Here are some quick facts concerning a recent interview conducted by Business Week Online with head guy of Sega.Com, Brad Huang:
- Sega’s market share has risen from 0.5% to 15%, with 2 million Dreamcast systems sold.
- Analysts believe that if Sega’s new online push succeeds, Sega could have 25% of the console market before even the PS2 launches in America.
- The article refers to Huang as “a brilliant China-born economist and entrepreneur [who] persuaded Sega Enterprises Chairman Isao Okawa to make a preemptive first strike on the Internet front.”
- Sega will be supporting the rollout of the SegaNet service with a $135 million advertising blitz – a full $35 million over last year’s total.
“Last April, as Okawa was preparing a layoff of 25% of Sega’s staff amid rising losses, the founder was glad to listen when Huang offered a plan to remake the company.”
- Apparently, Huang was highly influential in the American DC launching with a modem. According to the article, Okawa’s management team was against the idea due to the added cost.
- This SegaNet deal could, in analyst’s eyes, turn Sega from a 2.5 billion company to a company worth more than 10 billion.
- “Smart-matchmaking” software will prevent gamers with DSL lines from playing against gamers using a modem
- An analyst believes around 500,000 current DC owners will sign up for the two-year deal in order to get the $200 rebate, and a million new customers will sign on to get the Dreamcast for free.
- Huang is apparently interested in action flicks and, 15 months ago, he bought a script for a movie based on one of Sega’s games. Although Okawa has yet to approve of the film, Huang is already making arrangements in the Los Angeles headquarters of Warner Brothers.
Wow…it seems that in this early stage, some market analysts are already praising Sega’s venture into the ISP front. However, only time will tell, and the truth should come out as we get closer and into SegaNet’s launch.