After two decades out of the console spotlight, Japan’s Sega is staging a comeback—riding high on the big-screen success of its iconic blue speedster, Sonic the Hedgehog. The 1990s video game legend has found new life in blockbuster movies, reigniting global interest in the brand and bringing a wave of fresh fans.
While 2025 has largely been dominated by rival Nintendo’s record-breaking Switch 2 console, Sega has quietly carved out a different path. Since pulling the plug on its Dreamcast console in 2001, the company has focused solely on game development for other platforms. But now, with global tourism booming in Japan and a renewed appetite for the country’s pop culture, Sega sees a golden opportunity to reinvent itself.

The company is banking on nostalgia, cinematic adaptations, and global expansion to fuel its resurgence. Following the success of its Sonic movies, Sega is diving deeper into its legacy titles, planning remakes that tap into gamer nostalgia while appealing to new audiences.

On July 18, Sega will open its first flagship merchandise store in Japan, after launching a similar one in Shanghai earlier this year—another sign of its global ambitions.
“We’ve been struggling for a while, but now we are coming back,” said Sega’s Chief Operating Officer Shuji Utsumi. With eyes now set beyond its home market, Sega is ready to power up again—this time, without needing its own console.

