Sega sets hopes on Dreamcast

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Sega of America, Redwood City, Calif., once the dominant player in the $5.5 billion videogame market, will attempt a comeback bid next year with a next generation platform called Dreamcast. It will compete with Nintendo of America's N64 machine and Sony Computer Entertainment's PlayStation. The system will be launched in Japan in November but won't reach the U.S. until September 1999. Sega is working with Microsoft Corp. and other partners to develop the platform. Foote, Cone & Belding, San Francisco, will create ads for a $100 million marketing push.

Copyright May 1998, Crain Communications Inc.

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