SEGA is struggling this year, blaming “the challenging economic climate and significant changes in the home video game software market environment in the U.S. and Europe.” As a result, SEGA has decided to restructure itself to stay afloat.
SEGA is focusing on “streamlining organizations” in the U.S. and Europe and seeks to “strengthen development” in the digital market. More importantly, the company is cutting upcoming games to focus instead on such franchises as “‘Sonic the Hedgehog’, ‘Football Manager’, ‘Total War’ and ‘Aliens’ which are expected to continue posting solid earnings.”
These changes are expected to decrease operation costs in the next fiscal year. SEGA will be posting an “extraordinary loss” of “7.1 billion yen” (roughly $86 million USD) in the year ending March 2012.
To read the official document detailing these changes, go here.