SEGA is pulling out of the Japanese arcade business after an iconic 50 year run. The company’s logo is synonymous with Tokyo’s once-bustling arcade scene, but it will sell all of its existing amusements to Genda Inc, a rival organisation that operates locations under the GiGO branding. It’s the end of an era, but hardly surprising – the coronavirus pandemic accelerated a decline in arcade foot traffic.
The writing was on the wall back in 2020, when SEGA shifted roughly 85 per cent of its arcade shares over to Genda Inc, but it’s now decided to flog the rest. Arcades have been on the decline globally for many years, but have been much slower to die out in Japan. It’s a sad but altogether inevitable end for a publisher who packed so much joy into the humble quarter.
[source twitter.com, via eurogamer.net]
Comments 34
Hey look. It's the place from Lost Judgement!
A shame but they had a good run. I wonder if this will affect future RGG studio games.😄
Devastating news. Visiting these arcades when i visited Japan remain special memories. There was something special about them that will sadly be lost. At least the arcades are being preserved in someway, but it wont feel the same
Sad news but oh well - the times they are a-changing
A shame, but really the Arcade was destined to 'disappear' as gaming moved into the homes and hands of players everywhere. With the Pandemic too, being in indoor environments close to others certainly isn't going to be 'ideal' and those 'few' existing Arcades must have struggled a lot over the past few years.
Its an industry that was just about hanging on thanks to 'nostalgia' but even after the pandemic is 'over' and the 'threat' of infections has passed, the Arcade is unlikely to pick up and be commercially viable to bring back gamers to the Arcade when they have the ability to game literally everywhere.
Please give us Sega Rally Arcade version on consoles! Sega would make a fortune and help build buzz for a new update
They will continue to flourish within all future Yakuza games
Very sad news…there’s something special about being in a real arcade like that.
Doesn't everyone in Japan play on portable gaming systems only now anyway? How have arcades survived this long over there?
I'm kinda sad I never had the opportunity to visit one of these iconic locations, but, honestly, with the pandemic, I expected this to happen sooner than later.
@Uncharted2007 Arcades we're still big for both having gaming communities and providing the type of games you can't play as easily from home (games with weird gimmick controls and crane games for example). In fact crane games were still really popular there when I went a couple years back.
Genda-sensei bought the arcade? What does this mean for Kamurocho!?
@Uncharted2007
I think it was the community aspect that kept it alive so long in Japan.
It was healthy enough for Tekken 7 and Street Fighter IV to see arcade releases.
@Starkei If Judgment 3 or Yakuza 27 happen, the arcade will become an empty building... or will be a place that used to be something and is now a gang hideout.
The Yakuza games should reference this in side story in which ever game is next
I always get a little sad about stories like this, because my wife and I had a very important second date at SEGA World in London where we met studying abroad. Our first date was great, but it was pretty formal-we went to a play and a nice dinner. But I think my future wife wanted to make sure I could be relaxed fun too, so she suggested Planet Hollywood and SEGA for date #2. We had a blast over hours of bad fries and arcade games, and by date #3 we were talking seriously about our future together.
That date was more than two decades ago. London SEGA World is long closed, and now all the others are officially joining it. But I truly believe that that date at that arcade helped change the course of my whole life. This is why games rule!
If only konami's pachinko division went out of business.
i never been to an arcade . don’t even know what kind of games they ha(d)ve
I'll always have Outrun.
@Rob_230
Yes, I had to cancel my trip to Japan last year for obvious reasons and now I’m sad I’ll not be able to go the a SEGA arcade 😭
I wonder what sega will do with the extra human resources and whatnots. With the arcade segment gone, will they focus more on consoles or mobile(considering that's what killed arcades).
This sadly makes SEGA more interesting for takeovers by certain companies that would otherwise have no interest in the arcade business....
@BAMozzy as someone who visited Tokyo 2 times already, I can tell you that Arcades do still work in Japan. And it's not just gaming machines, there are 1 to 2 floors with luck or grapple arm machines. Or capsule toy machines.
I think it's sad, it's also a big memory I share with Tokyo. But I think, the Taito arcades were better.
@RevGaming
I immediately thought of where Kiryu used to play in Yakuza. Lol
never had any real arcades in my area that I recall, most of them were tacked on rubbish in cinemas or inside mini casinos, they're coming back more now as barcades, just having a room filled with machines and not much else is pretty old hat
@OneWingedAngel I did beat Lost Judgement last month lol. Immediately clicked.
Why have arcades when you can have NFTs in your pants linked to your bank?
@Westernwolf4 nice story man, hope you’re both doing well and at least you have those fond memories!
@Dodoo Thank you so much! We are doing great-married for well over two decades and she hasn't thrown me out yet! I hope your weekend is full of great games!
RIP Arcades, you entertained me alot when I was a child.
The end of an era. I remember getting in trouble for ditching school and heading to an arcade. That was still totally worth it.
@Westernwolf4 that was a great story to read.
Have an awsome weekend 🤜🤛
I wonder if they'll also retire the places in the Yakuzaverse, that would be kind of sad.
@Kidfunkadelic83 Thanks! I hope you have a great weekend too!
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