After a change in leadership, Sega discontinued the Dreamcast on March 31, 2001, withdrawing from the console business and restructuring itself as a third-party publisher.

Sales did not meet Sega's expectations despite several price cuts, and the company continued to incur significant financial losses. launch backed by a large marketing campaign, but interest in the system steadily declined as Sony built hype for the upcoming PlayStation 2. Released in Japan to a subdued reception, the Dreamcast enjoyed a successful U.S. In contrast to the expensive hardware of the unsuccessful Sega Saturn, the Dreamcast was designed to reduce costs with 'off-the-shelf' components, including a Hitachi SH-4 CPU and an NEC PowerVR2 GPU. The Dreamcast was Sega's final home console, marking the end of the company's eighteen years in the console market.

It was the first in the sixth generation of video game consoles, preceding Sony's PlayStation 2, Nintendo's GameCube, and Microsoft's Xbox. The Dreamcast is a home video game console released by Sega on November 27, 1998, in Japan, September 9, 1999, in North America, and October 14, 1999, in Europe.

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