Sega announces 7.1 billion yen losses

Taken from Neogaf:

http://www.neogaf.com/forum/showthread.php?t=468412

http://www.segasammy.co.jp/english/p...ki_e_final.pdf
http://www.segasammy.co.jp/english/p...ku_e_final.pdf

Quote:

1. Reason
The Consumer Business centered on SEGA CORPORATION is expected to post operating loss in the year ending March 2012, due to the challenging economic climate and significant changes in the home video game software market environment in the U.S. and Europe.
Given this circumstance, the companies determined that in order to actualize earnings recovery of the Consumer Business in the following period and after and return to a growth path, it is essential to streamline organizations in the field of home video game software in the U.S. and European markets, while shifting to a structure that corresponds to change in environment, including strengthening development in the field of digital content.



My take on this:

Sega has made some seriously good games recently (Yakuza, Binary Domain) but neglected to promote them well.

They have to stop throwing money away (Iron Man 2, etc) and focus on quality.

Erm...we all know Sega is FUBAR, but I'm just saying that they know how to make good games, so lets start from there.

 

I would imagine that their choice to distribute VF5FS via console download stores is related to this.

 

When aren't Sega losing money? The last few years have been tough for them software wise, from the financial reports they've released it seems their software sales have been dire for a while now and the only thing making them money is their pachinko machines.

I wouldn't be hasty to blame poor marketing for it, they've been advertising their products pretty well recently and they're also putting a lot of games out there that their fans have been begging for. Apart from a few exceptions their games have always had a niche following, unless they pump out a few CoD clones I don't see anything changing.

 

I hope this means VF5FS isn't the end. If it is, well, my console gaming ends also with this gen.

 

Does this come to anyone's surprise? SEGA is but a shadow of its once-prosperous past, when it united the best studios, the most creative heads in the industry under one publishing roof.

Their approach to "narrow down sales titles from the following period" and to promote "strong IPs" like Sonic, Football Manager, the Total War series and Aliens sounds like a bad joke to me.

 

wasn't it not very long ago when sega had to lay off a substantial number of employees due to similar reasons?
that's quite unfortunate such a great company has had such a roller coaster history.

i'm actually really looking forward to Aliens. i love the Aliens series.

 

They should focus on potential IP's and Sega own IP's and not on movie based games!

 

By potential IP's do you mean new IP's? New IP's are always risky and looking at stuff like Bayonetta and Vanquish then SEGA haven't had much luck with them. They're both great games but I guess people find it difficult to trust new franchises when there's so many familiar series on the shelves.

No idea how their movie based games sell but depending on the license I would have thought people lapped them up, movie based games do tend to be dire but their potential audience is massive.

 

7.1 billion yen isn't that like 50 dollars American.

 

90 million US dollars mehbe.

EDIT: Wait, you made a funny

 

http://lmgtfy.com/?q=7.1+billion+yen+to+american+dollars

 

$71,000,000 approx

 

http://lmgtfy.com/?q=7.1+billion+yen+to+american+dollars

 

SEGA: Problem, shareholders?

 

The poblem is that those games are not as high quality as the regular IP's .
I never buy games based on movies because they are always rushed just in time for the movie is based on.

 

Low quality movie tie-ins still sell now, right?

 

Holy shit on Neogaf they are talking about Sega of America closing doors...WTF just happened?

LINK:http://www.neogaf.com/forum/showthread.php?t=468515

EDIT: FALSE ALLARM

http://twitter.com/#!/jimreilly/statuses/185896273071706112


Fucking hell for a second I really worried about them not releasing FS.

 

if you read the ign story:
"Our sources have revealed that any currently announced game that isn't included on that list [Sonic, Football Manager, Total War, and Aliens] will not be published by SEGA, leaving a decent amount of the publisher's upcoming publishing roster in jeopardy."
i wonder what does that mean for FS