Sega Enterprises Ltd has chosen Iomega Corp to provide a storage device for the Sega Dreamcast games console. Sega sees storage as a key add-on for its struggling console, which launched in November in Japan where it is lagging sales of older products from Nintendo Co and Sony Computer Entertainment, the Nihon Keizai Shimbun said.

With Dreamcast’s worldwide launch set for September, Sega hopes that Iomega’s 100Mb Zip drive will give it a clearer edge over its games rivals, and provide a plank for postioning it as a broader-based home entertainment device. In particular, the Iomega Zip should encourage users to make better use of the Dreamcast’s integral 56K modem by downloading new games from the internet.