Sega confirms layoffs in Western mobile division to focus on its famous characters

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.