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Sega arcades will vanish from Japan as company exits amusement business

New owner Genda will rebrand Sega game centres under the 'Genda Gigo' banner.

Chris Kerr, News Editor

January 28, 2022

1 Min Read

Sega is selling the remaining 14.9 percent of its amusement centre business to Genda Inc.

The news was announced in a Japanese press release (via Google translate), and means Sega branding will now be stripped from arcades around Japan.

Genda purchased 85.1 percent of Sega's iconic Sega Entertainment amusement segment in 2020, and has now agreed to acquire all outstanding shares.

Following the deal, the company intends to change the name of the business from 'Genda Sega Entertainment' to 'Genda GiGo Entertainment.'

"We have decided to change the store name of game centers nationwide operated under the 'SEGA' brand to 'GiGO.' As a result, we have decided to change the company name to GENDA GiGO Entertainment Co., Ltd." reads a press release.

Sega began selling off its amusement centre operations after struggling to cope with the impact of COVID-19, with a drop-off in customers resulting in a "significant loss" during 2020.

About the Author(s)

Chris Kerr

News Editor, GameDeveloper.com

Game Developer news editor Chris Kerr is an award-winning journalist and reporter with over a decade of experience in the game industry. His byline has appeared in notable print and digital publications including Edge, Stuff, Wireframe, International Business Times, and PocketGamer.biz. Throughout his career, Chris has covered major industry events including GDC, PAX Australia, Gamescom, Paris Games Week, and Develop Brighton. He has featured on the judging panel at The Develop Star Awards on multiple occasions and appeared on BBC Radio 5 Live to discuss breaking news.

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