Sega has been in the videogame business since the 8-bit era of consoles, but now they’re focusing on games for smartphone and online PC games. Because of this, 300 positions in the company will be vacated, and the affected staff will be offered early voluntary retirement.

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Image source: eurogamer.net

120 of those employees come from Sega of America, which will move its headquarters from San Francisco to Southern California.

Sega of America's John Cheng said, “We are confident that by relocating to Southern California we will be able to thrive, grow and become a stronger company because of it.” He also added, “This move was crucial to keep SEGA operations moving forward throughout North America and to provide our millions of fans a strong pipeline of content across gaming, TV, merchandising, and more.

“We are sad to say goodbye to some of the best people in the business and are indebted to them for their hard work and dedication through the years.”

A Sega of Europe spokesperson said, "We are under consultation with a limited number of staff in the European publishing business and will be able to confirm decisions regarding any potential redundancies in the coming weeks."