At a press conference held in Japan on Tuesday, Sega announced that in order to recuperate from four years of operating losses, the company is actively pursuing business opportunities outside the gaming industry. Tetsu Kayama, co-CEO of Sega Corp., said that peripheral business ventures such as the development of educational software and 3D software for training and analysis could provide a relatively significant revenue stream for the company in the foreseeable future. Sega expects its new business ventures to contribute approximately 10 percent to the company's overall revenue over the next five years.

　　Sega's efforts to restructure itself into a solely third-party software development company have been progressing smoothly, and the company's financial situation is also improving, according to company officials. Sega posted a net loss of 51.7 billion yen for the fiscal year ended March 31. The company expects to increase its revenue to 128 billion yen by the 2003-2004 fiscal year. The company is developing games for all platforms, including the Nintendo GameCube and Game Boy Advance, the Microsoft Xbox, the Sony PlayStation 2, and the Dreamcast.