NEWS - Wednesday, July 10, 2002

Sega looking to acquire publishers

In a Reuters report on it’s reported that Sega is looking to acquire other publishers in the United States and Europe as part of its bid to become the largest player in the booming field, a senior company executive said on Tuesday. Sega has set a goal of becoming the No. 2 game publisher in the United States this year and vying for the No. 1 spot globally through fiscal 2004. Sega vice president, Charles Bellfield, told Reuters that Sega, which abandoned the hardware market 18 months ago to focus exclusively on game software, is looking at a wide range of possible business combinations. Bellfield said the only independent game publisher that Sega could rule out at the moment as an acquisition target was No. 1 publisher Electronic Arts Inc., with a market capitalization of more than $8 billion and annual revenue of more than $1.7 billion. Bellfield said Sega had been set to announce a deal with a game publisher at the industry’s Electronic Entertainment Expo in May, but the agreement fell through. He declined to name the company. The most "interesting opportunities" for potential acquisitions were among the smaller, listed publishers that might provide development teams and intellectual property, such as rights to game franchises, Bellfield said. But, he added, "(I) can’t confirm or deny any particular talks with any particular company at this point." The smaller U.S. listed game publishers, include notable names like Acclaim Entertainment Inc, Midway Games Inc., Interplay Entertainment Corp. and 3DO Co. For more information along with the specs, digits, and other financial biz regarding Sega’s goals, be sure to check out the Reuters report.


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