Sega Enterprises Ltd has said that it will cut the price of its Dreamcast console in the face of fierce competition from rivals Nintendo Co and Sony Computer Entertainment. Sega will drop the price of the Dreamcast in Japan from $247 to $165, reflecting that it is losing the sales battle Sega is fighting against the N64 and Playstation. If Sega is not to repeat its dismal $378m year-end losses of 1998, the Dreamcast must establish a greater presence in the market before the new consoles from SCE and Nintendo are released. The Dreamcast is due to be launched in the US this fall priced at $199, but it is not yet clear if Sega will bring the US price of the console in line with the Japanese market.
