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Sega Games Co., Ltd.

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Sega

Sega Games Co., Ltd. is a Japanese multinational video game software developer and arcade company headquartered in Japan who are best recognised for the Sonic the Hedgehog, Virtua Fighter, Yakuza and Puyo Puyo franchises.

They were initially involved in the video game hardware industry by producing its own brand of hardware consoles such as the Sega Mega CD, Sega Game Gear, Sega Genesis/Mega Drive, Sega Saturn and Sega Dreamcast. However, due to underwhelming sales of the Dreamcast and competition from Sony’s PlayStation, Sega abandoned the console hardware industry on January 31st 2001 by ceasing production of all Sega consoles and exited the console hardware market.

On October 2004, the pachinko company Sammy Corporation acquired a controlling share in Sega at a cost of $1.1 billion, creating the consolidated holdings company Sega Sammy. Sega and Sammy became subsidiaries of Sega Sammy Holdings, with Sega and Sammy operating independently whilst the executives of both companies govern the Sega Sammy Group.[1]

Sega is currently a third party software developer and publisher for contemporary third party gaming consoles for international markets and a video game developer and publisher for arcades in Japan. Once Sega acquired Atlus in 2013 by purchasing Index Corporation, it became the parent company for Atlus.

Purchasing Index CorporationEdit

In June 2013, Atlus parent company, Index Corporations faced bankruptcy of ¥24.5 billion. As a result, they were placed on the public stock exchange. On 18 September 2013, Sega won the bid to acquire index. As a result, Atlus became a subsidiary for Sega through Index Corporation.[2]

During the process of the acquisition, Sega changed the name of Index Corporation to Sega Dream Corporation. On November 2013, Sega Dream was renamed Index Corporation. On 18th February 2014, Sega separated Index Corporation to become two independent companies. Within that process, Sega Dream Corporation's video game development and publishing assets was categorized back into the new Atlus whilst the non-video gaming assets was categorized into the new Index Corporation. The reformed Atlus would include Index Digital Media which was renamed back to Atlus U.S.A.[3]

On March 31st 2016, Sega announced that all Atlus game’s that are released in the United States will be published by Sega in order to streamline the associations between Atlus and Sega, however, Sega stated that the changes within Atlus to be integrated into Sega were corporal, and that Atlus would not be affected by the changes from a creative or developmental perspective.[4]

On December 1st 2015, as part of a structural reformation within the Sega Sammy Holdings company, Sega decided to sell their Index Corporation subsidiary to Swanao Holdings (a finance and insurance company). As Atlus was an unaffiliated separate company from Index Corporation outside of having the same parent company, none of the Atlus assets were transferred over to Swanao Holdings within the process. [5]

Atlus as a Sega SubsidiaryEdit

Since the subsidisation of Atlus into Sega, Chief Executive Officer of Sega Games, Haruki Satomi stated that, Sega learned valuable lessons from Atlus regarding the Western market and creating titles of quality, and that, they will be implementing Atlus’ work culture into the core Sega Games division.[6]. The Chief Creative Officer of Sega Sammy, Naoya Tsurumi has stated in Famitsu that Atlus have complete privileges to use any dormant IP’s from Sega in their own liking, and once Atlus is more familiar as a Sega subsidiary, they will consider suggestions for Atlus regarding dormant Sega intellectual properties.[7]

On the 26th April 2016, MCV revealed that publisher NIS America would cut ties with Atlus and would no longer provide European or PAL distribution of Atlus titles. Chief Executive Officer and President of NIS America, Takura Yamashita stated that, once Sega finalised Atlus as a subsidiary, Atlus was finicky about selecting the most ideal European publisher as they wanted the highest quality for the lowest price. This mindset prevented an equal partnership henceforth the termination of the partnership.[8].

On the 6th July 2016, Sega and Atlus simultaneously announced that all future Atlus titles and select Sega titles will be published by Deep Silver. CEO of Atlus USA and Senior Vice President of Sega of America, Naoto Hiraoka stated that the partnership was formed with Deep Silver because of their European and PAL market share in retail stores alongside their ability to provide physical copies of video game software to European and PAL consumer which Sega and Atlus value.[9]

Atlus games on Sega ConsolesEdit

 
Shin Megami Tensei - Sega Mega CD
Shin Megami Tensei (Sega Mega CD)
 
DSCoverScan
 
Devil Summoner Soul Hackers - Sega Saturn
 
RondeJapan
Ronde (Sega Saturn)
 
Megami Tensei Gaiden Last Bible Special cover
Last Bible Special (Sega Game Gear)

ReferencesEdit

  1. Sega Sammy Holdings Background - After Integration
  2. USGamer - Sega confirms that it has taken over Index
  3. Siliconera - From Atlus to Index back to Atlus
  4. Geek - Sega of America will publish all future Atlus USA titles
  5. Sega Nerds - SEGA transfers all Index shares to Sawada Holdings
  6. Game Informer - Sega learning from Atlus will help restore fan trust
  7. Polygon - Sega allows Atlus full use of dormant Sega IPs
  8. MCVUK - NIS America terminates Atlus partnership due to Sega
  9. Koch Media - Deep Silver to publish all Atlus titles and select Sega titles

External LinksEdit

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