Sega has scrapped merger talks with Sammy, in overnight news from Japan, that will surely come as a relief to the Sonic firm’s employees.
It is a well known fact that Sammy’s heavy-handed board caused immediate ripples throughout Sega’s delicately balanced development and publishing outfit, with insiders talking of a group of businessmen openly discussing restructuring Sega’s research and development studios in full earshot of employees.
When the merger was announced, it never really added up. Sega claimed that it wanted to make the merger to stop its escalating debts while Sammy openly admitted that its sole intention was to piggyback Sega’s strength in IP to leverage a stronger market share for its products.
As to whether Sega will now sidle up to Namco remains to be seen, though it is widely believed that Namco simply couldn’t afford to offer the financial buoyancy Sega needs to shoulder its escalating development costs across its platform-agnostic portfolio.
Perhaps Sega will announce its intentions at E3. And then again, perhaps it won’t. Whatever happens, you’ll be the first to know.
It is a well known fact that Sammy’s heavy-handed board caused immediate ripples throughout Sega’s delicately balanced development and publishing outfit, with insiders talking of a group of businessmen openly discussing restructuring Sega’s research and development studios in full earshot of employees.
When the merger was announced, it never really added up. Sega claimed that it wanted to make the merger to stop its escalating debts while Sammy openly admitted that its sole intention was to piggyback Sega’s strength in IP to leverage a stronger market share for its products.
As to whether Sega will now sidle up to Namco remains to be seen, though it is widely believed that Namco simply couldn’t afford to offer the financial buoyancy Sega needs to shoulder its escalating development costs across its platform-agnostic portfolio.
Perhaps Sega will announce its intentions at E3. And then again, perhaps it won’t. Whatever happens, you’ll be the first to know.
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