Sega cuts Saturn price

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Sega of America, Redwood City, Calif., on Thursday announced a $50 price cut on its 32-bit Sega Saturn videogame player, bringing the cost of the basic system to $249, $50 less than the 32-bit system offered by Sega's current rival, Sony Computer Entertainment's PlayStation.

Sega claims to have sold 3.5 million units worldwide and 500,000 in North America; Foster City, Calif-based Sony claims a total of 1 million of its units have been sold, the majority in North America. Sony did not indicate whether it will match Sega's new price.

Separately, Sega announced it has entered a joint venture with Softbank Holdings called Sega Entertainment Inc., to create personal computer entertainment software based on Sega's arcade and home videogames. Sega's existing Sega PC software unit will be replaced by the new entity.

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