Editing Sega (section)

===Current status (2006–present)===
By the end of 2005, Sega experienced strong earnings growth across multiple divisions. Contributing to the company's success were strong pachinko sales,<ref>{{Cite web |url=http://www.segasammy.co.jp/english/pdf/release/Notice070206-Adjustment%20_2_.pdf |title=Notice of Adjustment to the Forecasts of Whole-Year Operating Results for the Year Ending March 31, 2006 |date=31 March 2006 |publisher=Sega Sammy Holdings |archiveurl=http://web.archive.org/web/20070925210730/http://www.segasammy.co.jp/english/pdf/release/Notice070206-Adjustment%20_2_.pdf |archivedate=25 September 2007 |accessdate=10 November 2018|format=PDF}}</ref> and sales of software titles ''Ryu Ga Gotoku'' (known as ''Yakuza'' outside of Asia), ''Mushiking'', and ''[[Sonic the Hedgehog (2006)|Sonic the Hedgehog]]''.

In an effort to appeal to western tastes, they partnered with Obsidian Entertainment to develop a new RPG for the [[PlayStation 3]], [[Xbox 360]], and PC based on the Aliens Franchise.<ref>{{Cite web |last=Bramwell |first=Tom |url=http://www.gamesindustry.biz/content_page.php?aid=15612 |title=SEGA signs Obsidian for next-generation RPG |publisher=Games Industry |date=23 March 2006 |archiveurl=http://web.archive.org/web/20071011110302/http://www.gamesindustry.biz/content_page.php?aid=15612 |archivedate=11 October 2007 |accessdate=10 November 2018}}</ref> The partnership was the latest in a series of collaborations with western video game studios, including Monolith Productions (''Condemned: Criminal Origins''), Bizarre Creations (''The Club''), and Silicon Knights (who have yet to announce their project with Sega).

That desire to have a more Western appeal for Sega was shortly followed up by Sega acquiring British developer Sports Interactive after a successful run of publishing ''Football Manager 2005'' and ''Football Manager 2006'', in which they managed to sell 1.5 million copies,<ref>{{Cite web |last=Bramwell |first=Tom |url=http://www.gamesindustry.biz/content_page.php?aid=15831 |title=SEGA acquires Sports Interactive |publisher=Games Industry |date=4 April 2006 |archiveurl=http://web.archive.org/web/20060904023142/http://www.gamesindustry.biz/content_page.php?aid=15831 |archivedate=4 September 2006 |accessdate=10 November 2018}}</ref> the deal was said to be worth in the region of £30 million ($52 million) by Miles Jacobson, Sports Interactive's Managing Director.<ref>{{Cite web |author=GamesIndustry.biz staff |url=http://www.gamesindustry.biz/content_page.php?aid=15856 |title=Sega deal is worth "circa GBP 30m" - Sports Interactive boss |publisher=Games Industry |date=4 April 2006 |archiveurl=http://web.archive.org/web/20060627185659/http://www.gamesindustry.biz/content_page.php?aid=15856 |archivedate=27 June 2006 |accessdate=4 August 2018}}</ref> This was, however, not the only developer Sega acquired, as they also purchased American developer Secret Level. Although the terms of the deal were not disclosed,<ref>{{Cite web |last=Gibson |first=Ellie |url=http://www.gamesindustry.biz/content_page.php?aid=15834 |title=SEGA establishes new internal development arm in US |date=4 April 2006 |publisher=Games Industry |archiveurl=http://web.archive.org/web/20071211035924/https://www.gamesindustry.biz/content_page.php?aid=15834 |archivedate=11 December 2007 |accessdate=4 August 2018}}</ref> Secret Level had begun work before being bought by Sega to "recreate a classic Sega franchise" for the PS3 and Xbox 360 in July 2005, which was revealed to be ''Golden Axe: Beast Rider'' later that year.

While Sega continued its expansion in the West, on 8 May 2006, it was announced Sega of Japan begun helping famed Sega developer and [[Sonic Team]] head [[Yuji Naka]] (known for being the main programmer for the original ''[[Sonic the Hedgehog series|Sonic the Hedgehog]]'' games and ''Nights into Dreams'') to start up his own company titled "[[wikipedia:Prope|Prope]]" (Latin for "beside" and "near future")<ref>{{Cite web|url=http://prope.jp/|title=株式会社プロペ 公式サイト}}
</ref> in which Sega helped provide 10% startup capital<ref>{{Cite web |last=Gibson |first=Ellie |url=http://www.gamesindustry.biz/content_page.php?aid=16707 |title=Sonic creator sets up new studio with help from SEGA |publisher=Games Industry |date=8 May 2006 |archiveurl=http://web.archive.org/web/20070301121025/ttp://www.gamesindustry.biz/content_page.php?aid=16707 |archivedate=1 March 2007 |accessdate=10 November 2018}}
</ref> and have the option to publish games produced from the studio if they wished to.

