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Sega redundancies hit London office as Sonic and mobile departments are restructured

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Sega's European arm has undergone layoffs as part of a restructuring of both the Sonic and mobile gaming departments within Sega of America, a company representative confirmed to Polygon.

"Sega is in the process of consolidating certain functions of the Sonic and Mobile departments within Sega of America, where the management and production for those areas of the business reside," we were told. "As part of that strategy a limited number of redundancies have taken effect in our European office, based in London."

The company experienced layoffs late last year with an unspecified number of employees made redundant at Sega of America, described by Sega as a reaction to the "ever-changing environment" of the games industry.

Sega already closed offices throughout Europe and Australia in 2012 as part of a shift in focus toward its four key franchises: Sonic, Aliens, Total War and Football Manager, alongside new and existing digital titles.

Earlier this year, Sega Sammy Holdings adjusted its projected financial results from expected net sales of 485 billion to 377 billion yen, a decrease of 108 billion yen, due to postponed sales of pachislot and pachinko machines.

Sega's next entry in its Sonic the Hedgehog franchise, Sonic Boom, is in development by a pair of Western studios for Wii U and Nintendo 3DS. Announced earlier this year, the Wii U version of the game will be developed by Los Angeles-based game studio Big Red Button, with San Francisco-based studio Sanzaru Games set to develop the title on Nintendo 3DS. Both titles are being developed in collaboration with Sonic Team.