Recaps

Nakayama Takuya advanced Sega’s handheld development and plans to acquire Sotsu while maneuvering against Bandai. Rumors of the deal sent Bandai’s shares plunging, and Hayao signaled his readiness for Takuya to succeed him as Sega president.

• Nakayama Takuya secured a one-hundred-million-dollar investment pool from Sega’s directors and arranged to route the funds offshore.
• Nakayama Takuya asked NVIDIA’s Jensen Huang to customize a graphics chip for Sega’s next console, while Jensen waited for RIVA128’s results before committing.
• Nakayama Takuya redirected half of Space Cop’s remaining budget to Cowboy Bebop and urged Hideo Kojima and Shinichiro Watanabe to strengthen the production.
• Mitsui Chuta offered to help Sega use its Sotsu acquisition to pressure Bandai, and Nakayama promised his family a share premium and a senior role in a new subsidiary.
• Nakayama appointed Hisao Oguchi Director of Operations and tasked him with preparing to integrate Bandai’s game division and develop its Gundam and Dragon Ball properties.
• Nakayama secured Sharp’s reflective color display panels for Sega’s handheld, and Yuji Naka’s team tested prototypes before Nakayama chose the three-inch screen for its sharper image and longer battery life.
• Nakagawa Jun arranged a TV Tokyo and TXN Network broadcast of The Greed of Man, while Nakayama Hayao said Sega’s progress supported Takuya’s succession to the presidency.
• After a Daiwa Securities supervisor revealed rumors of Sega’s Sotsu deal, investors sold Bandai shares and employees feared for their Gundam production lines and salaries.

Nakayama Takuya used Bandai’s crisis, Sotsu’s acquisition, and Sega’s international successes to reshape the companies and pursue new media rights. The arc ended with Sega preparing to help Big West and Studio Nue challenge Harmony Gold’s claims to Macross.

• Yamashina Makoto accelerated Bandai’s merger preparations, but Mitsui Chuta and Sega’s Nakayama Takuya maneuvered over the terms, and Nakayama rejected Bandai’s draft protections in favor of an outside audit and a management purge.
• Yamashina Makoto cooperated with Richard’s PricewaterhouseCoopers and McKinsey team as auditors uncovered hidden accounts, questionable spending, and bad debts, while Bandai’s old executives were suspended or investigated.
• Matsushima and Honda agreed to Sega’s stock-swap acquisition of Sotsu, and Nakayama Takuya later signed the acquisition documents and welcomed Sotsu into Sega.
• At E3, John Carmack announced that Universal Engine 1.0’s codebase was declassified, and independent developers’ UE1.0 games attracted investors, publishers, and media attention away from Sony’s presentations.
• Nakayama Takuya closed Sega’s short positions after Thailand abandoned its fixed exchange rate, while The Greed of Man drew rising ratings, advertising bids, and public discussion of financial risk.
• Nakayama Takuya and Eri watched Princess Mononoke together, and Eri said Ashitaka’s words had strengthened her resolve to keep living before they went to bring Kazuki and Miki home.
• Yamashina Makoto accepted Bandai’s restructuring and the dissolution of its Planning Department, Overseas Business Department, and IP Management Committee, with Sega taking over their personnel.
• Nakayama Takuya directed Sotsu to pursue an exclusive Macross partnership and ordered Sega’s North American lawyers to clarify Harmony Gold’s rights as Big West and Studio Nue prepared to register Macross trademarks overseas.

Nakayama Takuya secured franchise partnerships, organized Sega’s new handheld lineup, and advanced its development while expanding the company’s media and business plans. The arc ended with Yokoi Gunpei’s death and funeral as Sega prepared to challenge Nintendo.

• Nakayama Takuya pushed Sunrise toward digital production, revived Gundam Sentinel as an OVA, and secured Takahashi Masaya’s participation.
• Hattori Kiyoshi brought Big West Harmony Gold’s memorandum, and Yoshimasa Onishi and Shoji Kawamori agreed to work with Sega to challenge Tatsunoko’s claims in exchange for Sega’s support and exclusive development rights.
• Hisao Oguchi invited teams to pitch handheld games, and Sega approved proposals including Tetris multiplayer, Super Robot Wars, Pokémon, Harvest Moon, and Ace Attorney.
• Nakayama Takuya formed a ten-person rookie team to make Plants vs. Zombies the handheld’s launch-anchor game, and the team produced a working prototype.
• Nakayama Takuya advised Nakagawa Jun to preserve Tokyo TV’s late-night slot and target business audiences with imported dramas and political comedies.
• Nakayama Takuya ordered Bandai’s manufacturing operations moved into Bandai Model and directed the subsidiary to propose an infrared Kamen Rider transformation belt.
• Nakayama Takuya advanced Gundam Sentinel’s scripts and designs while Sega’s handheld gained publicity and prompted Yamauchi Hiroshi to reconsider Nintendo’s hardware plans.
• After Yokoi Gunpei died in a road accident, Nakayama Takuya arranged Sega’s condolences and attended the funeral, where he saw Nintendo’s leaders facing the loss as Sega’s handheld neared competition.

Nakayama Takuya steered Sega through the Asian financial crisis while consolidating Bandai and Sotsu, advancing a new console, and preparing the GP2 handheld launch. The stretch ended with GP2 excitement building among customers as Nakayama pushed Sega Joypolis to improve its attractions and operations.

• Hoshino warned Nakayama Takuya that Sega’s suppliers were exposed to financial collapse, and Sega cut ties with businesses that had borrowed to speculate as the Hong Kong market crashed.
• Nakayama Takuya’s team profited from short positions against South Korea’s markets, then closed them and used the earnings to help fund Sega’s acquisitions.
• Nakayama Takuya approved expanded Super Robot Wars promotion, a new Pokémon protagonist alongside the Hoenn launch, and interactive Kamen Rider belt toys after Shotaro Ishinomori became seriously ill.
• Nakayama Takuya approved early work on Sega’s next console, and his team secured NVIDIA’s Jensen Huang to build a custom GPU while settling key hardware and network specifications.
• Nakayama Takuya completed Sega’s acquisition of Bandai and Sotsu, integrated their staff and production, and directed the combined companies to expand overseas promotion of Gundam and other properties.
• Nakayama Takuya launched preparations for the GP2 with strong hardware publicity and third-party game support, while retailers and customers began anticipating the handheld and its Pokémon tie-ins.
• Nakayama Takuya reorganized Sega’s European distribution, localization, and logistics plans, including ending Ubisoft’s exclusive rights and exploring a shared warehouse.
• Nakayama Takuya ordered improvements to Sega Joypolis, including better service and food, Pokémon- and Sonic-themed offerings, and a tabletop gaming area promoting Yu-Gi-Oh! cards.