EternalHope, can you predict when this supposed split will happen?
Pretty curious as to what this will mean if the Pachinko Business really is losing value in Japan.
Nobody can be for sure when. But based on the direction of the group especially the SEGA Holdings side, I project in the next 2-3 years.
Even in the domestic side, Sega's home consumer games business is starting to decline. Blade Arcus just flopped, and pretty much their entire 2014 lineup underperformed, EVERYWHERE. It makes perfect sense why Sega Networks is now getting more resources and attention especially from investors.
http://www.businesstimes.com.sg/technology/sega-to-invest-in-local-start-up-gogameRegarding the Panchinko business,it peaked during the 70s, and a decade ago it had been a parts and service style industry, but since 2006, it started to have a rollercoaster operating wave, where it would often fluctuate between high profit or massive operating losses per year. This is pretty much why in 2010 Satomi absorbed Sammy into Kabushiki Kaisha Sega and dissolved pretty much all of Sammy's divisions and subsidiaries. It would allow the group to gain a much more solid ROE,since the more profitable side of the group was SEGA.
Regarding its future, I don't see it existing in 10 years(In 2014, Sega Sammy ended its decade long investment deal and contract with Rodeo who was the lead shareholder and investor in Sammy's Panchinko business) and I certainly see SEGA replacing it with 2 operating methods: Online Mircotransactions through its Sammy Networks division,and replacing most of if not all Panchino Slots with simple Casino Slot Machines and even Vending Machines with SEGA expanding and building and manufacturing FAR more Redemption Machines,Ticket Dispensers and UFO Prize Machines.
All of these operating methods are not only far more profitable,broad,and cheaper to do. They have a mass Amusement market.