Gone is the era: SEGA says goodbye to arcades

For more than half a century the history of SEGA has been inextricably linked to arcade machines. The four blue letters are still emblazoned on amusement park buildings in every entertainment center in the world. But the business of such amusements had been going smoothly for a long time, and the coronavirus finally undermined the business. on January 28, executives of SEGA announced that they were no longer engaged in arcades and passed this direction to another firm.

The company's roots go back to the 1940s, when three American entrepreneurs founded Standard Games in Honolulu. It supplied one-armed bandits and pinball machines to military bases so that soldiers and sailors would not be bored at their leisure. After World War II, difficulties with the U.S. laws forced the business to move to Japan, where in 1954, and appeared brand Service Games - abbreviated SEGA. The company was engaged in the same issue of arcade machines and succeeded greatly, entering the top 10 largest manufacturers of these appliances. Since 1983, SEGA began producing home consoles, including the Mega Drive console, which still has a cult status in the former Soviet Union.

However, unable to compete with the giants of the market, the company is increasingly engaged in the publication of games, not devices. A landmark deal was the acquisition of the studio Creative Assembly (the authors of Total War) in 2005. Meanwhile, the arcade's profitability was steadily falling: back in the 1980s it was good business, but in the 21st century arcades remained profitable only in Japan, where it is still fashionable. Finally, the story is set: SEGA Entertainment division was bought by Genda - and now all the arcade halls of SEGA will change the brand to GiGO.