Sega sells off its arcade business due to coronavirus Eurogamer.net If you click on a link and make a purchase we may receive a small commission. Read our editorial policy. Sega sells off its arcade business due to coronavirus Insert coin? News by Wesley Yin-Poole Deputy Editorial Director Updated on 5 Nov 2020 37 comments Sega has sold off its arcade business due to coronavirus. In a press release, parent company Sega Sammy Holdings Inc said it has sold the vast majority (85.1 per cent) of Sega Entertainment, its Japanese amusement business, to amusement machine company Genda. Sega put the sale down to Covid-19, which has devastated its arcade business. Sega expects to record "extraordinary losses" from the transition. "As Amusement Center Operations area in Entertainment Contents Business is strongly affected by COVID-19, utilisation of facilities has declined remarkably, and a significant loss was recorded at 1Q of the fiscal year ending March 2021," Sega said. "In addition, despite the recent recovery trend, the situation remains uncertain. We have been considering various options in order to adapt to these changes in business aiming for improvement of the profitability and early recovery of sales of Amusement Center Operations area. "In this process, we have been discussing the transfer of SE shares to GENDA, a company that has a strong desire to expand Amusement Center Operations business and has decided to conclude the share transfer agreement at Board of Directors meeting held today." Watch on YouTube Siliconera reports Sega arcade centers will still be named Sega after the Genda handover. In an interview with Famitsu, Sega confirmed "customers will still be able to continue patronage as usual". The interview also confirmed Sega will continue to develop arcade games. In August 2020, Sega closed its Akihabara Building 2 arcade, one of the district's most iconic video game arcades. Martin Robinson's ode to Japanese arcades is well worth a read if you want to know more about the (old) scene. Become a Eurogamer subscriber and get your first month for £1 Get your first month for £1 (normally £3.99) when you buy a Standard Eurogamer subscription. Enjoy ad-free browsing, merch discounts, our monthly letter from the editor, and show your support with a supporter-exclusive comment flair! Support us View supporter archive More News Splatoon 3 Amiibos will be out next month Ink-coming! 3 Fans think Phil Spencer's shelf is teasing the Xbox Game Pass streaming box UPDATE: Xbox confirms old Keystone prototype. 59 Modder dives into Demon's Souls files following PS5 jailbreak, discovers fabled Ring of the Chieftain Who knows what's nexus? 3 Google announces cloud gaming Chromebooks less than a fortnight after Stadia shutdown GeForce Now preinstalled. 10 Latest Articles Preview Football Manager's new Console edition is the best you'll get without a PC Getting Touch-right. Splatoon 3 Amiibos will be out next month Ink-coming! 3 Fans think Phil Spencer's shelf is teasing the Xbox Game Pass streaming box UPDATE: Xbox confirms old Keystone prototype. 59 Modder dives into Demon's Souls files following PS5 jailbreak, discovers fabled Ring of the Chieftain Who knows what's nexus? 3 Supporters Only Premium only Off Topic: Take a minute to appreciate Cookin' with Coolio's incredible scallops recipe. What a great book. Premium only Off Topic: Reading City of Glass in comic form "Where exactly am I going?" Premium only Off Topic: Il Buco is a transporting film about a really big hole Underlands. Off-Topic Netflix handled Sandman brilliantly It was Dreamy. 9 Buy things with globes on them And other lovely Eurogamer merch in our official store! Explore our store