Revamping Sega: A Former Hollywood Executive's Ambitious Plan

As outlined in its recent financial report, Sega aims to build momentum in its games business by accelerating transmedia development of its IP. This approach has been in the works for several years, with successes such as the Sonic films, Angry Birds movies, a Like A Dragon series, and a Shinobi series with Universal Pictures. To spearhead these efforts, Sega appointed Justin Scarpone, a former Disney executive, as head of global transmedia. Scarpone's goal is to transform Sega into a global entertainment company, competing with the likes of Disney. He envisions a model where games introduce new IP, followed by sequels, expansions, and licensing, similar to Marvel's approach. Scarpone spent 17 years at Disney and is familiar with this strategy. His mission is to help Sega develop a content flywheel, planning for the next franchise, merchandise, and film releases. He notes that Sega's transmedia efforts in Asia are behind those in the US and Europe but sees advantages in the region's affinity for Sega's IP and growing game sales. The company is gearing up its organization in Asia, with a focus on properties that cater to the region's tastes, such as Persona and Project Sekai. Scarpone believes that a successful transmedia strategy is more about organization and process than anything else, with different IPs handled differently depending on their origin. He concludes that Sega is positioned to grow as an entertainment company, with opportunities to evolve the brand and introduce new IP over time.