Sega Halves Financial Forecast, Forced To Cancel Games
Many of your games haven't been up to snuff for quite some time, Sega. Not to add insult to injury or anything...
According to GameSpot, Sega has revealed bad news for gamers and shareholders: They're halving their financial forecast for the fiscal year, canceling some projects, and restructuring due to the "rapid change" in the game market.
We don't know which games were dispatched but it's enough to know that some projects have to be abandoned. They did say upcoming titles in the Sonic the Hedgehog, Football Manager, Total War, and Aliens franchises are safe, so at least those fans can breathe a sigh of relief (for now). As for those "rapid changes," Sega apparently hasn't been able to keep up, as they are predicting a drastic loss of 7.1 billion yen ($86.4 million) for the year ending tomorrow, March 31. Of that loss, 4.9 billion yen ($59.7 million) is due to the restructuring.
Furthermore, the company says they plan to "streamline its organization in the United States and Europe; the idea is that doing so will put them in a better position for "sustained profitability." They also want to do more in the digital market, which has proven lucrative for various game publishers. Overall, profits are expected to drop nearly 50%, so all this shifting seems justified, yes? Let's hope it works.
'sigh' Not to depress anyone, but remember the days of Nintendo vs. Sega when they were basically the only two video game companies in the world that mattered?
3/30/2012 10:15:30 AM Ben Dutka