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It happened. But this article is a little off and doesn't have enough details about this.

1. Sega and Microsoft were in the talks of a buyout to get Sega games and IPs exclusively to Xbox but the talks fell apart(not clear why). Xbox was going to be Dreamcast backwards compatible too. What a shame...

2. Nintendo didn't have any financial troubles at any point during the 90s or 2000s. Actually Microsoft tried buying them too but the offer was "insulting" according to Nintendo chairman at that time.