Due to restriction of movement over the months because of the coronavirus arcades have taken a huge hit and that’s leading Sega to give up. Sega has allegedly sold 85.1% of its Japanese arcade business, Sega Entertainment, to the amusement machine company “Genda”. Its amusement unit has taken a huge blow due to lack of finance coming from the arcade, and it wants a company that can change with the times and lessens its fixed costs.
Extraordinary losses are still expected from the transfer. Although the arcade was recovering after the pandemic as it may seem, all they have isn’t enough to prompt the selloff.
Sega told Famitsu in an interview that customers can still come to visit, and that it would still create arcade games. It was noted by Genda aimed to expand the amusement facility business, although it seems Sega’s plans to turn arcades into “fog gaming” data centers didn’t pan out.
It’s actually the end of the way for them. Sega’s arcades are an interesting part of the Japanese landscape. Sega had shut down its Akihabara Building 2 arcade in August, so don’t be shocked if there’s is more to come. Arcades by their definition involve many people touching the same controls and always coming close to each other. I guess it’s actually quite thoughtful of them since all they want is for everybody to be safe until the pandemic is over.
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