Sega is one of the world's most prolific arcade game producers, with long-running series such as Virtua Fighter and Initial D Arcade Stage. Sonic, Sega's mascot, is internationally recognized. Sega has produced several multi-million-selling game franchises, including Sonic the Hedgehog, Total War, and Yakuza. In 2020, Sega Games and Sega Interactive merged and were renamed Sega Corporation. was established in 2015 Sega Corporation was renamed Sega Games Co., Ltd., and its arcade, entertainment and toy divisions separated into other companies. In the years since, Sega has been more profitable. In 2001, Sega stopped manufacturing consoles to become a third-party developer and publisher, and was acquired by Sammy Corporation in 2004. Later in the decade, Sega suffered several commercial failures such as the 32X, Saturn and Dreamcast consoles. The Mega Drive struggled against competition in Japan, but the Genesis found success overseas after the release of Sonic the Hedgehog in 1991 and briefly outsold its main competitor, the Super Nintendo Entertainment System, in the US. In 1988, Sega released the Mega Drive (known as the Genesis in North America). In 1984, Sega executives David Rosen and Hayao Nakayama led a management buyout, with backing from CSK Corporation. Following a downturn in the arcade business in the early 1980s, Sega began to develop video game consoles, starting with the SG-1000 and Master System, but struggled against competitors such as the Nintendo Entertainment System. Sega was sold to Gulf and Western Industries in 1969. Sega developed its first coin-operated game, Periscope, in 1966. In 1965, it became known as Sega Enterprises, Ltd., after acquiring Rosen Enterprises, an importer of coin-operated games. Shortly after, the company acquired the assets of its predecessor, Service Games of Japan. Sega was founded by American businessmen Martin Bromley and Richard Stewart as Nihon Goraku Bussan on June 3, 1960. From 1983 until 2001, Sega had also developed video game consoles.

Sega is a subsidiary of Sega Sammy Holdings. Its division for the development of both arcade games and home video games, Sega Games, has existed in its current state since 2020 from 2015 to that point, the two had made up separate entities known as Sega Games and Sega Interactive Co., Ltd. Its international branches, Sega of America and Sega Europe, are headquartered in Irvine, California, and London, respectively. Sega Corporation is a Japanese multinational video game and entertainment company headquartered in Shinagawa, Tokyo.

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