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Sega Kills Off Dreamcast

As reported earlier, Sega haven't the stomach for this any more. Production of Dreamcast ends in March

Dark blue icons of video game controllers on a light blue background
Image credit: Eurogamer

We reported earlier today that Sega would be developing games for other formats than the Dreamcast in a move to try and increase their share of the software sector. Just now we received word from MCV that Sega have announced huge losses, and intend to pull out of the console hardware market ceasing production of the Dreamcast hardware at the end of March. This is Sega's "fourth straight year of losses, mainly caused by Dreamcast," and it has caused a "radical rethink of [Sega's] strategy." The machine will still be sold and marketed throughout 2001, until the inventory is halted. Confirmation from MCV is that Sega has five PlayStation 2 titles in the pipeline and two GameBoy Advance titles. We should have more on these in the near future. As big fans of Sega's consoles over the years, the news is very disheartening for us, the staff of EuroGamer. We can only hope that Sega's games on other formats do as well as we feel its consoles have done.

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