Join gaming leaders, alongside GamesBeat and Facebook Gaming, for their 2nd Annual GamesBeat & Facebook Gaming Summit | GamesBeat: Into the Metaverse 2 this upcoming January 25-27, 2022. Learn more about the event. 


Sega confirmed to GamesBeat that it has handed out layoffs at Sega Networks, its mobile division in the West.

The company attributes the changes to a new focus on IP-based games created by internal studios, bringing popular Japanese mobile games to the West, and “mass market view-per-play games designed to further Sega’s network strategy in the West.” The mobile market is worth $34.8 billion, according to market research firm Newzoo, but mega-publishers like King and Supercell dominate outside Japan. It can be difficult for other companies, even those established in more traditional gaming markets like Sega, to compete. Sega also faces competition in Japan from giant mobile hits like Puzzle and Dragons and Monster Strike.

Sega would not confirm to GamesBeat exactly how many employees it let go.

“In response to challenging and hyper-competitive mobile market conditions, Sega Networks Inc., Sega’s mobile division in the West, has refocused its operations and made a reduction in workforce,” Sega told GamesBeat. “As a result, we said goodbye to our talented friends and colleagues at Three Rings Design Inc. alongside a small number of team members on the publishing side of Sega’s mobile division.”

Event

The 2nd Annual GamesBeat and Facebook Gaming Summit and GamesBeat: Into the Metaverse 2

January 25 – 27, 2022

Learn More

Three Rings Design created mobile games like Spellwood and Corpse Craft. When Sega talks about focusing on IP-based games, it likely means more titles based on its famous Sonic character. Mobile games like Sonic Dash have already done well for the company.

GamesBeat's creed when covering the game industry is "where passion meets business." What does this mean? We want to tell you how the news matters to you -- not just as a decision-maker at a game studio, but also as a fan of games. Whether you read our articles, listen to our podcasts, or watch our videos, GamesBeat will help you learn about the industry and enjoy engaging with it. Learn More