Due to the continued success of Sega’s software sales, the company reported on 17 May 2006 a 31% rise in net profits from that of the previous year of the period ending 31 March 2006, being posted at ¥66.2 billion ($577 million USD), as well as an increase in operating profit growing by 13% from the previous year, being posted at ¥553.2 billion ($4.82 billion USD).<ref>{{Cite web |url=http://www.segasammy.co.jp/english/pdf/release/tanshin_english_final.pdf |title=Consolidated Financial Statements |publisher=[[Sega Sammy Holdings]] |date=16 May 2006 |archiveurl=http://web.archive.org/web/20071202123658/http://www.segasammy.co.jp/english/pdf/release/tanshin_english_final.pdf |archivedate=2 December 2007 |accessdate=10 November 2018}}</ref> Notable titles to have helped Sega increase profits in the west, such as ''[[Shadow the Hedgehog (game)|Shadow the Hedgehog]]'' (which sold over a million copies)<ref>{{Cite web |last=Loughrey |first=Paul |url=http://www.gamesindustry.biz/content_page.php?aid=17074 |title=Sega Sammy reports 31 per cent rise in profits |publisher=Games Industry |date=17 May 2006 |archiveurl=http://web.archive.org/web/20071011110328/http://www.gamesindustry.biz/content_page.php?aid=17074 |archivedate=11 October 2007 |accessdate=10 November 2018}}
</ref> and ''[[Sonic Riders]]'', whilst in Japan, games such as ''Yakuza'', ''Mushiking'' and ''Brain Trainer Portable'' continued to have strong sales.

Although Sega seemed poised to continue increasing profits, the company reported a massive drop of 93% profits for the period ending 30 June 2006 compared to the same period the previous year. Net income for the company dropped from $98.3 million (a year earlier) to $7.12 million for this period as well as total sales dropping from $926.5 million to $809.1 million,<ref>{{Cite web|title=CONSOLIDATED FINANCIAL STATEMENTS |url=http://www.segasammy.co.jp/english/pdf/release/200703_1q_e.pdf |publisher=[[Sega Sammy Holdings]] |date=28 July 2006 |format=PDF}}</ref> Sega reported that the decrease in profits was due to no significant big releases by its slot machine division.

Despite this, Sega reported in November a massive 52% rise in profits for the periods between April and September 2006, compared to the same period last year.<ref>{{Cite web |url=http://www.segasammy.co.jp/english/pdf/release/200609tanshin_englishver_1110.pdf |title=Consolidated Financial Statements |date=10 November |archiveurl=http://web.archive.org/web/20070106075912/http://www.segasammy.co.jp/english/pdf/release/200609tanshin_englishver_1110.pdf |publisher=[[Sega Sammy Holdings]] |archivedate=6 January 2007 |accessdate=10 November 2018}}</ref> Software sales for the company had also increased with 5.75 million. Of those units, 1.76 million were sold in Japan, 1.59 million in Europe, 2.36 million in the US and 30,000 in other regions.<ref>{{Cite web |last=Martin |first=Matt |url=http://www.gamesindustry.biz/articles/sega-sammy-bolstered-with-52-per-cent-profits-rise |title=Sega Sammy sees 52 per cent profits rise |publisher=Games Industry |date=13 November 2018 |archiveurl=http://web.archive.org/web/20080424022853/http://www.gamesindustry.biz/articles/sega-sammy-bolstered-with-52-per-cent-profits-rise |archivedate=24 April 2008 |accessdate=10 November 2018}}
</ref> a number of titles were said to have performed well, in particular ''[[wikipedia:Super Monkey Ball: Touch & Roll|Super Monkey Ball: Touch &amp; Roll]]'' for the Nintendo DS and ''Football Manager 2006'' for the [[Xbox 360]] having sold well. While Sega performed better in 2006, they had slashed their forecasts for the year ending March 2007 by 20% with an anticipated profit of $536.7 million, down from the initial profits of $656.7 million.

On 26 August 2007, IGN Australia announced that Sega would re-establish itself in Australia, ending THQ Asia Pacific's distribution of Sega products in Australia. Sega Australia has a very close relationship with Nintendo Australia, despite Sega Ozisoft and NAL previously being rivals in the Australian gaming market. Sega Australia currently do not distribute in New Zealand, instead like most other Australian publishers, they opt to let retailers take care of the distribution e.g. EB Games Australia and Kmart.

