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Sega Done with Sports, Take-Two Launches Label
Gamespot has the news that Take-Two Interactive's MLB deal has already had repercussions. Sega has gotten out of the sports business, selling their internal sports studio Visual Concepts to Take-Two for a bargain price. This newest addition in hand, Take-Two has turned around and launched a new game label entitled 2K games. From the article: "2K Games will incorporate Take-Two's internally owned development studios Visual Concepts, Kush Games, Indie Built, Venom Games, PopTop Software, and Frog City Software, as well as the team at Take-Two Licensing..." This new label will have a subsidiary specifically tuned for sports titles. As expected, it appears the sports game market is now going to fall to only a few companies. Commentary on Greg Costikyan's Blog
I can see it now at EA's corporate offices:
<mr. burns> Excellent... </mr. burns>
Chew: You Nexus, huh? I design your eyes.
Roy: Chew, if only you could see what I've seen with your eyes.
Well, I'm not really one to talk: the only 'sport' I play is chess. (I wonder what the odds are of 2K making a killer chess engine?)
When things get complex, multiply by the complex conjugate.
Is Sega the new Apple?
They're not the "new" Apple, they're more comparable to the Apple of the mid 1980's. You know, a company without a clear direction, (hopefully) approaching the bottom end of their inverse market share bell curve. I still say that getting out of the hardware market is the worst thing Sega ever did - the effect it had was to completely demoralize the company. Many of their top creative minds left the company, and those that remained just haven't seemed to be putting their hearts into the games they've been creating lately.
I guess my main argument with your statement (part of which I didn't quote, but it's there) is that Sega still makes "very good games". Visual Concepts, their sports studio, made some decent sports sims (though NFL 2K5 was buggy as all hell), but Sega themselves haven't made anything I've been excited about since Super Monkey Ball on the GameCube.
As for this deal, don't forget that part of the deal is that Visual Concepts make games for Sega's arcade business. So to Sega's mind, this probably puts them back where they were in the early 80's only without having to do any of the actual work. Not sure it's actually going to play out that way, though; it doesn't seem like Sega has much of a future to me. Wouldn't be surprised if they get bought themselves at some point (something I argued would never happen 10 years ago, but times change and the mighty have fallen and fallen hard).
btw, I do believe Sega is actually profitable, but at the cost of, to quote George Costanza, "significant shrinkage." They seem to contract further and further every year and it's the only way they've kept their head above water. This is not how you succeed in business - to succeed in business requires both profitability and growth. Sega is in no position to grow and at this rate will eventually implode; they will cease to exist even as an IP holding company, as they will have sold off everything worthwhile to other publishers.