This is dumb and desperate. Why not just try to get Nintendo more appeal in the west by naming it Atari? SEGA has not made a console in 20 years. An entire generation grew up without them. Nothing says SEGA console-like Halo as a launch title that is also on Xbox One. So this just sounds stupid.
First let me start by saying this is unlikely. The rumor is going by the logic MS would use Sega as the face of the system in Japan to appeal to Japanese customers... because Sega is actually pretty relevant in Japan.
It would also suggest Series X would be getting unique support that would justify using Sega as the face. It actually wouldn't be a terrible idea if they wanted to grow the Xbox brand in Japan, but again it just seems unlikely.
More importantly, I don't see Japan as a market worth fighting for. In the grand scheme, its a small niche market. Not worth pouring resources into. At best I would simply suggest MS encourages and perhaps fund ports of Japanese games, then put them on Gamepass. I suspect they may be doing that already. If they want to do that and use Sega as their face in Japan, I guess that would be fine.
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