Continuing to prepare more games for the Western market, Sega was able to bridge a partnership with New Line Cinema in September to develop a game for the movie tie-in game ''The Golden Compass'' <ref>http://web.archive.org/web/20061109161314/http://www.sega-europe.com/en/NewsStory/1293.htm</ref> and also partnered themselves with Fox to develop two new games based on the ''Alien'' franchise.<ref>{{Cite web|title=ALIENS |url=http://aliens.sega-europe.com/en/index.html |archiveurl=https://web.archive.org/web/20070106234439/http://aliens.sega-europe.com/en/index.html |archivedate=6 January 2007 }}</ref> Sega then assigned critically acclaimed developers Gearbox software to develop a first person shooter (''Aliens: Colonial Marines'') and Obsidian Entertainment to develop an RPG based on the popular film franchise for the [[PlayStation 3]], [[Xbox 360]], and [[PC]]. The latter was cancelled for undisclosed reasons by Sega. However, ''Aliens: Colonial Marines'' continued production by Gearbox and was released 12 February 2013. Sega has also been publishing games from independent studios (such as Platinum Games).

Sega has also designed an online Flash game site named [[PlaySega]], which included both original games and ports of classic games.<ref>{{Cite web |url=http://playsega.com |archiveurl=https://web.archive.org/web/20100118093853/http://www.playsega.com/ |archivedate=18 January 2010 |title=PlaySEGA}}</ref> Users of this site earned various amounts of "PlaySEGA Rings," which they could have used to customize and house their avatar or enter weekly cash drawings.

On 10 February 2009, Sega approved a patent for two controller designs, one that looks similar to the [[Sega Saturn]] 3D pad with a added touch screen device and one that looks similar to the [[Sega Mega Drive]] 6-button pad.<ref>{{Cite web|url=http://www.patentgenius.com/patent/7488254.html |title=Controller and expansion unit for controller |archiveurl=https://web.archive.org/web/20090803134142/http://www.patentgenius.com/patent/7488254.html |archivedate=3 August 2009}}</ref> Sega also approved a patent for USB Flash Memory cards and hard drive on 7 July 2009.<ref>{{Cite web|url=http://www.patentgenius.com/patent/7556197.html |title=Card stack reader, card thereof, card case, method for manufacturing card, game machine using the same, computer-readable storage medium on which game program is recorded |archiveurl=https://web.archive.org/web/20091217194148/http://www.patentgenius.com/patent/7556197.html |archivedate=17 December 2009}}</ref> Because of these patents, rumors have been spreading that Sega is going to release a new home console based on Ring hardware in 2010 or 2011. There have also been rumors about a "Dreamcast 2", but Sega has announced nothing about these - and rumors is all they are - and the "Sega Phoenix". Sega announced that it has hired a company for a licensed console called "Sega Zone". It's an updated Zone 40 (available in Europe) with 20 classic Sega titles and 30 other games. Sixteen of those games will be motion-controlled. The system will not run additional games that do not come with the system. It's a plug in and play interface. The package will come with two controllers that are similar to the Wii Remote. It's will be released in the Summer and will be priced at £50 (about $80 US). This is an official Sega licensed product, and not a console that has been officially designed by Sega, nor is it rumored Ring-edge console.

On 17 May 2013, Nintendo announced a worldwide partnership with Sega for the Sonic the Hedgehog franchise. The next three ''Sonic'' games (''[[Sonic Lost World]]'', ''[[Mario & Sonic at the Sochi 2014 Olympic Winter Games]]'' and ''[[Sonic Boom: Rise of Lyric]]''/''[[Sonic Boom: Shattered Crystal]]'') would be released exclusively to Nintendo consoles ([[Wii U]] and [[Nintendo 3DS]]). On that same day, Sega Europe announced that the publishing and distribution rights for those three Sonic games in Europe and Australia would be Nintendo's responsibility. Sega, however, published ''Sonic Lost World'' in North America and Japan. On 17 May 2019, Sega and [[Hardlight]] advocated their support for the [[Wikipedia:LGBT community|LGBTQ+]] community.<ref name="LGBT">{{Cite web |url=https://twitter.com/SEGAHARDlight/status/1129402169155887104 |title=SEGA HARDlight on Twitter |work=Twitter |date=17 May 2019 |accessdate=17 July 2019}}</ref>

On 17 April 2023, SEGA announced that it would acquire [[Rovio Entertainment]] for €706 million ($776 million), expanding its portfolio to include the ''Angry Birds'' Franchise<ref>{{cite web|url=https://www.gamesindustry.biz/sega-to-acquire-rovio-in-706-million-deal|title=Sega to acquire Rovio in €706 million deal|date=17 April 2023|accessdate=23 April 2024}}</ref> with the sale finalized on 18 August 2023.<ref>{{cite web|url=https://www.gamesindustry.biz/sega-finalizes-purchase-of-rovio|title=Sega finalizes purchase of Rovio|date=18 August 2023|accessdate=23 April 2024}}</ref>