Sega sees digital as crucial but isn't dropping physical media

Sega president Shuji Utsumi has laid out the company's stance on physical versus digital distribution in a new Famitsu interview — and it's not an either/or answer. Sega isn't planning to abandon physical media, but Utsumi calls the shift to digital "crucial" for the company's future.

The core of his argument is PC. With the number of PC players "steadily increasing," Utsumi says Sega needs to be present on digital storefronts to cultivate that market. Physical releases remain part of the picture, but digital is clearly where Sega sees its growth.

The comments come as the broader industry moves away from discs — Sony recently confirmed it will stop manufacturing PS5 discs from January 2028, a significant signal about where console gaming is heading. Sega's position is more measured: acknowledge the digital shift without fully cutting off physical.

No specific release plans or platform changes were announced alongside the interview. For now, Sega appears to be threading the needle — keeping physical alive while pushing harder into digital distribution.