Why did the dreamcast fail?

[Final-Fan]

Takashii said:

HappySqurriel said:

It wasn't "Too Close" to the Sega Saturn because the Saturn was released in 1994 and the Dreamcast was released in 1999; Sega released at the standard 5 year mark.

The Dreamcast failed because the Sega Saturn was such a massive disaster that Sega's reputation was destroyed in the general gaming public. With the Saturn, Sega released an amazingly expensive console that was difficult to develop for because they had a belief that their fans would pay for anything regardless of whether it had games for it or not; they even had a surprise launch to ensure that they had no games.

The Saturn sold at a similar rate to the Playstation (which is a similar rate to how the PS3 is selling) and as soon as the Playstation started to take the lead third parties abandoned the Saturn in favour of the Playstation because of the abuse they faced from Sega; by the time the N64 launched in 1996 the Saturn was essentially dead and all upcomming projects had been transfered to the Playstation.

For 2 1/2 years the Saturn sat on the market with a constant game drought that made the N64's worst droughts seem like a mild thirst. Gamers who spent $500 on the Saturn swore never to buy another Sega product again and most stuck with that promise ...

 

What I put in bold and underlined from HappySqurriel is why Sega failed miserably.

 What I put in bold and underlined form Takashii is a total failure to read the post I made pointing out the fact that the Saturn actually sold for $400 not $500 in the United States.