SEGA extends US arcade business with GameWorks acquisition

Publisher SEGA has announced that its US arcade subsidiary, SEGA Entertainment USA Inc, has completed the acquisition of GameWorks, one of the largest remaining US arcade chains, which declared bankruptcy over a year ago.

SEGA had previously been a major shareholder in the operation, along with Universal Studios, but the decline in the US arcade market saw GameWorks reorganising under bankruptcy protection.

Now the Japanese giant is hoping that it will be able to replicate the healthy success of the arcade business in Japan in its North American operation, and is commencing the transformation of GameWorks' locations.

Among its immediate plans is the roll-out of the Arena Sports Bar and Grill concept across many of the GameWorks arcades, as well as bringing new arcade machines into the locations - with over 300 units of 15 new games already installed in the last four months.