MEMORANDUM 

      Date:
     To:
     From: 
     Re: 
9/23/99
Dr. David Chappell
Seth Conley
BA 370 Internet Research Project

SEGA Dreamcast:


1.Sega Homepage-**** http://www.sega.com/-provides valuable information on new products, as well as basic company information. An excellent site for the company’s future projects. Dreamcast, Sega’s new game console, debuts this year.  This site is also a good source for information about other products, such as games, that Sega sells.

2.Hoovers-****
Hoover’s. (1999). Hoover’s Handbook of World Business. Austin, Texas. Business Press 
Provides a complete overview, history and financial record of Sega.Records sales and net income since 1989.Allows the reader to see what activities make up what percent of its overall revenue.Last year Sega incurred a loss of 268 million.

3. Moody’s - ****Arnold, w., Cox, B., Hastings, S., Hoang, J., & Pham, J. (1998). Financial Information Services on Sega enterprises, Ltd.Moody’s International Manual, 3, 5574-5575 - provides financial and other accounting records about Sega for the years 1996-1998.Last year Sega incurred a net loss in profit, and was forced to liquidate some assets along with lay off some employees to cover the damage.

4. AT&T-**** http://www.att.com/press/item/0,1193,599,00.html provides valuable information about the strategic agreement AT&T and Sega have together. AT&T will provide the internet service for Sega’s Dreamcast system.  At&T views this agreement as an opportunity to expand its internet provider service. 

5.Sega Heritage-**** Lefton, T. (1999, August 09). Sega flags heritage, not technology. Brandweek, 31, p.45provides us with information about how Sega is marketing Dreamcast.Rather than exploit just the technology aspect of the system Sega is trying to create uniqueness so as to set itself apart from other competitors who will soon imitate the technology.

6. San Francisco Chronicle -*** http://www.sfgate.com/cgi-bin/article.cgi?file=/chronicle/archive/1999/09/15/DD36536.DTL - provides a critical review of the Dreamcast system, as well as some other first week sale information. Dreamcast has already generated more than $132 million in sales here in the U.S.

7. CBSMarketWatch- ***http://cbs.marketwatch.com/archive/19990910/news/current/consum
e_this.htx?source=htx/http2_mw provides basic information about the system and competitors. Gives warning about Y2K possible glitches the system may have.  Points out that Sega is currently having trouble with one of its produced games.  If Sega is to be successful they cant make the same mistakes as they did on Saturn.

8. AssociatedPress-*** http://dailynews.yahoo.com/h/ap/19990913/tc
/sony_playstation_ii_2.html provides information about playstation2, Sega's main competitor. Sony plans to launch PS2 so as to make it into stores by Christmas.  If Sega is to be successful they must establish high demand before PS2 hits the shelves.

9. SunSpotOnline-***http://www.sunspot.net/cgi-bin/edito
rial/story.cgi?section=news-pluggedin&storyid=1150140223863provides a critical review, as well as a general overview of the technology involved. “Dreamcast is the first video game machine with a 200 MHz microprocessor and a 128-bit graphics engine under the hood. The result: the most fluid, realistic visuals this side of “Toy Story.” Sega claims Dreamcast is 15 times more powerful than a Sony PlayStation, 10 times more powerful than a Nintendo 64, and has four times the graphics processing power of a Pentium II computer”.

10. Salon.com-*** http://www.salon.com/tech/review/1999/09/14/dreamcast/index.html provides information about the hype Sega has created about its new machine. Also included is a critical review about the game and some of the problems Sega has had with the internet hookup.  AT&T, Segas partner in providing internet service is working fast with Sega to correct the problem.

11. Freep.com-***http://www.freep.com/tech/gameguy/qg
ames8.htm provides information about the current games available for Sega Dreamcast. Also gives the names of various companies that make Sega games.  All of the most popular titles available are produced and manufactured by Sega.

12. Nintendo-*** http://www.nintendo.com/provides information about Nintendo, Sega’s competitor, including games and company information. Nintendo plans to release its own 128-bit system called Dolphin, sometime next year.

13. Sony Playstation- ***http://www.playstation.com/index.htmlprovides information about Sony Playstation, Sega’s biggest competition. Currently Playstation has the biggest market share in the U.S. Playstation will launch PS2 this year.  Games and other information are available on this site.

14.Sega’s Demand-*** Sega Dreamcast brings strong demand into battle with Sony’s new Playstation. (1999, June 02). Wall Street Journal, p. B14c provides us with information about demand so far and a brief overview of Sega Co.So far Sega has received 2.4 million orders for Dreamcast by US retailers.Sega is having trouble filling the orders because of its recent downsizing

15.Sega Rentals-**Sega Dreamcast rentals to precede sales start. (1999, July 12). Twice, p.46 provides us with information about the preliminary strategy employed to start demand for Dreamcast.Hollywood Video will rent out 10,000 units of the new system two months before the system goes on sale. 

16.Sony and Nintendo cut prices-** Wilson, W. (1999, August 23). In transition, Sony and Nintendo cut console prices. Video Business, p.4 provides us with information about Sony and Nintendo’s strategy to retain market share in light of Sega’s new machine.Both companies dropped the price of their systems to $99 in an effort to boost sales.

17.Sega challenging PCs-** New video game machines will challenge PCs. (1999, September 02). Wall Street Journal, p. B6 provides us with information concerning the PC game market.Until now the PC games were of better quality than that of game systems.With the launch of Sega Dreamcast that all changes.

Rating system:

****= Highest possible rating

***= Good source

**= Average source some good information

*= Poor source maybe some information