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The rest of the post should be taken as speculation from a dedicated fan of the company and game industry as a whole and not as a financial advisor. However, the day after their stock rose 5% and is showing signs of continual growth.Īfter the break I discuss the potential cancellations, their effects, observe the negatives and positives of the change and attempt to discover if SEGA truly is in trouble or if the downsizing is the start of a brilliant strategy. They expect a net loss of ¥7.1 billion ($86.4 million) as part of the reform and news of this dropped their entire company’s stock 4%.

Immediate reconstruction has taken place going into their new fiscal year. Initially, rumors ran rampant and confused a large amount of fans across the globe, the worst of which was that the entire United States branch of SEGA had completely shut down, which of course is not the case. Last week, news from SEGA of America broke that saw numerous members of staff fired, games canceled and a general downsizing of the entire branch of SEGA of America.

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