopes to use the company's development talent and wealth of intellectual property to build on the success of Sammy's low-cost Atomiswave arcade system", and it's also argued: "The Sega acquisition will also give Sammy a strong base from which to build its overseas operations."

Comments

"Massive Announcement?"

[wheresdrew]

I wonder if this might have been the "big news" Sega was supposed to reveal at E3 last week? Maybe the deal wasn't close enough to being done at that point to speak about it.

It would've been much bigger than their news about The Matrix Online or Phantasy Star Universe.

Re:"Massive Announcement?"

[MBCook]

That was the first thing that I thought of when I saw this. Before E3 Sega said something BIG was going to be annouced. Some people thought it was a new console (portable or a new Dreamcast). Others thought it was some big new game that would take the world by storm. The idea of a merger or some such was also tossed around (Nintendo, or maybe MS, or I suppose even Sony).

Instead, what do we get as a big annoucement? They are publishing "The Matrix Online". Oh yeah, that was worth hype.

A big part of me didn't buy that and thought that they either overhyped something, or something went wrong and they couldn't annouce it.

THIS makes perfect sense as a big annoucement. I think you're right. I think this was going to be the big annoucement and they had to hold off or something.

Re:Well one more out.

[Daetrin]

I agree, this is kind of sad. I wasn't happy when Sega was forced out of the console market, and this is just one more step down for them. Especially since as you said, Sammy has expresed interest in them focusing more on the arcade market.

If Sega had to be bought out, i was hoping that Nintendo would get a clue and make the purchase. Between their rivalry back in the day and their more recent teamwork on some great games (Super Monkey Ball, F-Zero GX, the Sonic GameCube games, the Skies of Arcadia remake, etc) i think they have a lot of common. I would have trusted Nintendo a lot more to deal with Sega the way in which they deserve.

zerg

[Lord Omlette]

If this fucks w/ Shenmue 3, heads will roll, I'm not kidding.

Re:Well one more out.

[Anonymous Coward]

Well, there's no sign that Sega's going to be pulling out of console games any time soon, although it would be clear why it would seem appealing to Sammy to do so.

The Atomiswave (Sega/Sammy), Triforce (Sega/Nintendo/Namco), and Chihiro (Sega/Microsoft) boards are working well in some awesome games. Sega's prize games are also very strong in the Japanese market - they practically own it, in fact. Virtua Fighter is still the current fighting game of choice in Japanese arcades, and Sega's networked arcade games are the main driver of that technology in Japan. It would be foolish for Sammy to scale back or withdraw from all of that.

As for console game sales, Sega's been kind of hurting. They have had no breakout sales hits on any of the consoles, despite the generally high quality of their games. They certainly don't have the same appeal that they once had, since they no longer have a native platform. And whereas once they were seen as contemporaries of Nintendo, they are now seen in the same light as Namco and Konami - great game houses, but they don't drive console technology, they just go with the flow. And yes, in terms of "who's who" among power players in the industry, that's a step down.

Anyhow, I'd miss them if they were to step out of console games, but I still expect them to stay in the business. The Sega name has a lot of sway with gamers who were around in Sega's console heydays. And to tprime: Even if they were to pull out of console games, there's just no way they'd stop making arcade games. That would be the stupidest thing that Sega Sammy could do (speaking in terms of their own sanity and economic well-being).

Re:Well one more out.

[mrgreen4242]

I've been hoping for Nintendo/Sega 'merger' since the Dreamcast was discontinued. Had they done it, and done it early, they may have been able to reclaim significant market share after the Sony-PS1 takeover.

In my opinion, alot of the older Sega games would have been prime, stylistically speaking, GameCube remakes. Ah well. Is it just me, btw, or have arcade games been seriously lagging in development the last 4 or 5 years? Seems like when I was younger, arcades were where you went to see the latest in amazing graphics and games. Now it feels like I am playing a GBA game on a big screen, technology wise.

Rob

Sega Sports Series / Virtual Concepts

[MBraynard]

One very bright part of the Sega was their sports series that was developed by VC. In the last couple of years, they have been rated on par or better than the EA series. Sales don't reflect that just yet, although it does take some time to build a franchise.

I'm not really sure how this arcade thing will come into play in the US. I don't think there are very many arcades left here, although that DDR thing seems to be popular and I look forward to dropping $20 on a machine one day to try and get the hang of it.

Re:[snarl]

[dancingmad]

Did either of you actually think this through before making wild guesses or stupid, racist comments? Why would Sammy buy SEGA to gut it of its key franchises? That's ridiculous. I imagine SEGA will continue to have a lot of freedom to do as it pleases, including making Sonic games, will get some much needed cash from pachinko king Sammy, and Sammy will slowly use SEGA to enter the game market. If I'm not mistaken Sammy develops Guilty Gear X; Sammy probably wants to consolidate pachinko style gaming and video games into one business both conceptually and on site (makes sense, especially in a Japanese context) and SEGA is a well known, quality developer who needs some cash.

Again, I ask you, how would it make sense, considering those facts, that Sammy would gut SEGA?