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Acquired / episode intelligence

Short: The Death of Sega

18 Apr 2023 22 published claims 2 attributable people

Speakers in the public record

Claim mix

belief 9evaluation 7commitment 2uncertainty 1preference 1recommendation 1prediction 1

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Every row below preserves an exact excerpt. Identified speakers are linked; unresolved voices are labeled and excluded from people counts.

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The useful parts, with receipts.

22 published records

01 / evaluation

Sega and its Genesis, as it was known in North America, has battled Nintendo and the Super NES to basically a tie in the US home console market, which really in practice, if you go listen to our Nintendo series, was beating the pants off of Nintendo.

“Sega and its Genesis, as it was known in North America, has battled Nintendo and the Super NES to basically a tie in the US home console market, which really in practice, if you go listen to our Nintendo series, was beating the pants off of Nintendo.”
Speaker
David Rosenthal
Publisher
Acquired

04 / uncertainty

One of the original founders from back in the day, a guy named David Rosen, and a Japanese entrepreneur of a company Sega had acquired named Hayao Nakayama, engineer a management buyout of Sega for the grand total price—I don't know if this is in PitchBook—of $38 million.

“One of the original founders from back in the day, a guy named David Rosen, and a Japanese entrepreneur of a company Sega had acquired named Hayao Nakayama, engineer a management buyout of Sega for the grand total price—I don't know if this is in PitchBook—of $38 million.”
Speaker
David Rosenthal
Publisher
Acquired

06 / belief

After the potential Sony partnership that we referenced earlier fell apart between Sega and Sony, he came back to Sega of Japan with a pitch saying, I just met with Jim Clark, I really think we should do something with SGI, I think our next generation console should be powered by SGI.

“After the potential Sony partnership that we referenced earlier fell apart between Sega and Sony, he came back to Sega of Japan with a pitch saying, I just met with Jim Clark, I really think we should do something with SGI, I think our next generation console should be powered by SGI.”
Speaker
Ben Gilbert
Publisher
Acquired

07 / belief

I believe, personally, in 2001, the writing was on the wall, he was coming to the end of his life, he actually forgave Sega’s debts to him ahead of his death, and returned $695 million worth of Sega and CSK stock, which basically was the bridge that Sega needed to transition a massive shift from the Sega that we've been talking about this whole episode to just being the game creator that they are today.

“I believe, personally, in 2001, the writing was on the wall, he was coming to the end of his life, he actually forgave Sega’s debts to him ahead of his death, and returned $695 million worth of Sega and CSK stock, which basically was the bridge that Sega needed to transition a massive shift from the Sega that we've been talking about this whole episode to just being the game creator that they are today.”
Speaker
Ben Gilbert
Publisher
Acquired

13 / evaluation

Because of the home video game crash in America, video games in general just became this toxic asset that nobody wanted to own, especially Paramount and Warner Brothers was divesting Atari.

“Because of the home video game crash in America, video games in general just became this toxic asset that nobody wanted to own, especially Paramount and Warner Brothers was divesting Atari.”
Speaker
David Rosenthal
Publisher
Acquired

14 / evaluation

The home systems, even the NES, as amazingly groundbreaking as it was, because the console cycles have to be designed to last so long, that's not where the latest cutting edge stuff is.

“The home systems, even the NES, as amazingly groundbreaking as it was, because the console cycles have to be designed to last so long, that's not where the latest cutting edge stuff is.”
Speaker
David Rosenthal
Publisher
Acquired

15 / evaluation

Ultimately, despite all this hand wringing over these games and everything coming out with these CD add-ons, there is a fundamental problem with what Sega is doing here, and that is that add-on technology for consoles is never really a good idea because the business model of the video game console industry is a razor and blades model.

“Ultimately, despite all this hand wringing over these games and everything coming out with these CD add-ons, there is a fundamental problem with what Sega is doing here, and that is that add-on technology for consoles is never really a good idea because the business model of the video game console industry is a razor and blades model.”
Speaker
David Rosenthal
Publisher
Acquired

16 / preference

The other version is both way more charitable to Sega, the parent company in Japan, and also I think way more interesting in terms of lessons we can take from it, so let's tell it.

“The other version is both way more charitable to Sega, the parent company in Japan, and also I think way more interesting in terms of lessons we can take from it, so let's tell it.”
Speaker
David Rosenthal
Publisher
Acquired

18 / evaluation

Sega has got hundreds of these arcades that they are just printing cash out of because they're making money from selling the cabinets to their own arcades, other arcades, and then the arcades themselves are hugely profitable businesses.

“Sega has got hundreds of these arcades that they are just printing cash out of because they're making money from selling the cabinets to their own arcades, other arcades, and then the arcades themselves are hugely profitable businesses.”
Speaker
David Rosenthal
Publisher
Acquired
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