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Avatar ImageSega on its last life?
By: | February 10th, 2009
News

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Despite successful titles like Valkyria Chronicles and the hotly anticipated titles like MadWorld, The Conduit, and Bayonetta, things aren’t looking too hot over at Sega.  The company has been slowly losing money over the last 9 months, is closing 110 Japanese arcades, and is preparing to layoff 560 of 3100 employees.

Sega is expecting a total $235,424,993 loss by March, and therefore is preparing to hunker down and weather the storm with the appropriate cost cuts.  According to Kotaku, these layoffs include employees volunteering to give up their jobs, and a 20% R&D reduction, which means certain titles in development will be scrapped.

This news comes as a bit of a surprise considering the seemingly smart moves that Sega has been making as a company recently.  Perhaps they’ve put too much stock into their little blue hedgehog and the poorly received titles he’s bee featured in.  Here’s hoping the best for Sega and all those affected by the company changes.

Anybody think any of the impending Sega releases can save them from the red?

Source: Kotaku

  1. It will be a tough time for developers like Sega for the next few years. I guess many people dwell on ‘what was’ and therefore, they cannot see the good in ‘what is’ – especially in the Sonic games. I don’t know about their future games, some people think they are alright, I am not too interested to be honest. I think it will be dark days soon.

  2. SEGA cant die, all they need is 100 rings to gain an extra life. ;P

  3. I can’t wait for Bayonetta. I hope Madworld sells like hotcakes and keeps them in business. Although, I wouldn’t mind Bioware handling all Sonic games from now on, and forcing Sonic Team to liquidate into something else.

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