Today, Sega Sammy announced that they will be consolidating two of their subsidiaries, Sega Games and Sega Interactive, into one big company now just titled Sega.

Sega Games is the Sega that most people know, who released consoles in the past, and house the main video game development divisions. Meanwhile, Sega Interactive is the side that focuses on mobile games like Chain Chronicle, arcade games, and some console titles as well.

According to Sega Sammy, this consolidation of their subsidiaries is being done to prepare for 5G and cloud technology, as it becomes more common and spreads into the global market. Doing so allows them to consolidate their R&D resources, and create synergy between the Japanese side that develops global titles, the overseas marketing side, and secondary uses of their existing IP.

On April 1, 2020, Sega Interactive will be effectively dissolved as a company, and its assets absorbed into Sega Games, which will be renamed Sega. Meanwhile, Sega Holdings will be renamed Sega Group. The above photo shows a better look at how things will change, as you can see that now Sega Group will now be in charge of just Sega rather than both Sega Games and Sega Interactive.