Sega is considering a Netflix-like gaming subscription service

Sega is considering launching its own Netflix-like video game subscription service, a move that will accelerate gaming's transition to streaming.

There are already a number of similar services on the market – such as Xbox Game Pass and PlayStation Plus – where gamers pay a monthly fee to access a set of titles rather than owning them outright.

Sega president Shuji Utsumi told the BBC that such subscription products were “very interesting” and his company was “evaluating some possibilities”.

“We are considering something – and discussing something – that we cannot disclose at this time,” he said.

Some in the industry expressed concern about the move, but told the BBC it could see gamers “throw more money” at multiple subscription services.

It's not just Sony and Microsoft that offer game subscriptions – there are already countless players in the space, with competitors like Nintendo, EA and Ubisoft offering their own membership plans.

Various Sega games are currently available on multiple streaming services.

The amount these services charge individually varies depending on the features and games provided. For example, Xbox Game Pass prices range from £6.99 to £14.99 per month, while PlayStation Plus ranges from £6.99 to £13.49 per month.

So it would make financial sense for Sega to have people who play its titles pay subscription fees to it rather than its competitors.

It might also appeal to people who mostly want to play Sega games – but for everyone else it might come at a higher cost.

Rachel Howey streams while playing games on Twitch, where she's known as DontRachQuit to her fans, and said she's “excited and worried” about another subscription service

“We already have so many subscriptions that it's very difficult for us to justify signing up for a new one,” she told the BBC.

“I think SEGA will definitely have a core niche audience that will benefit from this, but will the average gamer choose this over something like Game Pass?”

And Sophie Smart, production director at UK developer No More Robots, agreed.

“As someone whose first console was a Sega Mega Drive, what I would like more than anything is to see Sega flourish and for this to feel like a step in a modern direction,” she said.

But she wondered if Sega had really created a competing subscription service if it would result in their games being removed from other services.

“If so, that could mean consumers are spending more money to own multiple subscription services,” she said.

Shuji Utsumi spoke to the BBC ahead of the Sonic 3 movie premiere on Saturday, after a year in which he oversaw the release of Metaphor: ReFantazio, Like a Dragon: Infinite Wealth and the latest Sonic the Hedgehog game.

Our conversation began in an unexpected way.

The first thing Mr. Utsumi told me seemed to suggest that the company that dominated gaming in the 1990s with the rivalry between Sonic the Hedgehog and Nintendo's Super Mario might have lost its way.

“I want to make Sega really shine again,” he said.

He said that Sega was focusing too much on domestic success in Japan and needed to re-establish itself on the global stage, which would mean going beyond its base.

“Sega is kind of losing credibility,” he said.

“But why? Sega has a great RPG group, Sega has amazing IPs, Sega is a really well known brand.

“So I was like, hey, now's not the time to be defensive, it's more offensive.”

He said the company was too concerned with controlling costs when he took over, and he wanted to “bring a rock 'n' roll mentality” to the games.

When I told him that sounded familiar—Sega's marketing in the '90s often tried to position Sonic the Hedgehog as the cool alternative to Mario—he agreed.

He said now the company just needs to “make a great game” in the series.

“The next one is going to be a pretty challenging, pretty exciting game that we're working on,” he said.

But he wouldn't reveal whether Sega is considering a sequel to the much-loved Sonic Adventure series.

“Sonic Adventure changed the game for Sonic,” he said.

“When we release it, it has to be good, it has to be impressive – we have to meet or even exceed people's expectations, so it takes a while.”

A part of the series that fans have been clamoring to return is the Chao Garden – a much-loved virtual pet synonymous with Sonic Adventure.

Mr Utsumi said “we've talked about it” – but wouldn't go into more detail, only that he couldn't “say too much about it”.

Mr. Utsumi unsurprisingly talked about the company's successes this year, which include winning multiple gaming awards with new IP Metaphor: ReFantazio, made by the team behind the Persona series.

But it wasn't all positive for the firm, with job cuts in March and Football Manager 2025 being delayed until next year.

“It was a tough decision,” he said of the layoffs in which 240 people lost their jobs.

“But when you regain the initiative, you have to make that difficult decision.”

And he said Football Manager was delayed because of a “quality issue”.

“I mean, financially, maybe making the game available early might be the better choice.

“But we decided to maintain the level of quality – to maintain that discipline.”

And he also talked about how Sega's year has been outside of gaming, with several film and TV adaptations, capped off with the third Sonic the Hedgehog movie out on Saturday.

“Just watched the movie – it's so funny. It would be nice if this kind of excitement continued.”