Sammy Corporation
Sega released its next console, the Sega Genesis (known as the Mega Drive outside North America), in 1988. The Genesis struggled against the competition in Japan, but found success overseas after the release of "Sonic the Hedgehog" in 1991 and briefly outsold its main competitor, the Super Nintendo Entertainment System, in the U.S. Later in the decade, Sega suffered several commercial failures such as the 32X, Saturn, and Dreamcast consoles. In 2001, Sega stopped manufacturing consoles to become a third-party developer and publisher and was acquired by Sammy Corporation in 2004. In the years since the acquisition, Sega has been more profitable. Sega Holdings Co. Ltd. was established in 2015; Sega Corporation was renamed Sega Games Co., Ltd., and its arcade, entertainment, and toy divisions separated into other companies. Sega Games and Sega Interactive were merged in 2020 and renamed Sega Corporation.